Question 1

Peter has a health insurance policy that includes a deductible of $1,000,a coinsurance of 20%,and a stop-loss of $4,000.If his total bill is $20,000,how much will he pay?

Accepted Answer

A)  $1,000 
B)  $3,800 
C)  $4,000 
D)  $4,800 
E)  $19,000

Question 2

The type of health insurance coverage that may specify the maximum payment amount for an operation is

Accepted Answer

A)  Dental expense. 
B)  Surgical expense. 
C)  Hospital expense. 
D)  Physician expense. 
E)  Major medical expense.

Question 3

Which of the following is correct?

Accepted Answer

A)  A premium reimburses you for hospital stays, doctors' visits, and medications. 
B)  A premium is the amount your employer will pay for your health insurance coverage. 
C)  Disability income insurance pays actual medical costs. 
D)  Medical expense insurance provides payments to make up for income of a person who cannot work as a result of injury or illness. 
E)  Medical expense plans may reimburse an individual for hospital stays, doctors' visits, and medications.

Question 4

Think about the benefits offered by health insurance policies and their trade-offs.Do you think that everyone should get the same benefits?
 Why or why not?

Accepted Answer

The answer of Think about the benefits offered by health...

Question 5

The copayment provision deals with the amount that someone will pay for a bill such as 20% coinsurance.

Accepted Answer

A) True 
 B)False

Question 6

Identify at least three types of health insurance coverage.

Accepted Answer

The answer of Identify at least three types of health...

Question 7

Some policies consider the average fee for a service in a particular geographical area.They then use that amount to set a minimum payment for policyholders.

Accepted Answer

A) True 
 B)False

Question 8

Miguel is concerned that the health insurance option he is considering plays upon unrealistic fears.He is most concerned about a

Accepted Answer

A)  Deductible. 
B)  Coinsurance. 
C)  Stop-loss provision. 
D)  Hospital indemnity policy. 
E)  Dread disease policy.

Question 9

Which of the following is true about an elimination period?

Accepted Answer

A)  Premiums for a plan with an elimination period of 30 days will be less than premiums for a plan with an elimination period of 45 days. 
B)  Premiums for a plan with an elimination period of 50 days will be the same as premiums for a plan with an elimination period of 75 days. 
C)  Premiums for a plan with an elimination period of 40 days will be less than premiums for a plan with an elimination period of 75 days. 
D)  Premiums for a plan with an elimination period of 90 days will be the same as premiums for a plan with an elimination period of 60 days. 
E)  Premiums for a plan with an elimination period of 90 days will be less than premiums for a plan with an elimination period of 60 days.

Question 10

Anna contributes pretax dollars to an account managed by her employer for her health care expenses.If she does not spend all of her money by the end of the year,she may forfeit it.What kind of plan does she have?

Accepted Answer

A)  FSA 
B)  HRA 
C)  HSA 
D)  Medicare 
E)  Self-funded health plan

Question 11

Jacob is concerned that his out-of-pocket health care expenses will be quite high,so he is considering adding contributions to a tax-free account that he can use with his high-deductible policy to cover catastrophic expenses.What kind of plan does he have?

Accepted Answer

A)  FSA 
B)  HRA 
C)  HSA 
D)  Medicare 
E)  Self-funded health plan

Question 12

The average per employee cost for health care in 2012 was more than

Accepted Answer

A)  $1,500. 
B)  $4,000. 
C)  $8,900. 
D)  $19,800. 
E)  $20,000.

Question 13

How are FSAs and HSAs similar?

Accepted Answer

The answer of How are FSAs and HSAs similar?...

Question 14

Which of the following about individual health insurance policies is correct?

Accepted Answer

A)  They are used by employees of large organizations. 
B)  All insurance companies that offer this type of policy are required to charge the same rates. 
C)  They are primarily for employees of small companies. 
D)  They are permitted for individuals only, not for families. 
E)  They are available for the self-employed or others who are dissatisfied with the coverage that their group plan provides.

Question 15

The definition of disability is stricter for Social Security than for employer plans.

Accepted Answer

A) True 
 B)False

Question 16

Larry has a health insurance policy that includes a deductible of $1,000 and a coinsurance of 20%.If his total bill is $7,000,how much will his insurance pay?

Accepted Answer

A)  $800 
B)  $1,000 
C)  $2,200 
D)  $4,800 
E)  $6,000

Question 17

Larry has a health insurance policy that includes a deductible of $1,000 and a coinsurance of 20%.If his total bill is $5,000,how much will his insurance pay?

Accepted Answer

The answer of Larry has a health insurance policy that...

Question 18

Georgia has a health insurance policy that includes a deductible of $500 and a coinsurance of 20%.If her total bill is $3,000,how much will her insurance pay?

Accepted Answer

The answer of Georgia has a health insurance policy that...

Question 19

Surgical expense coverage for health insurance includes surgeon's fees in a doctor's office.

Accepted Answer

A) True 
 B)False

Question 20

A health insurance policy that pays you back for actual expenses is called an indemnity policy.

Accepted Answer

A) True 
 B)False

Exam 9: Health and Disability Income Insurance

Peter has a health insurance policy that includes a deductible of $1,000,a coinsurance of 20%,and a stop-loss of $4,000.If his total bill is $20,000,how much will he pay?

The type of health insurance coverage that may specify the maximum payment amount for an operation is

Which of the following is correct?

Think about the benefits offered by health insurance policies and their trade-offs.Do you think that everyone should get the same benefits? Why or why not?

The copayment provision deals with the amount that someone will pay for a bill such as 20% coinsurance.

Identify at least three types of health insurance coverage.

Some policies consider the average fee for a service in a particular geographical area.They then use that amount to set a minimum payment for policyholders.

Miguel is concerned that the health insurance option he is considering plays upon unrealistic fears.He is most concerned about a

Which of the following is true about an elimination period?

Anna contributes pretax dollars to an account managed by her employer for her health care expenses.If she does not spend all of her money by the end of the year,she may forfeit it.What kind of plan does she have?

Jacob is concerned that his out-of-pocket health care expenses will be quite high,so he is considering adding contributions to a tax-free account that he can use with his high-deductible policy to cover catastrophic expenses.What kind of plan does he have?

The average per employee cost for health care in 2012 was more than

How are FSAs and HSAs similar?

Which of the following about individual health insurance policies is correct?

The definition of disability is stricter for Social Security than for employer plans.

Larry has a health insurance policy that includes a deductible of $1,000 and a coinsurance of 20%.If his total bill is $7,000,how much will his insurance pay?

Larry has a health insurance policy that includes a deductible of $1,000 and a coinsurance of 20%.If his total bill is $5,000,how much will his insurance pay?

Georgia has a health insurance policy that includes a deductible of $500 and a coinsurance of 20%.If her total bill is $3,000,how much will her insurance pay?

Surgical expense coverage for health insurance includes surgeon's fees in a doctor's office.

A health insurance policy that pays you back for actual expenses is called an indemnity policy.