Exam 10: Managing the Employee-Benefits System

Employers are obligated to distribute summary plan descriptions to employees and DOL within 90 days of the plan becoming subject to ERISA's reporting requirements. (Summary Plan Description)

A summary of material modifications might include changes in plan eligibility rules. (Summary of Material Modification)

Under mix-and-match plans each flexible credit awarded to purchase benefits equals $10. (Mix-and-Match Plans)

These are the three types of utilization reviews. (Utilization Reviews)

Insurers use retrospective utilization reviews to determine that all treatment claims were legitimate. (Utilization Reviews)

This Section of the IRC permits an employer to offer employees the choice between taxable income or to allocate some of their income to purchase qualified benefits through a cafeteria plan. (Cafeteria Plans under Section 125)

Which of the two factors drive the decision to outsource? (Outsourcing the Benefits Function)

This cafeteria plan allows employees to exclude allocated income from federal income tax to pay for the benefits. (Pretax Salary Reduction Plans)

Employers must supply employees with updated summary plan descriptions after every 4 years. (Summary Plan Description)

Employers have been shifting health related costs to employees partly because of the economic downturn starting 2000. (Employee Education)

Utilization reviews are used to evaluate the quality of specific health care services. (Utilization Reviews)

These are the 4 most common types of cafeteria plans. (Types of Flexible Benefit Plan Arrangements)

Under this provider payment system,primary care physicians are paid a fixed dollar amount for each patient,not for the number of services rendered in a given amount of time. (Provider Payment Systems)

Benefits are considered "qualified" if the employee may exclude the cost from federal income tax. (Cafeteria Plans under Section 125)

Waiting periods specify the number of years and employee must wait after applying for a benefit to become eligible for it. (Managing the Costs of Employee Benefits)

Compare one-size-fits-all benefits with employee choice. (A One-Size-Fits-All Approach,Employer Choice to Customize Benefits)

This cafeteria plan allows a single-mother employee to select a benefits package designed to meet the particular needs of single-mothers. (Modular Plans)

Under the modular plan,employees contribute the cost difference between a more extensive benefits package and the lowest-cost package. (Modular Plans)

Modular plans extend a pre-established set of benefits such as medical insurance as a program core. (Core-Plus-Option Plans)

Pretax salary reduction plans allow employees reduced taxes on their salary. (Pretax Salary Reduction Plans)