2-40 Health and Accident Insurance State Exam Prep| 103 QUESTIONS| WITH COMPLETE SOLUTION

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Multiple Employer Welfare Arrangement (MEWA) provides what type of benefits? Correct Answer: Insurance XYZ Company pays the entire premium for its group health plan. The MINIMUM percentage of elig... ible employees that must be covered is Correct Answer: 100% In Major Medical Expense policies, what is the intent of Stop Loss provision? Correct Answer: Limits an insured's out-of-pocket medical expenses Q is hospitalized for 3 days and receives a bill for $10,100. Q has a Major Medical policy with a $100 deductible and 80/20 coinsurance. How much will Q be responsible for paying on this claim? Correct Answer: $2,100 Omitting information that affects the issuance or the rate of an insurance contract is called Correct Answer: concealment Florida requires that coverage for newborns begins "from the moment of birth" and continues for Correct Answer: 18 months In order to establish a Health Reimbursement Arrangement (HRA), it MUST Correct Answer: be established by the employer Which provision allows a portion of any used medical benefits to be restored following a particular amount of benefits has been used, or after the policy has been in effect for a particular period of time? Correct Answer: Restoration of used benefit Disability policies do NOT normally pay for disabilities arising from which of the following? Correct Answer: War According to Florida law, when must an agent deliver the Outline of Coverage to a Medicare Supplement applicant? Correct Answer: At the time of application An agent selling Medicare Supplement policies must provide every applicant with a(n) Correct Answer: Suitability form One definition of replacement is "the act of replacing an existing insurance policy with another". Replacement is Correct Answer: closely regulated and requires full disclosure Who makes the legally enforceable promises in a unilateral insurance policy? Correct Answer: insurance company [Show More]

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