AHIP Final Exam 2027 – Practice Test Bank
250 Verified Questions with Correct Answers & Detailed Rationales
Section 1: Medicare Program Basics (Questions 1–35)
1. What is the standard age of eligibility for Medicare for individuals without
qualifying disabilities?
A) 60
B) 62
C) 65
D) 67
Answer C: — 65
Rationale: The standard age of eligibility for Medicare for individuals without
qualifying disabilities is 65. ---
,2. Which part of Medicare covers inpatient hospital stays, care in a skilled
nursing facility, hospice care, and some home health care?
A) Medicare Part A
B) Medicare Part B
C) Medicare Part C
D) Medicare Part D
Answer A: — Medicare Part A
Rationale: Medicare Part A is considered Hospital Insurance and covers
inpatient care in hospitals, skilled nursing facilities (not custodial), hospice,
and limited home health services. ---
3. How is Medicare Part B primarily funded?
A) Payroll taxes
B) General federal revenues and beneficiary premiums
C) State taxes
D) Voluntary contributions
Answer B: — General federal revenues and beneficiary premiums
Rationale: Unlike Part A, which is funded by payroll taxes, Part B is funded by
general federal tax revenues (about 75%) and monthly premiums paid by
beneficiaries (about 25%). ---
,4. What is the primary purpose of Medicare Part A?
A) Prescription drug coverage
B) Outpatient medical services
C) Inpatient hospital, skilled nursing, hospice, and home health care
D) Physician services
Answer C: — Inpatient hospital, skilled nursing, hospice, and home health
care
Rationale: Medicare Part A is Hospital Insurance and covers inpatient care in
hospitals, skilled nursing facilities (not custodial), hospice, and limited home
health services. ---
5. Medicare Part B covers which of the following services?
A) Hospital inpatient stays
B) Skilled nursing facility care after hospitalization
C) Physician services and outpatient care
D) Hospice care
Answer C: — Physician services and outpatient care
Rationale: Medicare Part B covers physician services, outpatient hospital care,
preventive services, durable medical equipment, and some home health
services. ---
, 6. Which of the following services is NOT covered under Medicare Part B?
A) Clinical laboratory services
B) Outpatient mental health treatment
C) Routine dental cleanings
D) Durable medical equipment (DME)
Answer C: — Routine dental cleanings
Rationale: Original Medicare (Parts A and B) does not cover routine dental
care, dentures, or routine vision care (like eyeglasses). ---
7. Mrs. Andrews is comparing her employer's retiree insurance to Original
Medicare and would like to know which of the following services Original
Medicare will cover if the appropriate criteria are met. What could you tell
her?
A) Original Medicare covers ambulance services
B) Original Medicare covers routine dental care
C) Original Medicare covers hearing aids
D) Original Medicare covers vision exams
Answer A: — Original Medicare covers ambulance services
Rationale: Original Medicare Part B covers ambulance services when other
transportation would endanger the beneficiary's health. Routine dental,
hearing aids, and vision exams are generally not covered under Original
Medicare. ---
250 Verified Questions with Correct Answers & Detailed Rationales
Section 1: Medicare Program Basics (Questions 1–35)
1. What is the standard age of eligibility for Medicare for individuals without
qualifying disabilities?
A) 60
B) 62
C) 65
D) 67
Answer C: — 65
Rationale: The standard age of eligibility for Medicare for individuals without
qualifying disabilities is 65. ---
,2. Which part of Medicare covers inpatient hospital stays, care in a skilled
nursing facility, hospice care, and some home health care?
A) Medicare Part A
B) Medicare Part B
C) Medicare Part C
D) Medicare Part D
Answer A: — Medicare Part A
Rationale: Medicare Part A is considered Hospital Insurance and covers
inpatient care in hospitals, skilled nursing facilities (not custodial), hospice,
and limited home health services. ---
3. How is Medicare Part B primarily funded?
A) Payroll taxes
B) General federal revenues and beneficiary premiums
C) State taxes
D) Voluntary contributions
Answer B: — General federal revenues and beneficiary premiums
Rationale: Unlike Part A, which is funded by payroll taxes, Part B is funded by
general federal tax revenues (about 75%) and monthly premiums paid by
beneficiaries (about 25%). ---
,4. What is the primary purpose of Medicare Part A?
A) Prescription drug coverage
B) Outpatient medical services
C) Inpatient hospital, skilled nursing, hospice, and home health care
D) Physician services
Answer C: — Inpatient hospital, skilled nursing, hospice, and home health
care
Rationale: Medicare Part A is Hospital Insurance and covers inpatient care in
hospitals, skilled nursing facilities (not custodial), hospice, and limited home
health services. ---
5. Medicare Part B covers which of the following services?
A) Hospital inpatient stays
B) Skilled nursing facility care after hospitalization
C) Physician services and outpatient care
D) Hospice care
Answer C: — Physician services and outpatient care
Rationale: Medicare Part B covers physician services, outpatient hospital care,
preventive services, durable medical equipment, and some home health
services. ---
, 6. Which of the following services is NOT covered under Medicare Part B?
A) Clinical laboratory services
B) Outpatient mental health treatment
C) Routine dental cleanings
D) Durable medical equipment (DME)
Answer C: — Routine dental cleanings
Rationale: Original Medicare (Parts A and B) does not cover routine dental
care, dentures, or routine vision care (like eyeglasses). ---
7. Mrs. Andrews is comparing her employer's retiree insurance to Original
Medicare and would like to know which of the following services Original
Medicare will cover if the appropriate criteria are met. What could you tell
her?
A) Original Medicare covers ambulance services
B) Original Medicare covers routine dental care
C) Original Medicare covers hearing aids
D) Original Medicare covers vision exams
Answer A: — Original Medicare covers ambulance services
Rationale: Original Medicare Part B covers ambulance services when other
transportation would endanger the beneficiary's health. Routine dental,
hearing aids, and vision exams are generally not covered under Original
Medicare. ---
