Question 1

All of the following statements about the Medicare Prescription Drug Plan are true EXCEPT

Accepted Answer

A) Medicare prescription drug coverage is available to all Medicare beneficiaries. 
B) Medicare prescription drug coverage is funded exclusively through the Part A payroll tax. 
C) The Medicare prescription drug program provides financial help for beneficiaries with limited income and financial resources. 
D) In addition to the initial deductible,there is a coverage gap where the beneficiary must pay the entire cost of prescription drugs. 
A) Medicare prescription drug coverage is available to all Medicare beneficiaries. 
B) Medicare prescription drug coverage is funded exclusively through the Part A payroll tax. 
C) The Medicare prescription drug program provides financial help for beneficiaries with limited income and financial resources. 
D) In addition to the initial deductible,there is a coverage gap where the beneficiary must pay the entire cost of prescription drugs. B

Question 2

Under Part A of Medicare,how is reimbursement for inpatient hospital care determined?

Accepted Answer

A) The amount billed to Medicare by the hospital is the amount Medicare pays. 
B) Eighty percent of the hospital's regular charge for care is paid. 
C) The hospital's usual,reasonable,and customary charge is paid. 
D) Hospital care is classified into diagnosis-related groups (DRGs)and the amount reimbursed depends on the DRG classification of the care delivered. 
A) The amount billed to Medicare by the hospital is the amount Medicare pays. 
B) Eighty percent of the hospital's regular charge for care is paid. 
C) The hospital's usual,reasonable,and customary charge is paid. 
D) Hospital care is classified into diagnosis-related groups (DRGs)and the amount reimbursed depends on the DRG classification of the care delivered. D

Question 3

Which of the following statements about the coverage of health care services under Part A of Medicare is (are)true?
I.Services in the patient's home are covered if the patient requires skilled care and meets certain conditions.
II.Hospice care is available for beneficiaries with a terminal illness.

Accepted Answer

A) I only 
B) II only 
C) both I and II 
D) neither I nor II 
A) I only 
B) II only 
C) both I and II 
D) neither I nor II C

Question 4

Which of the following statements concerning Medicare Prescription Drug Plans is (are)true?
I.The monthly premium is not based on an individual's health status or the number of prescriptions used.
II.After the beneficiary has paid an initial deductible,Medicare pays the entire cost of all prescription drugs the beneficiary needs.

Accepted Answer

A) I only 
B) II only 
C) both I and II 
D) neither I nor II 
A) I only 
B) II only 
C) both I and II 
D) neither I nor II

Question 5

Which of the following is a current problem with workers compensation programs?

Accepted Answer

A) declining involvement of lawyers in workers compensation claims 
B) exclusion of deaths and injuries attributable to terrorism 
C) exclusion of benefits for occupational illness 
D) overuse of opiate prescription drugs in workers compensation. 
A) declining involvement of lawyers in workers compensation claims 
B) exclusion of deaths and injuries attributable to terrorism 
C) exclusion of benefits for occupational illness 
D) overuse of opiate prescription drugs in workers compensation.

Question 6

Which of the following statements about the characteristics of social insurance programs is true?

Accepted Answer

A) Benefits are loosely related to a worker's earnings. 
B) Benefits are paid primarily on the basis of individual equity. 
C) Participation in social insurance programs is voluntary. 
D) Social insurance programs must be fully funded at all times to pay required benefits. 
A) Benefits are loosely related to a worker's earnings. 
B) Benefits are paid primarily on the basis of individual equity. 
C) Participation in social insurance programs is voluntary. 
D) Social insurance programs must be fully funded at all times to pay required benefits.

Question 7

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.

Accepted Answer

A) I only 
B) II only 
C) both I and II 
D) neither I nor II 
A) I only 
B) II only 
C) both I and II 
D) neither I nor II

Question 8

As of this year,Brad,age 50,has 40 credits under the Social Security program.These credits were all earned in the last 10 years.What is Brad's insured status under the program?

Accepted Answer

A) He is currently and fully insured. 
B) He is currently insured,but not fully insured. 
C) He is fully insured,but not currently insured. 
D) He is neither currently insured nor fully insured. 
A) He is currently and fully insured. 
B) He is currently insured,but not fully insured. 
C) He is fully insured,but not currently insured. 
D) He is neither currently insured nor fully insured.

