Chapter 14 financial lit

medicare

a federally-funded health insurance program for people over 675and people with certain disabilities

preferred provide organization

a group of doctors and hospitals that agree to provide specified medical services to members at prearranged fees

medicaid

a medical assistance program for certain low-income individuals

whole life insurance

a permanent policy for which you pay a specified premium each year for the rest of your life

beneficiary

a person named to receive the benefits from an insurance policy.

stop loss

an insurance policy provision that requires the policyholder to pay all costs up to a certain amount, after which the insurance company pays 100 percent of the remaining expenses covered in the policy

what types of coverage are provided by blue cross and blue shields

blue cross covers hospital care and blue shields covers surgical and medical benefits

disability income insurance

coverage that provides regular cash income when you are unable to work due to pregnancy, non-work-related accident, or illness

cash value

in a whole life policy, the accumulated savings to which you are entitled when and if you cancel the policy.

term insurance

insurance that provides protection against loss of life for only a specified term or period of time; also called temporary life insurance

what are the four key provisions in a life insurance policy

name of insured, death benefit amount, cash value, cost premium.

what is credit life insurance used for

pays off debts such as auto loans, or mortgages in the event of death.

managed care

prepaid health plans that provide comprehensive health care to their members

what are four main sources of disability income

workers comp, private income insurance, progarams employer, social security.