PFP 105 Exam 3 Study Guide with
verified answers passed
Deductible - correct answer ✔✔a set dollar amount that you are
responsible for paying before any coverage is
provided by your insurer
Co-pay - correct answer ✔✔the amount of money the patient has to pay that the insurance
company will not pay
Premium - correct answer ✔✔the cost of obtaining insurance
Co-insurance - correct answer ✔✔Requires the insured individual to pay a fixed percentage of
the loss after the deductible has been paid
OOP Max/Limit - correct answer ✔✔Determinants of unreimbursed medical expenses
Purposes of Life Insurance/Who needs life insurance? - correct answer ✔✔Insurance that
provides a payment
to a specified beneficiary when the policyholder
dies.
Help clients determine the type and amount of
insurance they need.
Only if you have dependents.
, Beneficiary - correct answer ✔✔one who benefits from something; a person who is left money
or other property in a will or the like
Policy-owner - correct answer ✔✔the individual or business that pays for and owns the policy
Face Amount - correct answer ✔✔for a bond, its face value,
or the amount returned to the investor at maturity
Insured Person - correct answer ✔✔An eligible resident of a province.
The 6 ADLs - correct answer ✔✔Feeding, toileting, bathing, walking, transferring, dressing
Risk pooling/Law of Large Numbers - correct answer ✔✔A fundamental concept in risk
management and insurance is a concept called risk pooling, a statistical application of the law of
large numbers. Insurers and self-insurers use the pooling concept to more accurately predict the
cost of covering an individual policyholder.
HSA vs. FSA - correct answer ✔✔HSA: an account that
shelters income from taxes and that can be used to pay health care expenses
Used in conjunction with a high-deductible health plan (HDHP)
FSA: account established by the employer for the employee to use pretax income to pay for
medical expenses
Funds cannot roll over into the next year
Peril - correct answer ✔✔is an insurance term for an event that could cause damage to
property, items, or belongings insured. Examples of different perils in home insurance are fire,
hail damage, flooding, earthquake, and theft, etc. Home Insurance policies are typically divided
into 'All Peril' and 'Named Perils' insurance policies. These may have different costs and cover
different risks.
verified answers passed
Deductible - correct answer ✔✔a set dollar amount that you are
responsible for paying before any coverage is
provided by your insurer
Co-pay - correct answer ✔✔the amount of money the patient has to pay that the insurance
company will not pay
Premium - correct answer ✔✔the cost of obtaining insurance
Co-insurance - correct answer ✔✔Requires the insured individual to pay a fixed percentage of
the loss after the deductible has been paid
OOP Max/Limit - correct answer ✔✔Determinants of unreimbursed medical expenses
Purposes of Life Insurance/Who needs life insurance? - correct answer ✔✔Insurance that
provides a payment
to a specified beneficiary when the policyholder
dies.
Help clients determine the type and amount of
insurance they need.
Only if you have dependents.
, Beneficiary - correct answer ✔✔one who benefits from something; a person who is left money
or other property in a will or the like
Policy-owner - correct answer ✔✔the individual or business that pays for and owns the policy
Face Amount - correct answer ✔✔for a bond, its face value,
or the amount returned to the investor at maturity
Insured Person - correct answer ✔✔An eligible resident of a province.
The 6 ADLs - correct answer ✔✔Feeding, toileting, bathing, walking, transferring, dressing
Risk pooling/Law of Large Numbers - correct answer ✔✔A fundamental concept in risk
management and insurance is a concept called risk pooling, a statistical application of the law of
large numbers. Insurers and self-insurers use the pooling concept to more accurately predict the
cost of covering an individual policyholder.
HSA vs. FSA - correct answer ✔✔HSA: an account that
shelters income from taxes and that can be used to pay health care expenses
Used in conjunction with a high-deductible health plan (HDHP)
FSA: account established by the employer for the employee to use pretax income to pay for
medical expenses
Funds cannot roll over into the next year
Peril - correct answer ✔✔is an insurance term for an event that could cause damage to
property, items, or belongings insured. Examples of different perils in home insurance are fire,
hail damage, flooding, earthquake, and theft, etc. Home Insurance policies are typically divided
into 'All Peril' and 'Named Perils' insurance policies. These may have different costs and cover
different risks.