Question 9

One insured status under Social Security requires you to have earned at least six credits during the last 13 calendar quarters ending with the quarter of death,disability,or entitlement to retirement benefits.This insured status is

Accepted Answer

A) disability insured. 
B) temporarily insured. 
C) fully insured. 
D) currently insured. 
A) disability insured. 
B) temporarily insured. 
C) fully insured. 
D) currently insured.

Question 10

Which of the following statements about unemployment insurance benefits is true?

Accepted Answer

A) Benefits are a flat amount regardless of a worker's previous wages. 
B) Because of federal legislation,the maximum benefit is the same in all states. 
C) Most states pay regular benefits for a maximum duration of 26 weeks. 
D) Under the extended benefits program,the federal government continues benefit payments for up to 3 years for workers who have exhausted their regular benefits. 
A) Benefits are a flat amount regardless of a worker's previous wages. 
B) Because of federal legislation,the maximum benefit is the same in all states. 
C) Most states pay regular benefits for a maximum duration of 26 weeks. 
D) Under the extended benefits program,the federal government continues benefit payments for up to 3 years for workers who have exhausted their regular benefits.

Question 11

Which of the following statements regarding the Emergency Unemployment Compensation (EUC)program is true?

Accepted Answer

A) EUC benefits are limited to individuals who have exhausted regular state benefits and have annual incomes below the federal poverty level. 
B) EUC benefits are funded entirely by the federal government. 
C) EUC benefits are limited to employees who have lost their job because of a labor dispute. 
D) EUC benefits are available on a case-by-case based and awarded at the discretion of the Secretary of Labor. 
A) EUC benefits are limited to individuals who have exhausted regular state benefits and have annual incomes below the federal poverty level. 
B) EUC benefits are funded entirely by the federal government. 
C) EUC benefits are limited to employees who have lost their job because of a labor dispute. 
D) EUC benefits are available on a case-by-case based and awarded at the discretion of the Secretary of Labor.

Question 12

In order to receive unemployment insurance benefits,an unemployed worker must meet all of the following eligibility requirements EXCEPT

Accepted Answer

A) have qualifying wages and employment. 
B) be able to work. 
C) be actively seeking work. 
D) satisfy a 6-month waiting period. 
A) have qualifying wages and employment. 
B) be able to work. 
C) be actively seeking work. 
D) satisfy a 6-month waiting period.

Question 13

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 10 standard policies that private insurers offer.What type of health insurance did Dale purchase?

Accepted Answer

A) long-term care insurance 
B) Medigap insurance 
C) major medical insurance 
D) viatical insurance 
A) long-term care insurance 
B) Medigap insurance 
C) major medical insurance 
D) viatical insurance

Question 14

One type of Medicare Advantage Plans provides focused care for a specific group of people,such as diabetics and nursing home residents.This type of Medicare Advantage Plan is a

Accepted Answer

A) Point of Service (POS)plan. 
B) Private Fee-for-Service plan. 
C) Health Maintenance Organization (HMO)plan. 
D) Special Needs plan. 
A) Point of Service (POS)plan. 
B) Private Fee-for-Service plan. 
C) Health Maintenance Organization (HMO)plan. 
D) Special Needs plan.

Question 15

Which of the following statements about the Social Security cost-of-living adjustment is (are)true?
I.The amount of the adjustment is limited to a maximum of 2.5 percent annually.
II.Increases are based on changes in the consumer price index.

Accepted Answer

A) F 
B) II only 
C) both I and II 
D) neither I nor II 
A) F 
B) II only 
C) both I and II 
D) neither I nor II

Question 16

Which of the following statements about the characteristics of social insurance programs is true?

Accepted Answer

A) They are designed to provide a floor of income with respect to the risks that are covered. 
B) Social insurance benefits payments are unrelated to income. 
C) Participants are required to satisfy a means test to receive benefits. 
D) With few exceptions,participation in social insurance programs is voluntary. 
A) They are designed to provide a floor of income with respect to the risks that are covered. 
B) Social insurance benefits payments are unrelated to income. 
C) Participants are required to satisfy a means test to receive benefits. 
D) With few exceptions,participation in social insurance programs is voluntary.

