Guaranteed Test Questions 1

What does every medicare supplement display on the first page?

"Notice to the Buyer: this plan may not cover all your medical expenses"

What is another term for a health insurance policy subscriber?

Participant

Regarding the PPACA health care tax credit, which of the following is true? a) tax credits are based upon a taxpayer's or family's expected annual medical expenses b) all wage earners who purchase a health care insurance are eligible for the tax credit c) tax credits are sent to the tax payer to reduce monthly insurance premiums d) Persons receiving Medicaid are not eligible

d) Persons receiving Medicaid are not eligible

In Mass, how often are licenses required to be renewed?

every 36 months

What medical expenses are received income tax free by the employee?

group medical and dental expenses

An Insurer can decide to not renew an Optionally renewable policy

on premium due dates

What does business overhead policies reimburse for?

the policy reimburses the insured for the covered expenses incurred or the maximum stated in the policy, whichever is less

What is the latest point at which the Outline of Coverage may be presented?

at the time of policy delivery

All of the following are features of a health insurance plan purchased on the health insurance marketplace EXCEPT: a) coverage for pre-exisitng conditions b) dollar limits on essential benefits c) guaranteed renewability d) coverage for emergency services

b) dollar limits on essential benefits

Which of the following is NOT a characteristic of a Managed Care Plan? a) comprehensive case management b) preventative care c) controlled access of providers d) risk retention

d) risk retention

All of the following statements about mutual insurance companies are correct EXCEPT: a) dividends allow policyholders to share in a mutual company's divisible surplus b) dividends are a return of unused premiums c) mutual companies issue policies referred to as participating d) Policy dividends issued by mutual companies are guaranteed and not taxable

d) Policy dividends issued by mutual companies are guaranteed and not taxable

The Commissioner will examine affairs for how many years?

5 years

If a person qualifies for social Security disability benefits after the 5 month elimination period, when will the benefits begin?

benefits begin at the beginning of the 6th month and are not retroactive to the beginning of the disability

All the following health insurance benefits are income tax free EXCEPT: a) key-person disability b) personally-owned individual disability insurance c) Employer-paid group disability d) employee-paid group disability

c) Employer-paid group disability

A core Medicare Supplement policy (Plan A) will cover all following expenses except: a) 20% of Part B coinsurance amounts for Medicare-approved services b) Part A coinsurance c) Part A deductible d) the first 3 pints of blood

c) Part A deductible

Which of the following is a requirement for replacement of health policies? a) replacements in health insurance are not allowed b) the old policy must be cancelled before the new policy can be issued c) the old policy must stay in force until the new policy is issued d) policies must overlap to cover pre-existing conditions

c) the old policy must stay in force until the new policy is issued

An employee goes on an extended leave of absence then returns to work, what coverage with he receive?

limited coverage

A licensed producer must inform the Commissioner of his change of address ____

within 30 days

Once the initial benefit limit in Medicare Part D is reached, how is the beneficiary affected?

the beneficiary is responsible for a portion of prescription drug costs

Who determines if a particular group of employees can be excluded from group insurance

the employer

an employee may enroll in an employers group health plan when they are eligible and evidence of insurability is required everywhere except

the annual open enrollment period

What is the purpose of a benefits schedule? a) to list the insured's copays and deductibles b) to state what and how much is covered in the plan c) to include the average charges for procedures d) to provide the dates for the payment of benefits

b) to state what and how much is covered in the plan

Under HIPAA portability, which of the following are NOT protected under required benefits?

Groups of one or more

Which of the following would not be provided by an HMO? a) Unlimited coverage for treatment drug rehab b) treatment for mental disorders c) Emergency care d) inpatient hospital care outside the service area

a) Unlimited coverage for treatment drug rehab

Which policy rider added to a disability income policy may require that a benefit be paid as a "capital" sum?

accidental death and dismemberment

The Commissioner may suspend or modify the filing requirements for

any kind of insurance or classes of risk for which the rates cannot be practically filed before that are used

If an agent is following the rules of the contract they are exercising

express authority

When may HIV-related test results be provided by the MIB

if the person is not identified