COLORADO HEALTH INSURANCE EXAM 2026
MASTER REVISION NOTES AND PRACTICE SET
◉ Elimination (Waiting) Period. Answer: Time period insured must
be disabled before benefits begin, not paid retroactively
- 30, 60, 90, 180 days
◉ Benefit Period. Answer: Benefits paid during disability period or
until end of specified period of time
-Typically 1 year, 2 years, 5 years, and to age 65
◉ Waiver of Premium. Answer: Waives premium payments during
disability after initial waiting period, retroactively effective to
beginning of waiting period and premiums paid during that time will
be refunded once benefits begin
◉ Additional Monthly Benefit (AMB) Rider. Answer: Pays an
additional benefit amount with regular monthly benefit for limited
period of time (usually 6 or 12 months), paid even if insured
receives government benefits
-Work comp, other government programs
◉ Social Insurance Supplement (SIS) Rider. Answer: Pays in addition
to regular disability policies until Workers' Compensation or Social
,Security payments begin, pays only during policy period, makes up
for gaps left by government programs
◉ Non-Occupational Coverage. Answer: Covers disabilities that
result from non-job-related illnesses or injuries
◉ Occupational Coverage. Answer: Covers both job-related and non-
job related disabilities
◉ Partial Disability. Answer: Pays 50% of total benefit, person
returns to work in a reduced capacity, usually no longer that 3-6
months
◉ Residual Disability Benefits. Answer: Based on amount of income
lost due to disability, if less than stated income reduction then no
benefits will be paid
◉ Recurrent Disability. Answer: Protects employee who returns to
work but becomes disabled again due to same related cause, must
occur within certain time frame after returning to work, no waiting
to receive benefits again
◉ Cost-Of-Living-Adjustment (COLA) Rider. Answer: Benefit amount
can increase while receiving disability based on Consumer Price
Index, adjusted usually every 12 months
, ◉ Future Increase Option (FIO) Rider. Answer: Allows insured to
increase policy benefits without having to provide evidence of
insurability, income must have increased
◉ Relation of Earning to Insurance Provision. Answer: Insurer can
reduce benefit paid to disabled insured if their income is less than
when they bought policy, based on average income over 24 month
period
◉ Accidental Death and Dismemberment (AD&D) Rider. Answer:
Pays principal sum (full benefit) if insured dies accidentally or loses
two limbs or sight in both eyes, capital sum (half benefit) is paid if
insured loses one limb or sight in one eye
◉ Rehabilitation Benefit. Answer: Pays for vocational training to
prepare for new occupation when totally disabled and can no longer
return to normal job, continues while insured is disabled and stays
in program
◉ Medical Reimbursement. Answer: Reimburses insured for medical
expenses to treat non-disabling injury
MASTER REVISION NOTES AND PRACTICE SET
◉ Elimination (Waiting) Period. Answer: Time period insured must
be disabled before benefits begin, not paid retroactively
- 30, 60, 90, 180 days
◉ Benefit Period. Answer: Benefits paid during disability period or
until end of specified period of time
-Typically 1 year, 2 years, 5 years, and to age 65
◉ Waiver of Premium. Answer: Waives premium payments during
disability after initial waiting period, retroactively effective to
beginning of waiting period and premiums paid during that time will
be refunded once benefits begin
◉ Additional Monthly Benefit (AMB) Rider. Answer: Pays an
additional benefit amount with regular monthly benefit for limited
period of time (usually 6 or 12 months), paid even if insured
receives government benefits
-Work comp, other government programs
◉ Social Insurance Supplement (SIS) Rider. Answer: Pays in addition
to regular disability policies until Workers' Compensation or Social
,Security payments begin, pays only during policy period, makes up
for gaps left by government programs
◉ Non-Occupational Coverage. Answer: Covers disabilities that
result from non-job-related illnesses or injuries
◉ Occupational Coverage. Answer: Covers both job-related and non-
job related disabilities
◉ Partial Disability. Answer: Pays 50% of total benefit, person
returns to work in a reduced capacity, usually no longer that 3-6
months
◉ Residual Disability Benefits. Answer: Based on amount of income
lost due to disability, if less than stated income reduction then no
benefits will be paid
◉ Recurrent Disability. Answer: Protects employee who returns to
work but becomes disabled again due to same related cause, must
occur within certain time frame after returning to work, no waiting
to receive benefits again
◉ Cost-Of-Living-Adjustment (COLA) Rider. Answer: Benefit amount
can increase while receiving disability based on Consumer Price
Index, adjusted usually every 12 months
, ◉ Future Increase Option (FIO) Rider. Answer: Allows insured to
increase policy benefits without having to provide evidence of
insurability, income must have increased
◉ Relation of Earning to Insurance Provision. Answer: Insurer can
reduce benefit paid to disabled insured if their income is less than
when they bought policy, based on average income over 24 month
period
◉ Accidental Death and Dismemberment (AD&D) Rider. Answer:
Pays principal sum (full benefit) if insured dies accidentally or loses
two limbs or sight in both eyes, capital sum (half benefit) is paid if
insured loses one limb or sight in one eye
◉ Rehabilitation Benefit. Answer: Pays for vocational training to
prepare for new occupation when totally disabled and can no longer
return to normal job, continues while insured is disabled and stays
in program
◉ Medical Reimbursement. Answer: Reimburses insured for medical
expenses to treat non-disabling injury
