IHP 610
Health Policy & Law
Proctored Midterm Exam Review
(With Solutions)
2026
1
,Multiple Choice (MC)
A hospital nurse discovers a colleague falsifying patient records to
hide medication errors. According to the Nurse Practice Act, what is
the primary obligation of the nurse who identifies this behavior? a)
Report the behavior to the state board of nursing only b) Confront the
colleague privately and ignore if they deny it c) Report the behavior to
the appropriate agency or supervisor promptly d) Document the
behavior in the patient’s chart and wait for management to notice
Answer: c
Rationale: Nurses must report unsafe or unethical practices
immediately to protect patients and comply with legal obligations
under the Nurse Practice Act.
2. The Health Insurance Portability and Accountability Act (HIPAA)
primarily protects:
a) Patients’ right to refuse treatment
b) Confidentiality of patient health information
c) Nurses from malpractice claims
d) Insurance companies from fraud
Answer: b
Rationale: HIPAA safeguards patients' private health information and
establishes standards for electronic healthcare transactions.
3. Which policy tool is most effective for reducing preventable
hospital readmissions under Medicare?
a) Imposing financial penalties on hospitals with high readmission
rates
b) Increasing hospital reimbursement rates
c) Offering tax incentives to hospitals for expanding beds
d) Mandating public reporting of hospital executive salaries
Answer: a
2
, Rationale: The Hospital Readmissions Reduction Program financially
penalizes hospitals to incentivize improved care transitions and
reduce readmissions.
4. The Patient Self-Determination Act of 1990 primarily requires
healthcare facilities to:
a) Obtain informed consent before any treatment
b) Inform patients of their rights regarding advance directives
c) Provide free legal counsel for end-of-life decisions
d) Restrict use of durable power of attorney to physicians only
Answer: b
Rationale: This act mandates that patients be informed about their
rights to create advance directives.
5. Which of the following best describes "policy advocacy" in
healthcare nursing?
a) Providing bedside care to terminally ill patients
b) Lobbying legislators for laws that improve healthcare access
c) Managing hospital budgets efficiently
d) Maintaining patient records accurately
Answer: b
Rationale: Advocacy includes efforts to influence laws and policies
for better health outcomes.
True/False (T/F)
T/F: The Emergency Medical Treatment and Labor Act (EMTALA)
requires hospitals to provide stabilizing treatment regardless of a
patient’s ability to pay.
Answer: True
Rationale: EMTALA enforces non-discriminatory emergency care and
prohibits patient dumping.
3
Health Policy & Law
Proctored Midterm Exam Review
(With Solutions)
2026
1
,Multiple Choice (MC)
A hospital nurse discovers a colleague falsifying patient records to
hide medication errors. According to the Nurse Practice Act, what is
the primary obligation of the nurse who identifies this behavior? a)
Report the behavior to the state board of nursing only b) Confront the
colleague privately and ignore if they deny it c) Report the behavior to
the appropriate agency or supervisor promptly d) Document the
behavior in the patient’s chart and wait for management to notice
Answer: c
Rationale: Nurses must report unsafe or unethical practices
immediately to protect patients and comply with legal obligations
under the Nurse Practice Act.
2. The Health Insurance Portability and Accountability Act (HIPAA)
primarily protects:
a) Patients’ right to refuse treatment
b) Confidentiality of patient health information
c) Nurses from malpractice claims
d) Insurance companies from fraud
Answer: b
Rationale: HIPAA safeguards patients' private health information and
establishes standards for electronic healthcare transactions.
3. Which policy tool is most effective for reducing preventable
hospital readmissions under Medicare?
a) Imposing financial penalties on hospitals with high readmission
rates
b) Increasing hospital reimbursement rates
c) Offering tax incentives to hospitals for expanding beds
d) Mandating public reporting of hospital executive salaries
Answer: a
2
, Rationale: The Hospital Readmissions Reduction Program financially
penalizes hospitals to incentivize improved care transitions and
reduce readmissions.
4. The Patient Self-Determination Act of 1990 primarily requires
healthcare facilities to:
a) Obtain informed consent before any treatment
b) Inform patients of their rights regarding advance directives
c) Provide free legal counsel for end-of-life decisions
d) Restrict use of durable power of attorney to physicians only
Answer: b
Rationale: This act mandates that patients be informed about their
rights to create advance directives.
5. Which of the following best describes "policy advocacy" in
healthcare nursing?
a) Providing bedside care to terminally ill patients
b) Lobbying legislators for laws that improve healthcare access
c) Managing hospital budgets efficiently
d) Maintaining patient records accurately
Answer: b
Rationale: Advocacy includes efforts to influence laws and policies
for better health outcomes.
True/False (T/F)
T/F: The Emergency Medical Treatment and Labor Act (EMTALA)
requires hospitals to provide stabilizing treatment regardless of a
patient’s ability to pay.
Answer: True
Rationale: EMTALA enforces non-discriminatory emergency care and
prohibits patient dumping.
3
