Health Insurance Practice Test

Which of the following provisions describes how the insurance company and the insured share expenses after a loss?

Coinsurance

Under which of the following provisions does the insured have the right to renew the policy for the life of the contract, while the insurance company may increase the premiums on a class basis?

Guaranteed renewable

Which of the following is NOT covered under medicare part B?

Hospital room and board charges

Written consent forms for HIV tests must do all of the following EXCEPT

Inform the applicant that negative results will be made public in 5 years

Which of the following statements is correct concerning the Guaranteed Insurability Rider?

It allows coverage to be increased WITHOUT a physical exam

Which of the following is true about Medicaid?

It is funded by the state and the federal government

Which of the following premium payment modes would result in the highest overall premium for a year's worth of life insurance?

Monthly

An insured has a disability policy. After becoming disabled, the insured must wait 90 days before qualifying for benefits. This timeframe is called the

Elimination Period

Which of the following would be a qualifying event as it relates to COBRA

Termination of employment due to company downsizing

In a group health insurance policy, which of the following would be issued the master policy?

Employer

The provision in health insurance policies which states that both the printed contract and a copy of the application for the contract between the policyowner and the insurer is called the

Entire Contract

On a policy that contains a guaranteed renewable provision, when can the insurer increase premiums?

On the policy anniversary date

Which of the following provisions specifies to whom claims are to be paid?

Payment of claims

HMOs help reduce the cost of health care by providing

Preventive care

What Medicare Advantage Plan is offered through private insurance companies?

Private fee-for-service

Which of the following mandatory health provisions states the specified number of days given to an insured to return the completed claim forms to the insurance company?

Proof of Loss

In insurance contracts, consideration on the part of the insured is

The payment of premiums and representations made in the application

Who has the authority to make changes to an insurance contract?

The policyholder

Which of the following does NOT describe the principal goal of a Preferred Provider Organization?

They provide medical services only from physicians in the network

What is the purpose of Medigap policies?

To cover expenses for Medicare deductibles and coinsurance

When does the free-look period begin for insurance policies?

When the policyowner receives the policy