Colorado Health Insurance Exam
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1. Indemnity Monthly amount paid to individual to make up for lost earnings due to insured's
inability to work
2. Elimination (Wait- Time period insured must be disabled before benefits begin, not paid retroactive-
ing) Period ly
- 30, 60, 90, 180 days
3. Benefit Period Benefits paid during disability period or until end of specified period of time
-Typically 1 year, 2 years, 5 years, and to age 65
4. Waiver of Premi- Waives premium payments during disability after initial waiting period, retroac-
um tively effective to beginning of waiting period and premiums paid during that time
will be refunded once benefits begin
5. Additional Pays an additional benefit amount with regular monthly benefit for limited period
Monthly Benefit of time (usually 6 or 12 months), paid even if insured receives government bene-
(AMB) Rider fits
-Work comp, other government programs
6. Social Insurance Pays in addition to regular disability policies until Workers' Compensation or Social
Supplement (SIS) Security payments begin, pays only during policy period, makes up for gaps left
Rider by government programs
7. Non-Occupation- Covers disabilities that result from non-job-related illnesses or injuries
al Coverage
8. Occupational Covers both job-related and non-job related disabilities
Coverage
9. Partial Disability Pays 50% of total benefit, person returns to work in a reduced capacity, usually no
longer that 3-6 months
10. Residual Disabili- Based on amount of income lost due to disability, if less than stated income
ty Benefits reduction then no benefits will be paid
, Colorado Health Insurance Exam
Study online at https://quizlet.com/_hh025i
11. Recurrent Dis- Protects employee who returns to work but becomes disabled again due to same
ability related cause, must occur within certain time frame after returning to work, no
waiting to receive benefits again
12. Cost-Of-Liv- Benefit amount can increase while receiving disability based on Consumer Price
ing-Adjustment Index, adjusted usually every 12 months
(COLA) Rider
13. Future Increase Allows insured to increase policy benefits without having to provide evidence of
Option (FIO) Rid- insurability, income must have increased
er
14. Relation of Earn- Insurer can reduce benefit paid to disabled insured if their income is less than
ing to Insurance when they bought policy, based on average income over 24 month period
Provision
15. Accidental Death Pays principal sum (full benefit) if insured dies accidentally or loses two limbs or
and Dismember- sight in both eyes, capital sum (half benefit) is paid if insured loses one limb or
ment (AD&D) Rid- sight in one eye
er
16. Rehabilitation Pays for vocational training to prepare for new occupation when totally disabled
Benefit and can no longer return to normal job, continues while insured is disabled and
stays in program
17. Medical Reim- Reimburses insured for medical expenses to treat non-disabling injury
bursement
18. Return of Premi- Refunds stated percentage of premium after stated period of time, and at age 65
um Rider or date of death, benefits paid are subtracted from payment
19. Exclusions War or military service, suicide/self inflicted injuries, non-commercial aviation,
commission of a felony, living overseas
Study online at https://quizlet.com/_hh025i
1. Indemnity Monthly amount paid to individual to make up for lost earnings due to insured's
inability to work
2. Elimination (Wait- Time period insured must be disabled before benefits begin, not paid retroactive-
ing) Period ly
- 30, 60, 90, 180 days
3. Benefit Period Benefits paid during disability period or until end of specified period of time
-Typically 1 year, 2 years, 5 years, and to age 65
4. Waiver of Premi- Waives premium payments during disability after initial waiting period, retroac-
um tively effective to beginning of waiting period and premiums paid during that time
will be refunded once benefits begin
5. Additional Pays an additional benefit amount with regular monthly benefit for limited period
Monthly Benefit of time (usually 6 or 12 months), paid even if insured receives government bene-
(AMB) Rider fits
-Work comp, other government programs
6. Social Insurance Pays in addition to regular disability policies until Workers' Compensation or Social
Supplement (SIS) Security payments begin, pays only during policy period, makes up for gaps left
Rider by government programs
7. Non-Occupation- Covers disabilities that result from non-job-related illnesses or injuries
al Coverage
8. Occupational Covers both job-related and non-job related disabilities
Coverage
9. Partial Disability Pays 50% of total benefit, person returns to work in a reduced capacity, usually no
longer that 3-6 months
10. Residual Disabili- Based on amount of income lost due to disability, if less than stated income
ty Benefits reduction then no benefits will be paid
, Colorado Health Insurance Exam
Study online at https://quizlet.com/_hh025i
11. Recurrent Dis- Protects employee who returns to work but becomes disabled again due to same
ability related cause, must occur within certain time frame after returning to work, no
waiting to receive benefits again
12. Cost-Of-Liv- Benefit amount can increase while receiving disability based on Consumer Price
ing-Adjustment Index, adjusted usually every 12 months
(COLA) Rider
13. Future Increase Allows insured to increase policy benefits without having to provide evidence of
Option (FIO) Rid- insurability, income must have increased
er
14. Relation of Earn- Insurer can reduce benefit paid to disabled insured if their income is less than
ing to Insurance when they bought policy, based on average income over 24 month period
Provision
15. Accidental Death Pays principal sum (full benefit) if insured dies accidentally or loses two limbs or
and Dismember- sight in both eyes, capital sum (half benefit) is paid if insured loses one limb or
ment (AD&D) Rid- sight in one eye
er
16. Rehabilitation Pays for vocational training to prepare for new occupation when totally disabled
Benefit and can no longer return to normal job, continues while insured is disabled and
stays in program
17. Medical Reim- Reimburses insured for medical expenses to treat non-disabling injury
bursement
18. Return of Premi- Refunds stated percentage of premium after stated period of time, and at age 65
um Rider or date of death, benefits paid are subtracted from payment
19. Exclusions War or military service, suicide/self inflicted injuries, non-commercial aviation,
commission of a felony, living overseas
