RMIN 5110 Exam 2 Study Guide
Problems with HDHPs - ANSWER Healthcare is so expensive
Moral hazard once agg. deductible is met
Annual premium(s) - ANSWER Single - $7,000
Family - $20,000
How much should you contribute to your HSA annually? - ANSWER Roughly the
amount of your deductible
HSA for: - ANSWER Doctors visits
Prescriptions
Minor Medical Expenses
HDHP for: - ANSWER Major medical expenses
Serious illness
Major surgery
Post-deductible expenses
Benefits of HSA/HDHP - ANSWER Tax advantages
Control over investment
Lower insurance rates
Rollover
Interest
Acct. goes with you if leave employer
Funds available to beneficiary in event of death
What is considered "Preventative Care"? (100% covered) - ANSWER Annual
check-ups/exams
Route childcare and immunization
Preventative screening services
Preventative medications
Features of an HSA - ANSWER Bank Account (deposits and withdrawals)
Debit Card
Web/mobile access
HSA Contributions - ANSWER Deposited pre-tax
Age 55+ eligible to contribute add. $1,000
After-tax option
HSA Withdrawals - ANSWER Never taxed: Medical, drugs, vision, dental
, Not taxed after retirement: COBRA, Medicare premiums, and other premiums
Age 65+ can withdraw funds with NO tax penalty
HSA: Employers - ANSWER Higher deductible and out-of-pocket max. ($X00 -->
$X,000)
Lower premiums
Combined expenses to ONE deductible and OOP max.
Offer preventative care and medication at NO COST
HSA: Employees - ANSWER HDHP ONLY
Spouse cannot have FSA
Cannot be claimed as dependent
Withdrawals before retirement subject to 20% penalty
ACA addresses - ANSWER Rising HC costs
HC underperformance
Fight waste, fraud, and abuse
How many Americans uninsured in 2014? - ANSWER 32M
ACA Individual Mandate - ANSWER Individuals required to maintain coverage or
pay a penalty
ACA Basics - ANSWER Individual Mandate
NO denial of cover/high premiums for pre-existing cond.
Parents cover until 26y/o
Each state runs its own Medicaid program
How many people got insurance through Medicaid - ANSWER 14.5M
Medicaid minimum eligibility - ANSWER Under 65 & income < 138% poverty level
OR
65+
Permanent disability
Blindness
Pregnant, child, or caretaker
Federal poverty level - ANSWER Individual: $12,060/yr
Family of 4: $24,600/yr
ACA Employer Requirements - ANSWER Effective 2015: All businesses w/ 100+
FT employees required to offer HI to at least 70% of ee's
Effective 2016: All businesses w/ 50+ FT employees required to offer HI to at
least 95% of ee's
Problems with HDHPs - ANSWER Healthcare is so expensive
Moral hazard once agg. deductible is met
Annual premium(s) - ANSWER Single - $7,000
Family - $20,000
How much should you contribute to your HSA annually? - ANSWER Roughly the
amount of your deductible
HSA for: - ANSWER Doctors visits
Prescriptions
Minor Medical Expenses
HDHP for: - ANSWER Major medical expenses
Serious illness
Major surgery
Post-deductible expenses
Benefits of HSA/HDHP - ANSWER Tax advantages
Control over investment
Lower insurance rates
Rollover
Interest
Acct. goes with you if leave employer
Funds available to beneficiary in event of death
What is considered "Preventative Care"? (100% covered) - ANSWER Annual
check-ups/exams
Route childcare and immunization
Preventative screening services
Preventative medications
Features of an HSA - ANSWER Bank Account (deposits and withdrawals)
Debit Card
Web/mobile access
HSA Contributions - ANSWER Deposited pre-tax
Age 55+ eligible to contribute add. $1,000
After-tax option
HSA Withdrawals - ANSWER Never taxed: Medical, drugs, vision, dental
, Not taxed after retirement: COBRA, Medicare premiums, and other premiums
Age 65+ can withdraw funds with NO tax penalty
HSA: Employers - ANSWER Higher deductible and out-of-pocket max. ($X00 -->
$X,000)
Lower premiums
Combined expenses to ONE deductible and OOP max.
Offer preventative care and medication at NO COST
HSA: Employees - ANSWER HDHP ONLY
Spouse cannot have FSA
Cannot be claimed as dependent
Withdrawals before retirement subject to 20% penalty
ACA addresses - ANSWER Rising HC costs
HC underperformance
Fight waste, fraud, and abuse
How many Americans uninsured in 2014? - ANSWER 32M
ACA Individual Mandate - ANSWER Individuals required to maintain coverage or
pay a penalty
ACA Basics - ANSWER Individual Mandate
NO denial of cover/high premiums for pre-existing cond.
Parents cover until 26y/o
Each state runs its own Medicaid program
How many people got insurance through Medicaid - ANSWER 14.5M
Medicaid minimum eligibility - ANSWER Under 65 & income < 138% poverty level
OR
65+
Permanent disability
Blindness
Pregnant, child, or caretaker
Federal poverty level - ANSWER Individual: $12,060/yr
Family of 4: $24,600/yr
ACA Employer Requirements - ANSWER Effective 2015: All businesses w/ 100+
FT employees required to offer HI to at least 70% of ee's
Effective 2016: All businesses w/ 50+ FT employees required to offer HI to at
least 95% of ee's
