WA State Health and Disability Insurance Exam Questions & Complete Solutions!

Health contracts are prepared by insurers and must be accepted by the insured on an 'as is' basis. This described what aspect of a health insurance contract? - ANSWER Contract of Adhesion If an insurer decides to obtain medical information from different sources in order to determine the insurability of an applicant, who must be notified of the investigation? - ANSWER The applicant. What are the two types of expenses that are covered by health insurance? - ANSWER Expenses related to health care, and expenses the compensate for loss of income. What type of group health insurance is used to provide accident coverage on a group of persons that are participating in a particular activity, when the individual insureds are unknown, and are covered automatically? - ANSWER Blanket Under a credit disability policy, payments to the creditor will be made for the insurer until what point in time? - ANSWER Until the period of disability ends or until the debt is repaid. In insurance, when is the offer usually made on a contract? - ANSWER When the insurance application is submitted. If an applicant does not receive his or her insurance policy, who would be held responsible? - ANSWER The agent. What entity provides underwriters with information concerning an applicant's health history? - ANSWER MIB - Medical Information Bureau What is a warranty in an insurance contract? - ANSWER An absolute true statement upon which the validity of the insurance contract is based What type of health insurance plans cover all accidents and sicknesses that are not specifically excluded in the policy? - ANSWER Comprehensive Plans What is the term used for a condition for which the insured has received diagnosis, care or treatment during a specific period of time prior to the health policy issue? - ANSWER Pre-existing condition Most health policies will pay the accidental death benefits if the death is caused by an accident and occurs within how many days? - ANSWER 90 days In forming an insurance contract, when does an acceptance usually occur? - ANSWER When an insurer approves a prepaid application In health insurance contracts, the insured is not legally bound to any particular action; however, the insurer is obligated to pay for losses covered by the policy. What contract element does this describe? - ANSWER Unilateral Who is a field underwriter? - ANSWER Agent/Producer In health insurance, what is considered a sickness? - ANSWER Sickness is a medical condition, disease or illness. Pays periodic benefits when an insured cannot work because of accident or injury. Covers the cost of medical treatments, physician's fees, hospitalization and other medical costs that ensue when the insured incurs an acc