Math Models Unit 8 Lesson 4 Questions
and Answers
1. Choose the correct definition.
health insurance : - ANS-insurance that pays for health care; insurance against the
high cost of getting sick
2. Choose the correct definition.
deductible : - ANS-an out of pocket expense for health care above and beyond the
premium and copay
3. Choose the correct definition.
copayment : - ANS-a standard charge for certain services, such as office visits and
prescriptions
4. Emily has private health insurance that costs $850 per month. Her new employer will
provide the same health insurance at no cost to her.
What is Emily's health insurance worth per year as a benefit of employment? -
ANS-$10,200
5. Jason has a chronic medical condition which requires him to visit the doctor once a
month and to use prescriptions that cost $635 per month. He also needs a special
medical procedure four times a year, which costs $3,250 each time.
a. What are Jason's total yearly medical costs if his doctor charges a $50 copay each
office visit?
b. Jason has medical insurance through his employer. His policy has a yearly deductible
of $1,000, after which insurance pays 80% of all health care costs. How much of the
medical costs does Jason's insurance company pay?
c. How much does Jason pay toward his medical costs?
d. Jason's employer offers a second choice for health insurance that would cost him
$342 per month. On this health plan Jason must pay a $25 copay for each office visit, a
$30 copay for prescription drugs, and a $50 copay for special medical procedures. His
health insurance will pay 100% of all other medical c - ANS-a. $21,220
b. $16,176
c. $5,044
d. $4,964
and Answers
1. Choose the correct definition.
health insurance : - ANS-insurance that pays for health care; insurance against the
high cost of getting sick
2. Choose the correct definition.
deductible : - ANS-an out of pocket expense for health care above and beyond the
premium and copay
3. Choose the correct definition.
copayment : - ANS-a standard charge for certain services, such as office visits and
prescriptions
4. Emily has private health insurance that costs $850 per month. Her new employer will
provide the same health insurance at no cost to her.
What is Emily's health insurance worth per year as a benefit of employment? -
ANS-$10,200
5. Jason has a chronic medical condition which requires him to visit the doctor once a
month and to use prescriptions that cost $635 per month. He also needs a special
medical procedure four times a year, which costs $3,250 each time.
a. What are Jason's total yearly medical costs if his doctor charges a $50 copay each
office visit?
b. Jason has medical insurance through his employer. His policy has a yearly deductible
of $1,000, after which insurance pays 80% of all health care costs. How much of the
medical costs does Jason's insurance company pay?
c. How much does Jason pay toward his medical costs?
d. Jason's employer offers a second choice for health insurance that would cost him
$342 per month. On this health plan Jason must pay a $25 copay for each office visit, a
$30 copay for prescription drugs, and a $50 copay for special medical procedures. His
health insurance will pay 100% of all other medical c - ANS-a. $21,220
b. $16,176
c. $5,044
d. $4,964
