CEBS GBA 2 PRACTICE EXAM
QUESTIONS WITH CORRECT ANSWERS
RATED A+
According to the RAND Health Insurance Experiment, which variable has the greatest power in
explaining health expenditures?
A.) Welfare eligibility
B.) Prior utilization
C.) Physical health (based on self-reported measures)
D.) General health (based on self-reported measures)
E.) Mental health (based on self-reported measures) - CORRECT ANSWER -B.) Prior utilization
A provision in some group life insurance plans that provides for the payment of all or part of the
death benefit in the event of the insured's terminal illness is called:
A.) Accelerated death benefits
B.) Waiver of premiums
C.) Maturity value benefits
D.) Continuation-of-protection
E.) Assignment - CORRECT ANSWER -A.) Accelerated death benefits
What reasons are given for the Silver plan being a popular choice among all the Affordable Care
Act (ACA) health plans?
A.) The Silver plan has the greatest actuarial value of all the plans.
, B.) Cost-sharing subsidies to lower out-of-pocket costs are available only to people who select
the Silver plan.
C.) The Silver plan has the greatest benefits, even more than the Gold and Platinum plans.
D.) The Silver plan has the lowest out-of-pocket costs of any plan even before any subsidies.
E.) Many people select the Silver plan because they are not eligible for the Gold or Platinum
plans. - CORRECT ANSWER -B.) Cost-sharing subsidies to lower out-of-pocket costs are available
only to people who select the Silver plan.
Which of the following measures of cost is generally used by analysts when they are examining
the impact of insurance premiums on employees' choice of health insurance plans?
A.) The loading percentage
B.) The total gross premium
C.) The insurer's profit
D.) The employee's out-of-pocket price
E.) The expected future gross premium - CORRECT ANSWER -D.) The employee's out-of-pocket
price
Which of the following statements regarding recognition as a patient-centered medical home
(PCMH) is correct?
A.) The only organization that can officially recognize a PCMH is the Federally Qualified Health
Center Demonstration.
B.) The only organization that can officially recognize a PCMH is the National Committee for
Quality Assurance (NCQA).
C.) No single organization is responsible for recognizing PCMHs.
D.) The main organization that recognizes PCMHs is the Joint Commission and the Accreditation
Commission for Health Care.
,E.) A PCMH can be recognized only by the state in which it is domiciled. - CORRECT ANSWER -C.)
No single organization is responsible for recognizing PCMHs.
Which of the following statements regarding private health insurance exchanges and Small
Business Health Options Program (SHOP) exchanges is correct?
A.) A lot of evidence has been produced to show that private exchanges have been designed to
make it easier for small business to self-insure.
B.) The income tax incentives previously provided to small employers in the SHOP program
have expired.
C.) Recently states were given the option of making SHOP exchanges mandatory for all
employers with fewer than 200 employees.
D.) Private exchanges could affect SHOP exchanges by siphoning enrollment from them and
thereby reducing revenue (administrative fees) critical to SHOPs' financial viability.
E.) Unlike private exchanges, SHOP exchanges do not have the ability to offer small employers a
number of plan choices. - CORRECT ANSWER -D.) Private exchanges could affect SHOP
exchanges by siphoning enrollment from them and thereby reducing revenue (administrative
fees) critical to SHOPs' financial viability.
What is the waiting period for Social Security Disability Income (SSDI) benefits?
A.) One month
B.) Three consecutive months
C.) Five consecutive months
D.) Six consecutive months
E.) Twelve consecutive months - CORRECT ANSWER -C.) Five consecutive months
"Desktop medicine" is a fully integrated approach using information technology whose primary
goal is to:
, A.) Recruit prospective health plan subscribers
B.) Help track patients through their plan of care
C.) Encourage patient self-diagnosis using the Internet
D.) Gather health status metrics for large patient populations
E.) Expedite health provider use of technology - CORRECT ANSWER -B.) Help track patients
through their plan of care
Until now, the biggest source of cost savings with private health insurance exchanges has been:
A.) Transition to the defined contribution approach
B.) Increased use of technology
C.) Employees choosing less generous plans
D.) Better health education of employees
E.) Elimination or reduction in administrative waste - CORRECT ANSWER -C.) Employees
choosing less generous plans
Out-of-network health care accounts for approximately what percentage of total covered health
insurance expenses?
