Exam 11: Managing Health Expenses

By selecting a longer waiting period,the purchaser of long-term care insurance can afford long-term coverage and still keep the premiums affordable.

Long-term care insurance replaces a portion of the income lost when you cannot work because of illness or injury.

For benefits to begin under a long-term care insurance plan the patient must

Medicare (Part A) covers prescription drugs

Employers are more likely to offer short-term rather than long-term disability income insurance as a free employee benefit.

Persons who have a high-deductible health plan can make tax-sheltered deposits into an investment account called a _______ from which they can pay medical expenses.

Reimbursement for costs associated with intermediate and custodial care in a nursing facility or at home is provided by

Medicare Part A

In a dual-income household where both employers provide a health care plan,it is important to choose to be covered under the plan that provides ____ and is ____.

Health maintenance organizations provide health care rather than health insurance.

You can make changes in your group health care plan at any time during the year

To qualify as a high-deductible health care plan,the deductible must be at least

Gary contributes $200 a month to a flexible spending arrangement for health care.If Gary is in the 25 percent marginal tax bracket,which of the following is true?

A clause that require you to pay an initial portion of medical expenses annually before receiving reimbursement is a/an

HMOs generally require that your primary care physician must order all procedures and approve referrals to medical specialists.

Young adults may stay on a parent's health care plans until age 22 or graduating from college whichever comes first.

James was injured in a freak accident in his dorm room and had to spend several days in the hospital.His covered medical costs totaled $8,000.How much will James's health insurance policy pay for this claim given the following policy information? $400 deductible per year 80/20 coinsurance $2,000 per year out-of-pocket coinsurance cap

A(n) ____ refers to treatment preferences and the designation of a surrogate decision maker in the event that a person should become unable to make decisions on her or his own behalf as a result of coma,dementia,brain tumor or other serious medical condition.

Drawbacks of an HMO include

The provision in a disability income policy that states how long benefits will be received is called the