Exam 9: Insuring Your Health

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Medicare [hospital | supplemental medical] insurance requires that those covered pay a monthly premium.

Health Maintenance Organizations (HMOs)provide pre-paid health care to participants.

Millions of Americans are not covered by health insurance.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Workers Compensation would make payments to an injured worker [if he had been hurt on the job | only if he could prove negligence on the part of his employer].

A comprehensive major medical insurance would not

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -One difference between health maintenance organizations (HMOs)and individual practice associations (IPAs)is that [HMOs cost much less | IPAs do not provide services from a central location].

Which of the following statements is true about a guaranteed renewable long-term care policy?

An elimination period is the number of days that must pass before disability policies pay proceeds.

Medicare is a government-sponsored health care plan composed of Part A and Part B.Part B covers

Hospital indemnity policies would make payment for

An Individual Practice Association differs from a HMO in that

Gabe is 58 years old and has been dependent on a cane for a couple of years.Gabe fears that he may need long term care services some day in the future.His net worth is $400,000 and he receives $50,000 per year in a pension.He considers himself to be in excellent health and has never had a serious health scare like a heart attack,stroke,or cancer.He eats lots of bran and exercises regularly.Which of the following policies would you recommend to Gabe?

Blue Cross provides hospital coverage and Blue Shield provides prescription pharmacy coverage.

Large employers are less likely to offer health insurance to their employees than small employers.

Bob and Barbara Castle are each 39 years old and have sought your advice with regard to their financial affairs.Bob is a school administrator making $75,000 per year and Barbara is not employed outside of the home.The Castles' net worth is approximately $190,000.They have three kids ages,6,10,& 14.You have determined that the Castles currently have adequate life,health,auto,and homeowner's insurance.Which of the following forms of insurance is likely to fulfill their highest priority risk management need?

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Dependent children [regardless of age | up to a stated maximum age] will usually be covered by your health insurance policy.

A preferred provider organization has characteristics of both managed care and an indemnity plan.

Which of the following types of plans pay for some medical costs even when the insured decides to go out of the provider network (without a referral)for services?

Group health insurance premiums are usually lower than individual health insurance premiums.

If you are trying to keep your disability income premiums reasonably priced but still appropriate for insuring your financial needs,select a short elimination period and a short duration of benefits.