Xcel Solutions Health and Life 11-35 Chapter 11

If an employee contribute 50% toward the disability plan premium provided by an employer, what would be considered taxable income of a $1000 monthly disability benefit?

$500

Sole proprietors are permitted tax deductions for health costs paid from the earnings in the amount of

100% of costs

How many employees must an employer have for a terminated employee to be eligible for COBRA

20

In an employer-sponsored contributory group disability income plan, the employer pay 60% of the premium and each employee pays 40% of the premium. Any income benefits paid or text to the employee at

60% of the benefit

Ron has a new employer and wishes to enroll in the companies group health plan. In determining whether his pre-existing health condition applies, Ron can I have more than a _______ day gap without previous health insurance.

63

Continue coverage under COBRA Will be provided to all of the following except

A covert employee is terminated for gross misconduct

HIPAA considers which of the following as individually identifiable Health information?

A persons health claim information

Which of the following is an eligible to participate in a section 125 plan?

An S-Corp. owner with a greater than 2% share

What does the consolidated Omnibus Budget Reconciliation Act COBRA of 1985 allowed employee to do?

Any event of employment termination, group health insurance can be kept at the employee pays the premiums

Under the Consolidated Omnibus Budget reconciliation act COBRA, terminating employees benefits must

Be the same and the premium cannot exceed 102%

Which type of business insurance is meant to cover the cost of continuing to do business while the owner is disabled?

Business overhead expense policy

What is issued to each employee of an employer health plan

Certificate

Susan is insured through her group health insurance plan and change her coverage to an individual plan with the same insured after her employment was terminated. This change is called

Conversion

Under health insurance portability and accountability act HIPAA, the employees new group health plan will verify credible coverage so that the

Employees waiting period for coverage of a pre-existing condition can be reduced under the new employers health plan

In an employer sponsored group accident and health plan, a master contract is issued to

Employer

Key Person Disability Insurance pays benefits to the

Employer

Policyholder for group health benefit plan is considered to be the

Employer

Which of the following would be considered a possible applicant in contract policyholder for group health benefits?

Employer

A group disability income plan that pays tax free benefits to cover employees is considered

Fully contributory

According to HIPAA, when an insured individual leaves an employer and immediately begins working for a new company that offers group health insurance, the individual

Is eligible for coverage upon hire

A Person covered with an individual health plan

Is issued a policy

Without a section 125 Plan in Place, what would happen to employees payroll contribution to an HSA?

It would be considered taxable income to the employee

Common exclusion with vision plans is

Lasik surgery

The election of COBRA for continuation of health coverage will

Maintain the same coverage and increase premium

And employer is issued medical insurance pause the single contract is known as a(n)

Master policy

Marketing is working after the age of 65 and is covered through his employer group health plan. The following statements is true?

Medicare is the secondary payer

According to the health insurance portability and accountability act HIPAA, when can a group health policy renewal be denied?

Participation and contribution rules have been violated

Coordination of benefits regulation applies to all of the following plans except

Preferred provider organization plan

Under Subrogation clause, legal action can be taken by the insurer against the

Responsible third party

How can Sharon's involves two perils, accident and ______

Sickness

Justin is receiving disability income benefits from a group policy paid for by his employer. How are these benefits treated for tax purposes?

Taxable income

When can a group health policy renewal be denied according to the health insurance portability and accountability act HIPAA?

When contribution or participation rules have been violated

When are group disability benefits considered to be tax-free to the insured?

When the recipient pays the premiums