A.) 3
B.) 10
C.) 20
D.) 25
E.) 30 - CORRECT ANSWER -B.) 10
The major advantage of term insurance for the policyowner is the fact that:
QUESTIONS WITH CORRECT ANSWERS
RATED A+
According to the RAND Health Insurance Experiment, which variable has the greatest power in
explaining health expenditures?
A.) Welfare eligibility
B.) Prior utilization
C.) Physical health (based on self-reported measures)
D.) General health (based on self-reported measures)
E.) Mental health (based on self-reported measures) - CORRECT ANSWER -B.) Prior utilization
A provision in some group life insurance plans that provides for the payment of all or part of the
death benefit in the event of the insured's terminal illness is called:
A.) Accelerated death benefits
B.) Waiver of premiums
C.) Maturity value benefits
D.) Continuation-of-protection
E.) Assignment - CORRECT ANSWER -A.) Accelerated death benefits
What reasons are given for the Silver plan being a popular choice among all the Affordable Care
Act (ACA) health plans?
A.) The Silver plan has the greatest actuarial value of all the plans.
, B.) Cost-sharing subsidies to lower out-of-pocket costs are available only to people who select
the Silver plan.
C.) The Silver plan has the greatest benefits, even more than the Gold and Platinum plans.
D.) The Silver plan has the lowest out-of-pocket costs of any plan even before any subsidies.
E.) Many people select the Silver plan because they are not eligible for the Gold or Platinum
plans. - CORRECT ANSWER -B.) Cost-sharing subsidies to lower out-of-pocket costs are available
only to people who select the Silver plan.
Which of the following measures of cost is generally used by analysts when they are examining
the impact of insurance premiums on employees' choice of health insurance plans?
A.) The loading percentage
B.) The total gross premium
C.) The insurer's profit
D.) The employee's out-of-pocket price
E.) The expected future gross premium - CORRECT ANSWER -D.) The employee's out-of-pocket
price
Which of the following statements regarding recognition as a patient-centered medical home
(PCMH) is correct?
A.) The only organization that can officially recognize a PCMH is the Federally Qualified Health
Center Demonstration.
B.) The only organization that can officially recognize a PCMH is the National Committee for
Quality Assurance (NCQA).
C.) No single organization is responsible for recognizing PCMHs.
D.) The main organization that recognizes PCMHs is the Joint Commission and the Accreditation
Commission for Health Care.
,E.) A PCMH can be recognized only by the state in which it is domiciled. - CORRECT ANSWER -C.)
No single organization is responsible for recognizing PCMHs.
Which of the following statements regarding private health insurance exchanges and Small
Business Health Options Program (SHOP) exchanges is correct?
A.) A lot of evidence has been produced to show that private exchanges have been designed to
make it easier for small business to self-insure.
B.) The income tax incentives previously provided to small employers in the SHOP program
have expired.
C.) Recently states were given the option of making SHOP exchanges mandatory for all
employers with fewer than 200 employees.
D.) Private exchanges could affect SHOP exchanges by siphoning enrollment from them and
thereby reducing revenue (administrative fees) critical to SHOPs' financial viability.
E.) Unlike private exchanges, SHOP exchanges do not have the ability to offer small employers a
number of plan choices. - CORRECT ANSWER -D.) Private exchanges could affect SHOP
exchanges by siphoning enrollment from them and thereby reducing revenue (administrative
fees) critical to SHOPs' financial viability.
What is the waiting period for Social Security Disability Income (SSDI) benefits?
A.) One month
B.) Three consecutive months
C.) Five consecutive months
D.) Six consecutive months
E.) Twelve consecutive months - CORRECT ANSWER -C.) Five consecutive months
"Desktop medicine" is a fully integrated approach using information technology whose primary
goal is to:
, A.) Recruit prospective health plan subscribers
B.) Help track patients through their plan of care
C.) Encourage patient self-diagnosis using the Internet
D.) Gather health status metrics for large patient populations
E.) Expedite health provider use of technology - CORRECT ANSWER -B.) Help track patients
through their plan of care
Until now, the biggest source of cost savings with private health insurance exchanges has been:
A.) Transition to the defined contribution approach
B.) Increased use of technology
C.) Employees choosing less generous plans
D.) Better health education of employees
E.) Elimination or reduction in administrative waste - CORRECT ANSWER -C.) Employees
choosing less generous plans
Out-of-network health care accounts for approximately what percentage of total covered health
insurance expenses?
A.) 3
B.) 10
C.) 20
D.) 25
E.) 30 - CORRECT ANSWER -B.) 10
The major advantage of term insurance for the policyowner is the fact that:
