Health Insurance Chapter 1
Under the Consolidated Omnibus Budget Reconciliation Act (COBRA), a terminated employee's
benefits must?
Be less extensive and premium cannot exceed 102%
Be the same and the premium cannot exceed
102%
Be more extensive and the premium cannot exceed 102%
Be the same as well as the premium - ANSBe the same and the premium cannot exceed
102%
The limited period of time given to all members to sign up for a group health plan is called the?
Enlistment period
Sign-up period
Probationary period
Enrollment period - ANSEnrollment period
Which of the following does Coordination of Benefits allow?
Allows the secondary payor to reduce their benefit payments so no more than 100% of the claim
is paid
Allows both a group health plan and individual health plan to coordinate their benefit payments
Allows the deductible to be spread out between all the health providers
Allows each health provider to pay 100% of the claim - ANSAllows the secondary payor to
reduce their benefit payments so no more than 100% of the claim is paid
Sole proprietors are permitted tax deductions for health costs paid from their earnings in the
amount of?
Costs that exceed 7 ½ % of AGI
Costs that exceed 10% of AGI
100% of costs
No deduction permitted - ANS100% of costs
, Sonya applied for a health insurance policy on April 1. Her agent submitted the information to
the insurance company on April 6. She paid the premium on May 15 with the policy indicating
the effective date being May 30. On which date would Sonya have coverage?
April 1
April 6
May 15
May 30 - ANSMay 30
A group disability income plan that pays tax-free benefits to covered employees is considered?
Non-contributory
Partially contributory
Group contributory
Fully contributory - ANSFully contributory
What is issued to each employee of an employer health plan?
Provision
Receipt
Policy
Certificate - ANSCertificate
Under the Health Insurance Portability and Accountability Act (HIPAA), the employee's new
Group Health Plan will verify Creditable Coverage so that the
Employee's benefits still owed can be claimed
Employee cannot be excluded from the new employer's health plan
Employee's waiting period for coverage of a preexisting condition can be reduced under the new
employer's health plan
New health insurance carrier will have a clear record of any chronic conditions that exist -
ANSEmployee's waiting period for coverage of a preexisting condition can be reduced under the
new employer's health plan
Health insurance will typically cover which of the following perils?
Death due to illness
Injury due to accident
Death due to accident
Dismemberment - ANSInjury due to accident
Under the Consolidated Omnibus Budget Reconciliation Act (COBRA), a terminated employee's
benefits must?
Be less extensive and premium cannot exceed 102%
Be the same and the premium cannot exceed
102%
Be more extensive and the premium cannot exceed 102%
Be the same as well as the premium - ANSBe the same and the premium cannot exceed
102%
The limited period of time given to all members to sign up for a group health plan is called the?
Enlistment period
Sign-up period
Probationary period
Enrollment period - ANSEnrollment period
Which of the following does Coordination of Benefits allow?
Allows the secondary payor to reduce their benefit payments so no more than 100% of the claim
is paid
Allows both a group health plan and individual health plan to coordinate their benefit payments
Allows the deductible to be spread out between all the health providers
Allows each health provider to pay 100% of the claim - ANSAllows the secondary payor to
reduce their benefit payments so no more than 100% of the claim is paid
Sole proprietors are permitted tax deductions for health costs paid from their earnings in the
amount of?
Costs that exceed 7 ½ % of AGI
Costs that exceed 10% of AGI
100% of costs
No deduction permitted - ANS100% of costs
, Sonya applied for a health insurance policy on April 1. Her agent submitted the information to
the insurance company on April 6. She paid the premium on May 15 with the policy indicating
the effective date being May 30. On which date would Sonya have coverage?
April 1
April 6
May 15
May 30 - ANSMay 30
A group disability income plan that pays tax-free benefits to covered employees is considered?
Non-contributory
Partially contributory
Group contributory
Fully contributory - ANSFully contributory
What is issued to each employee of an employer health plan?
Provision
Receipt
Policy
Certificate - ANSCertificate
Under the Health Insurance Portability and Accountability Act (HIPAA), the employee's new
Group Health Plan will verify Creditable Coverage so that the
Employee's benefits still owed can be claimed
Employee cannot be excluded from the new employer's health plan
Employee's waiting period for coverage of a preexisting condition can be reduced under the new
employer's health plan
New health insurance carrier will have a clear record of any chronic conditions that exist -
ANSEmployee's waiting period for coverage of a preexisting condition can be reduced under the
new employer's health plan
Health insurance will typically cover which of the following perils?
Death due to illness
Injury due to accident
Death due to accident
Dismemberment - ANSInjury due to accident
