Florida 240 Practice exam questions and answers |
100% Correct Answers | Verified | Latest 2024 Version
A medical expense policy that establishes the amount of benefit paid based upon the prevailing charges
which fall within the standard range of fees normally charged for a specific procedure by a doctor of
similar training and experience in that geographic area is known as - ✔✔Usual, customary and
reasonable
What provision would prevent an insurance company from paying a reimbursement claim to someone
other than the policyowner? - ✔✔Payment of Claims
All of the following are true about group disability Income insurance EXCEPT
a) The longer the waiting period, the lower the premium.
b) Coverage applies both on and off the job.
c) Benefits are usually short term.
d) The waiting period starts at the onset of the injury or sickness. - ✔✔Coverage applies both on and off
the job.
Which of the following statements regarding Business Overhead Expense policies is NOT true?
a) Premiums paid for BOE are tax-deductible.
b) Any benefits received are taxable to the business.
c) Leased equipment expenses are covered by the plan.
d) Benefits are usually limited to six months, - ✔✔d) Benefits are usually limited to six months
In long-term care insurance, what type of care is provided with intermediate care? - ✔✔Occasional
nursing or rehabilitative care
After a person's employment is terminated, it is possible to obtain individual health insurance after
losing the group health coverage provided by the employer. Which of the following is NOT true?
a) The employee can convert from group to individual insurance within 31 days of termination.
, b) The premium of the individual health insurance policy can be higher than the original policy.
c) By law, the new, individual policy must provide the same benefits as the group insurance policy.
d) Continuation of group coverage need not include dental, vision, or prescription drug benefits. - ✔✔c)
By law, the new, individual policy must provide the same benefits as the group insurance policy.
An insured has endured multiple surgeries and hospitalizations for an illness during the last few months.
Her insurer no longer bills her for medical expenses. Which of the following allows for that?
a) Waiver of premium
b) Maximum loss
c) Stop-loss limit
d) Grace period - ✔✔c) Stop-loss limit
L has a major medical policy with a $500 deductible and 80/20 coinsurance. Lis hospitalized and sustains
a $2.500 loss.
What is the maximum amount that L will have to pay? - ✔✔$900 L would first pay the $500 deductible;
out of the remaining $2,000, the insurer will pay 80% ($1,600) and the insured will pay 20% ($400).
Which of the following entities has the authority to make changes to an insurance policy?
a) Department of Insurance
b) Broker
c) Producer
d) Insurer's executive officer - ✔✔d) Insurer's executive officer
Only an executive officer of the company, not an agent, has authority to make any changes to the policy.
The insurer must have the insured's written agreement to the change.
All of the following statements about Medicare supplement insurance policies are correct EXCEPT
100% Correct Answers | Verified | Latest 2024 Version
A medical expense policy that establishes the amount of benefit paid based upon the prevailing charges
which fall within the standard range of fees normally charged for a specific procedure by a doctor of
similar training and experience in that geographic area is known as - ✔✔Usual, customary and
reasonable
What provision would prevent an insurance company from paying a reimbursement claim to someone
other than the policyowner? - ✔✔Payment of Claims
All of the following are true about group disability Income insurance EXCEPT
a) The longer the waiting period, the lower the premium.
b) Coverage applies both on and off the job.
c) Benefits are usually short term.
d) The waiting period starts at the onset of the injury or sickness. - ✔✔Coverage applies both on and off
the job.
Which of the following statements regarding Business Overhead Expense policies is NOT true?
a) Premiums paid for BOE are tax-deductible.
b) Any benefits received are taxable to the business.
c) Leased equipment expenses are covered by the plan.
d) Benefits are usually limited to six months, - ✔✔d) Benefits are usually limited to six months
In long-term care insurance, what type of care is provided with intermediate care? - ✔✔Occasional
nursing or rehabilitative care
After a person's employment is terminated, it is possible to obtain individual health insurance after
losing the group health coverage provided by the employer. Which of the following is NOT true?
a) The employee can convert from group to individual insurance within 31 days of termination.
, b) The premium of the individual health insurance policy can be higher than the original policy.
c) By law, the new, individual policy must provide the same benefits as the group insurance policy.
d) Continuation of group coverage need not include dental, vision, or prescription drug benefits. - ✔✔c)
By law, the new, individual policy must provide the same benefits as the group insurance policy.
An insured has endured multiple surgeries and hospitalizations for an illness during the last few months.
Her insurer no longer bills her for medical expenses. Which of the following allows for that?
a) Waiver of premium
b) Maximum loss
c) Stop-loss limit
d) Grace period - ✔✔c) Stop-loss limit
L has a major medical policy with a $500 deductible and 80/20 coinsurance. Lis hospitalized and sustains
a $2.500 loss.
What is the maximum amount that L will have to pay? - ✔✔$900 L would first pay the $500 deductible;
out of the remaining $2,000, the insurer will pay 80% ($1,600) and the insured will pay 20% ($400).
Which of the following entities has the authority to make changes to an insurance policy?
a) Department of Insurance
b) Broker
c) Producer
d) Insurer's executive officer - ✔✔d) Insurer's executive officer
Only an executive officer of the company, not an agent, has authority to make any changes to the policy.
The insurer must have the insured's written agreement to the change.
All of the following statements about Medicare supplement insurance policies are correct EXCEPT
