LIFE, HEALTH ANNUITIES & VARABLE CONTRACTS EXAM
QUIZBANK COMPLETE A+ GRADED WITH ACCURATE
SOLUTIONS FLORIDA STATE UNIVERSITY.
An employee's group health insurance eligibility can include time "in-
service" and also" employment type" (full-time vs. part-time) or minimum
hours worked
True or False? To be eligible for group health coverage the group must be
either a natural group; or an "unnatural group", one which has been
formed the sole purpose of obtaining group insurance.
Verified Answer -false:
To be eligible for group health coverage the group must be a natural
group; one which has been formed for a reason other than the sole
purpose of obtaining group insurance.
Group medical expense plans are required to offer __________ benefits for
all plans which insure fifteen (15) or more people.
Verified Answer -maternity
Michele obtains her health insurance coverage through her employer; her
employer pays 50% of the cost of the insurance and Michele pays the
other 50%
What type of plan does Michele have?
Verified Answer -Michele's plan is a "contributory" plan.
A contributory plan is one where the employer pays for part of the
premium and the insured pays for the other portion. A non-contributory
plan is one where the employer pays for all of the premium
,Apple Snacks is a small, minority based business which makes apple fruit
pies for sale on consignment. Apple Snacks has ten full time employees.
Does Apple Snacks have the minimum number of employees to be eligible
for a group health insurance policy in Florida?
Verified Answer -yes, ApplieSnacks is eligible for group health insurance
as there is no minimum group size for group health insurance in Florida:
There is no minimum number of employees or percentage of participants
required by Florida law for a group to be eligible for a group plan of
insurance.
Group plans are issued for employer and other group with the contract of
coverage being held between the insurance company and the group. The
group is issued a ___________ and individuals in the group are issued
certificates of insurance which outline the plans benefits
Verified Answer -certificate
Group plans are issued for employer and other group with the contract of
coverage being held between the insurance company and the group. The
group is issued a master policy and individuals in the group are issued
certificates of insurance which outline the plans benefits.
What are HSA eligible qualified health care expenses?
Verified Answer -Doctors' Fees
Prescribed Medicine
Hospital Services not paid by insurance
Retiree Health Insurance premiums
Medicare Expenses
Qualified LTC services
,COBRA coverage
Adverse selection is ?
Verified Answer -when the insureds with the *greatest* exposure to loss
purchase insurance and few or no others purchase the same plan of
insurance.
The Coordination of Benefits (COB) provision in group health plans is in
place to remove the______________ hazards of "over-insurance"
Verified Answer -moral and morale:
The Coordination of Benefits (COB) provision in group health plans is in
place to remove the moral and morale hazards of "over-insurance". The
maximum recovery by the insured is the total allowable medical expense.
Jerry has filed to keep his group health insurance after terminating his
employment (COBRA).The total cost of Jerry's group health insurance was
$1,000.What is the maximum amount Jerry can be charged for his
extended group coverage?
Verified Answer -$1,020:
COBRA ensures a terminated employee can keep their GROUP coverage
but may be required to pay up to 102% of the premium; $1,000 X 1.02 =
$1,020.
True or False? To be eligible for group health coverage the group must be
either a natural group; or an "unnatural group", one which has been
formed the sole purpose of obtaining group insurance
Verified Answer -Fasle:
, To be eligible for group health coverage the group must be a natural
group; one which has beenformed for a reason other than the sole purpose
of obtaining group insurance.
Business Overhead Expense Insurance
Verified Answer -are tax deductible as a business expense to the business
Benefits received from the business
Verified Answer -are taxable as income to the business.
The benefits of group insurance plans include:
Verified Answer -Premium cost absorption in whole or part by the
employer
Broad coverage features
Conversion privileges in the event of employment termination
Ease of application process
Guaranteed insurability
Business continuation plans assist a business with continuity of its
operations and employee ____________.
Verified Answer -retention:
Business continuation plans assist a business with/in:
Continuity in Operations
Sustainability of Cost and Profits
Employee Retention
Client/Customer Retention
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