Question 17

A serious current concern with the Social Security program is the depletion of the Disability Income Trust Fund.Each of the following contributed to the depletion of the fund EXCEPT

Accepted Answer

A) aging of the workforce and baby boomers 
B) changing to a less stringent definition of disability 
C) the increased number of women in the workforce 
D) growth in the size of the labor force over time 
A) aging of the workforce and baby boomers 
B) changing to a less stringent definition of disability 
C) the increased number of women in the workforce 
D) growth in the size of the labor force over time

Question 18

Under one type of Medicare Advantage Plan,members of the plan can see any doctor or health services provider that accepts Medicare patients.If members receive non-emergency care outside the network of member physicians and care facilities,they must pay higher out-of-pocket costs.This type of Medicare Advantage Plan is a

Accepted Answer

A) Medicare HMO. 
B) Medicare PPO. 
C) Medicare Special Needs Plan. 
D) Medicare Private Fee-for-Service Plan. 
A) Medicare HMO. 
B) Medicare PPO. 
C) Medicare Special Needs Plan. 
D) Medicare Private Fee-for-Service Plan.

Question 19

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

Accepted Answer

A) dependent parents age 62 or older. 
B) a surviving brother or sister,age 60 or older. 
C) a surviving spouse age 60 or older. 
D) a surviving spouse with eligible children younger than age 16. 
A) dependent parents age 62 or older. 
B) a surviving brother or sister,age 60 or older. 
C) a surviving spouse age 60 or older. 
D) a surviving spouse with eligible children younger than age 16.

Question 20

Which of the following statements about disability benefits under Social Security is true?

Accepted Answer

A) There is a one-year waiting period before benefits are payable. 
B) Benefits are payable as long as the disabled worker is unable to perform his or her regular occupation. 
C) Benefits are payable only if the condition causing the disability is expected to result in death prior to age 65. 
D) In addition to the disabled worker receiving the benefits,benefits can also be paid to eligible dependents. 
A) There is a one-year waiting period before benefits are payable. 
B) Benefits are payable as long as the disabled worker is unable to perform his or her regular occupation. 
C) Benefits are payable only if the condition causing the disability is expected to result in death prior to age 65. 
D) In addition to the disabled worker receiving the benefits,benefits can also be paid to eligible dependents.

Exam 18: Social Insurance

All of the following statements about the Medicare Prescription Drug Plan are true EXCEPT

Under Part A of Medicare,how is reimbursement for inpatient hospital care determined?

Which of the following statements about the coverage of health care services under Part A of Medicare is (are)true? I.Services in the patient's home are covered if the patient requires skilled care and meets certain conditions. II.Hospice care is available for beneficiaries with a terminal illness.

Which of the following is a current problem with workers compensation programs?

Which of the following statements about the characteristics of social insurance programs is true?

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.

As of this year,Brad,age 50,has 40 credits under the Social Security program.These credits were all earned in the last 10 years.What is Brad's insured status under the program?

One insured status under Social Security requires you to have earned at least six credits during the last 13 calendar quarters ending with the quarter of death,disability,or entitlement to retirement benefits.This insured status is

Which of the following statements about unemployment insurance benefits is true?

Which of the following statements regarding the Emergency Unemployment Compensation (EUC)program is true?

In order to receive unemployment insurance benefits,an unemployed worker must meet all of the following eligibility requirements EXCEPT

One type of Medicare Advantage Plans provides focused care for a specific group of people,such as diabetics and nursing home residents.This type of Medicare Advantage Plan is a

Which of the following statements about the Social Security cost-of-living adjustment is (are)true? I.The amount of the adjustment is limited to a maximum of 2.5 percent annually. II.Increases are based on changes in the consumer price index.

Which of the following statements about the characteristics of social insurance programs is true?

A serious current concern with the Social Security program is the depletion of the Disability Income Trust Fund.Each of the following contributed to the depletion of the fund EXCEPT

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

Which of the following statements about disability benefits under Social Security is true?

Risk and Its Treatment

Insurance and Risk

Introduction to Risk Management

Enterprise Risk Management

Types of Insurers and Marketing Systems

Insurance Company Operations

Financial Operations of Insurers

Government Regulation of Insurance

Fundamental Legal Principles

Analysis of Insurance Contracts

Life Insurance

Life Insurance and Contractual Provisions

Buying Life Insurance

Annuities and Individual Retirement Accounts

Health-Care Reform;individual Health Insurance Coverages

Employee Benefits: Group Life and Health Insurance

Employee Benefits: Retirement Plans

The Liability Risk

Auto Insurance

Auto Insurance Continued

Homeowners Insurance,section I

Homeowners Insurance,section II

Other Property and Liability Insurance Coverages

Commercial Property Insurance

Commercial Liability Insurance

Crime Insurance and Surety Bonds

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