Exam fx health - types of health policies- Questions With Complete Solutions

What type of health insurance would pay for hiring a replacement for an important employee who becomes disabled? correct answer: Key-person disability insurance What are the three types of basic medical expense insurance? correct answer: Hospital, surgical and medical What are the two types of Flexible Spending Accounts? correct answer: Health care accounts and dependent care accounts How can an HMO member see a specialist? correct answer: Referral by the primary care physician Under what type of care do insurers negotiate contracts with health care providers to allow subscribers access to health care services at a favorable cost? correct answer: Preferred Provider Organization (PPO) What type of hospital policy pays a fixed amount each day that the insured is in the hospital? correct answer: Hospital indemnity In health insurance, what is considered a sickness? correct answer: An illness that first arises while the policy is in force What is the role of the gatekeeper in an HMO plan? correct answer: To control costs for the services of specialists With key person disability insurance, who pays the policy premiums? correct answer: The business (employer) In order to be eligible for coverage by an HSA, an individual must also be covered by what type of health plan? correct answer: High Deductible Health Plan (HDHP) What is the purpose of respite care in long-term care insurance? correct answer: To provide relief for a major caregiver (usually a family member) How are HMO territories typically divided? correct answer: Geographic areas Can an insured who belongs to a POS plan use an out-of-network physician? correct answer: Yes, but the copays and deductibles may be higher