Exam 18: Social Insurance

Which of the following statements about the financial status of Medicare Part A is (are)true? I.Part A has serious financial problems. II.Reforms instituted by Congress have reduced Part A expenditures in recent years.

In addition to most persons over age 65,which of the following persons is (are)eligible for Medicare benefits? I.Persons under age 65 who have been entitled to Social Security disability benefits for at least 24 months. II.Persons under 65 who need long-term kidney dialysis treatment or a kidney transplant.

Tony is 48 years old.He earned the maximum taxable wage base under Social Security annually between the time when he was 26 and when he was 40.At age 40,he dropped out of the workforce to care for children as his wife had a high-paying job.Which statement is true regarding Tony's insured status under Social Security?

Dale,age 65,was dismayed to learn about all of the deductibles,co-pays,limits,and exclusions in the Medicare program.Dale bought a type of health insurance specifically designed to supplement Medicare,and selected his coverage from among 12 standard policies that private insurers offer.What type of health insurance did Dale purchase?

Which of the following statements about the financing of the Social Security programs is (are)true? I.Although the self-employed pay an OASDI tax rate that is twice the employee rate,they are allowed certain deductions that reduce the effective tax rate. II.The earnings base on which OASDI taxes are paid increases annually based on changes in average wages in the national economy.

All of the following statements about the Medicare prescription drug benefit are true EXCEPT

Which of the following statements about the role of physicians with respect to Medicare claims is (are)true? I.Physicians who do not accept an assignment of Medicare claims can charge as much as 200 percent of the Medicare-approved fee. II.Physicians who accept assignment agree to accept the Medicare-approved amount as payment in full.

Which of the following statements is (are)true with respect to the Social Security earnings test? I.The earnings test does not apply to dividends,interest,and rental income. II.The earnings test does not apply to work earnings for those individuals who have reached the full retirement age under Social Security.

Which of the following statements about the full retirement age under the Social Security program is true?

Which of the following statements about problems and issues in workers compensation insurance is (are)true? I.The cost of medical care under workers compensation continues to rise. II.Enactment of workers compensation statutes has eliminated litigation with respect to work-related illnesses and injuries.

All of the following statements about the financing of unemployment insurance benefits are true EXCEPT

Which of the following statements about the financing of OASDI and Medicare is (are)true? I.There is a maximum taxable wage base for OASDI. II.There is a maximum taxable wage base for Part A of Medicare.

EFG Company suffered reduced demand for its products during a recession.EFG managers were considering laying off some workers when the personnel director said,"Let's not lay off these workers.If we do,our unemployment insurance premiums will increase.The state considers employment stability when determining our premium." Considering the firm's employment record when determining the rate to charge for unemployment insurance is called

Which of the following statements is (are)true with respect to the Medicare Advantage Plans? I.These plans replace the original Medicare program,Parts A and B,which are no longer available to new retirees. II.These plans provide an opportunity for retirees to receive Medicare coverage through private health care plans.

All of the following changes would reduce the long-range deficit for the Social Security program EXCEPT

Marion owns substantial financial assets.She was surprised that she qualified for Social Security retirement benefits when she retired because of her high investment income.What characteristic of social insurance programs is Marion overlooking with respect to her Social Security retirement benefits?

Which of the following statements about a worker's primary insurance amount is (are)true? I.It is the monthly amount paid to a worker who elects early retirement at age 62. II.It is equal to 50 percent of the worker's final average pay that was subject to Social Security taxes.

Which of the following statements about Medigap policies is (are)true? I.Insurers are required to have an open enrollment period of 6 months from the date an applicant first enrolls in Medicare Part B and is age 65 or older. II.Most policies are of limited value because they largely duplicate benefits already provided by Medicare.

All of the following persons are eligible for survivor benefits under Social Security EXCEPT

All of the following statements about benefits under workers compensation programs are true EXCEPT