Attempt 6
Most HMOs operate through what type of system?
A group enrollment system either at their place of employment or as a member of an association
What is the term used for an applicant's written request to an insurer for the company to issue a contract, based on the information provided?
Application
What type of policy allows the insurance company to cancel a policy at any time?
Cancellable
Contracts that are prepared by one party and submitted to the other party on a take-it-or-leave-it basis are classified as
Contracts of adhesion.
Applications to an insurer must include all of the following information, EXCEPT
Credit history report
The requirement that agents not commingle insurance monies with their own funds is known as
Fiduciary responsibility.
Underwriting a group health insurance plan that is paid for by the employer requires all of the following EXCEPT
Individual members of the group may select the level of benefits for their own coverage.
Which of the following is NOT true regarding a flexible spending account?
It does not have limits on contributions
Which document helps ensure that full and fair disclosure is provided to the recipient of a policy?
Outline of Coverage
Which of the following is NOT provided by an HMO?
Reimbursement
All of the following statements about Medicare supplement insurance policies are correct EXCEPT
They cover the cost of extended nursing home care.
When an HMO knowingly makes any misleading representations, incomplete or fraudulent comparisons for the purpose of inducing any person to lapse, forfeit, terminate, surrender or convert any insurance policy or contract with another insurance company or HMO, they are in violation of the unfair trade practice of
Twisting
The Office of Insurance Regulation is responsible for all of the following insurer activities EXCEPT
Issue of securities.