Question 1

Although one of the objectives of workers' compensation is the reduction of costly litigation, many cases still go to court.

Accepted Answer

A) True 
 B)False  True

Question 2

Workers' compensation has four main objectives: income replacement, rehabilitation, accident prevention, and cost allocation.

Accepted Answer

A) True 
 B)False  True

Question 3

Prior to enactment of workers' compensation laws, employees had absolutely no recourse when they were injured.

Accepted Answer

A) True 
 B)False  False

Question 4

Workers' compensation laws were originally ruled as unconstitutional by the courts.

Accepted Answer

A) True 
 B)False

Question 5

In workers' compensation cases in which the worker is fatally injured, dependents children receive benefits:

Accepted Answer

A)  For life
B)  Until they are employed full time
C)  Until the age of 16
D)  Until the age of maturity

Question 6

Though workers' compensation laws vary from state to state, they all provide benefits, pay medical costs, and provide for rehabilitation.

Accepted Answer

A) True 
 B)False

Question 7

Workers' compensation applies only when an injury can be categorized as arising out of employment.

Accepted Answer

A) True 
 B)False

Question 8

The principal method used for determining insurance premium rates for employers is average number of work days lost per 100 employees annually.

Accepted Answer

A) True 
 B)False

Question 9

The key concept in distinguishing between an employee and a contractor for workers' compensation purposes is direction (supervision).

Accepted Answer

A) True 
 B)False

Question 10

If a worker is injured because of reckless or intentional action by an employer, that worker can by-pass the workers' compensation system and sue in court.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following is a theoretical approach for handling permanent partial disability cases?

Accepted Answer

A)  The wage-loss theory
B)  The human error theory
C)  The decrease litigation theory
D)  The domino theory

Question 12

Contested workers' compensation claims require:

Accepted Answer

A)  Lawsuit
B)  Public hearing
C)  Direct settlement
D)  Settlement agreement

Question 13

Injuries that are compensable through workers' compensation fall into one of just two categories: 1)temporary total disability, or 2)permanent total disability.

Accepted Answer

A) True 
 B)False

Question 14

The definition of what constitutes a serious injury varies from state to state. However, typically an injury is considered serious if:

Accepted Answer

A)  It requires 24 hours or more of active medical treatment
B)  It requires a trip the emergency room
C)  It requires 24 hours or more of passive medical treatment such as observation
D)  It causes the loss of two or more work days

Question 15

Which of the following is NOT a problem associated with workers' compensation?

Accepted Answer

A)  It has not achieved its intended objectives
B)  There is evidence of abuse
C)  Benefits to injured personnel are out of control
D)  It has not succeeded in removing litigation from the process

Question 16

There are four types of workers' compensation: state funds, private insurers, self-insurance, and federal government insurance.

Accepted Answer

A) True 
 B)False

Exam 7: Workers Compensation

Although one of the objectives of workers' compensation is the reduction of costly litigation, many cases still go to court.

Workers' compensation has four main objectives: income replacement, rehabilitation, accident prevention, and cost allocation.

Prior to enactment of workers' compensation laws, employees had absolutely no recourse when they were injured.

Workers' compensation laws were originally ruled as unconstitutional by the courts.

In workers' compensation cases in which the worker is fatally injured, dependents children receive benefits:

Though workers' compensation laws vary from state to state, they all provide benefits, pay medical costs, and provide for rehabilitation.

Workers' compensation applies only when an injury can be categorized as arising out of employment.

The principal method used for determining insurance premium rates for employers is average number of work days lost per 100 employees annually.

The key concept in distinguishing between an employee and a contractor for workers' compensation purposes is direction (supervision).

If a worker is injured because of reckless or intentional action by an employer, that worker can by-pass the workers' compensation system and sue in court.

Which of the following is a theoretical approach for handling permanent partial disability cases?

Contested workers' compensation claims require:

Injuries that are compensable through workers' compensation fall into one of just two categories: 1)temporary total disability, or 2)permanent total disability.

The definition of what constitutes a serious injury varies from state to state. However, typically an injury is considered serious if:

Which of the following is NOT a problem associated with workers' compensation?

There are four types of workers' compensation: state funds, private insurers, self-insurance, and federal government insurance.