Exam (elaborations)
Arkansas Health Insurance Study Questions and Answers
- Course
- Institution
Arkansas Health Insurance Study Questions
[Show more]
Content preview
Arkansas Health Insurance StudyQuestions
At what point must a life insurance applicant be informed of their right that fall under the
Fair Credit Reporting Act? - answer upon completion of the application
Who elects the governing body of a mutual insurance company? - answer policyholders
An insurance applicant MUST be informed of an investigation regarding his/her
reputation and character according to the - answer Fair Credit Reporting Act
What type of reinsurance contract involves two companies automatically sharing their
risk exposure? - answer Treaty
The stated amount or percent of liquid assets that an insurer must have on hand that
will satisfy future obligations to its policyholders is called - answer Reserves
Which statement is TRUE regarding a group accident and health policy issued to an
employer? *Neither the employer or employee are policy owners *The employer is
issued a certificate of coverage and each employee receives a policy * The employer
receives the policy and each employee is issued a certificate
*Both the employer and employee are policy owners. - answerThe employer receives
the policy and each employee is issued a certificate.
G is an accountant who has ten employees and is concerned about how the business
would survive financially if G became disabled. The type of policy which BEST
addresses this concern is *Business Overhead Expense * Disability Income *Key
Employee Life * Contributory - answerBusiness Overhead Expense-- this policy's
purpose is to cover certain overhead expenses that continue when the business own is
disabled.
How does group insurance differ from individual insurance? - answerGroup insurance
differs from individual insurance in that it provided coverage at a lower cost.
The difference between group insurance and blanket health policies is - answerBlanket
health policies do not issue certificates.
Which of the following statements BEST describes how a policy that uses the
"accidental bodily injury" definition of an accident differs from one that used the
"accidental means" definition? *double indemnity
, *benefits are taxable * more restrictive *less restrictive - answerLess restrictive. A policy
that uses "accidental bodily injury" definition of an accident is less restrictive than the
one that uses the "accidental means" definition.
Which of the following characteristics is associated with a large group disability income
policy? *no waiting periods *no medical underwriting *no elimination periods * no limit of
benefits - answerNo medical underwriting. A large group disability income policy can be
distinguished by no medical underwriting.
Which contract permits the remaining partners to buy-out the interest of a disabled
business partner? - answerA disability buy-sell plan allows the remaining partners to
buy out the interest of the disabled business partner.
An insurance company would MOST likely pay benefits under Accidental Death and
Dismemberment policy who which of the following losses? *loss of life due to a heart
attack *loss of eyesight due to an accidental injury *loss of the spleen due to an
accidental injury
* partial paralysis due to a stroke - answerLoss of eyesight due to an accidental injury.
XYZ Company pays the entire premium for its group health plan. The MINIMUM
percentage of eligible employees that must be covered is *25% *50% *75%
or *100% - answerMost noncontributory health plans require 100% participation by
eligible employees.
P is a new employee and will be obtaining non-contributory group Major Medical
insurance from her employer. Which of the following actions must she take during the
open enrollment period? * Authorize for payroll deductions * Agree to a physical
examination *Sign an enrollment card * Register with her state of residency - answerA
new employee must sign an enrollment card during the open enrollment period.
A medical care provider which typically delivers health services at its own local medical
facility is know as a
*Health Maintenance Organization * Regional Provider *Multiple Employer Trust
*Preferred Provider Organization - answerHealth Maintenance Organization. HMO's
traditionally provide services to its members at its own local health care facilities.
Which type of provider is know for stressing preventative medical care? *Multiple
Employer Welfare Arrangements (MEWA) * Major medical provider *Health
Maintenance Organizations (HMO's) *Preferred Provider Organizations (PPO's) -
answerThe health provider that stresses preventative medical care is know as a Health
Maintenance Organization.
Which of the following BEST describes how a Preferred Provider Organization (PPO) is
less restrictive than a Health Maintenance Organization (HMO)? *Typically not subject
to deductibles *Not regulated by the federal government *More benefits available *More
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller julianah420. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $16.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
75632 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now