1- Health and Accident Insurance (Test only has 10 questions)

Which of these circumstances is a Business Disability Buy-Sell policy designed to help in the sale of a business?

Business owner becoming disabled

The federal income tax treatment of employer-provided group health insurance can be accurately described as

Employee's coverage paid for by the employer is tax-deductible to the employer as a business expenditure

Which of the following statements BEST describes how a policy that uses the "accidental bodily injury" definition of an accident differs from one that uses the "accidental means" definition?

Less restrictive

A Business Overhead Expense policy would cover which of the following if a business owner becomes disabled?

Utilities and office rent

The benefits under a Disability Buy-Out policy are

payable to the company or another shareholder

B has a $100,000 Accidental Death and Dismemberment policy that pays triple indemnity for common carrier death. If B is killed from an accident on a commercial flight, what will the policy pay B's beneficiary?

$300,000

XYZ Company pays the entire premium for its group health plan. The MINIMUM percentage of eligible employees that must be covered is

100%

Under which of the following circumstances do the benefits under COBRA continuation coverage expire?

All group health plans are eliminated by the employer

Accidental Death coverage is provided to commercial airline passengers in which of the following types of policies?

Blanket Accident policy

When an employee is required to pay a portion of the premium for an employer/employee group health plan, the employee is covered under which of the following plans?

Contributory

Which of the following best describes a contingent beneficiary?

Person designated by the insured to receive policy proceeds in the event that the primary beneficiary dies before the insured

Which type of policy pays benefits to a policyholder covered under a Hospital Expense policy?

Reimbursement

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?

Sign an enrollment card

The Consolidated Omnibus Budget Reconciliation Act (COBRA) gives workers (and their families) whose employment has been terminated the right to

continue group health benefits

The Health Insurance Portability and Accountability Act (HIPAA) gives privacy protection for

health information

The Coordination of Benefits provision

prevents an insured covered by two health plans from making a profit on a covered loss