health and accident exam

If an employee contributes 50% toward the disability plan premium provided by an employer, what would be considered the taxable income of a $1,000 monthly disability benefit?

$500

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

100% of costs

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

20

Ron has a new employer and wishes to enroll in the company's group health plan. In determining whether his pre-existing health condition applies, Ron cannot have more than a ___ day gap without previous health insurance.

63

Mark continues working after the age of 65 and is covered through his employer's group health plan. Which of the following statements is TRUE?

Medicare is the secondary payer

Continued coverage under COBRA would be provided to a(n)

a covered employee is terminated for gross misconduct

Under a disability income policy, which provision would be payable if the cause of an injury is unexpected and accidental?

accidental bodily injury provision

Which of the following does Coordination of Benefits allow?

allow the secondary payor to reduce their benefit payments so no more than 100% of the claim is paid

Which of the following is INELIGIBLE to participate in a Section 125 Plan?

an S-Corp owner with a greater than 2% share

The purpose of the Coordination of Benefits provision in group accident and health plans is to

avoid overpayment of claims

Under the Consolidated Omnibus Budget Reconciliation Act (COBRA), a terminated employee's benefits must

be the same and the premium cannot exceed 102%

Which type of business insurance is meant to cover the costs 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 changed her coverage to an individual plan with the same insurer after her employment was terminated. This change is called a(n)

conversion

Under group health insurance, a certificate of coverage is issued to the

employee

Under the Health Insurance Portability and Accountability Act (HIPAA), the employee's new Group Health Plan will verify Creditable Coverage so that the

employee's waiting period for coverage of a preexisting condition can be reduced under the new employer's health plan

Is an employer-sponsored group accident and health plan, a master contract is issued to the

employer

Key Person Disability Insurance pays benefits to the

employer

The policyholder for a group health benefit plan is considered to be the

employer

A group Disability Income plan that pays tax-free benefits to covered employees is considered

fully contributory

Credit Accident and Health plans are designed to

help pay off existing loans during periods of disability

What does the Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985 allow an employee to do?

in the event of employment termination, group health insurance can be kept if the employee pays the premiums

Health insurance will typically cover which of the following perils?

injury due to accident

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

The election of COBRA for continuation of health coverage will

maintain the same coverage and increase premium

What is the contract called that is issued to an employer for a Group Medical Insurance plan?

master policy

Group health plans may deny participation based upon the

member's part-time employment status

Which of the following would evidence ownership in a participating health insurance contract?

policy ownership

Coordination of Benefits regulation applies to all of the following plans EXCEPT

preferred provider organization plan

Health insurance involves two perils, accident and ___

sickness

Which of the following decisions would a Health Savings Account (SA) owner NOT be able to make?

the amount contributed by the employer

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