Deck 6: Employer-Sponsored Disability Insurance,life Insurance,and Workers Compensation Programs

Question 1

Recipients of long-term disability benefits are also eligible to file ADA claims. (The Americans with Disabilities Act of 1990)

Answer 1

False

Question 2

An ADEA safe harbor allows employers to reduce the duration of long-term disability benefits as long as the level of benefits are the same for all workers with the same disability. (The Age Discrimination in Employment Act (ADEA)of 1967)

Answer 2

True

Question 3

Under partial self-funding of disability insurance,employers pay claims from their assets invested in a trust fund,for a limited period or up to a maximum dollar amount. (Funding Disability Insurance Programs)

Answer 3

True

Question 4

Although workers' compensation benefits have unlimited medical care benefits,it does specify a maximum amount paid for certain procedures. (Unlimited Medical Care)

Question 5

In the 1800s and early 1900s,the seriously injured workers left with virtually no recourse because social insurance programs were nonexistent. (Origins of Disability Insurance and Workers' Compensation Insurance)

Question 6

A miner who develops black lung disease is eligible for workers' compensation benefits. (Workers' Compensation Claims)

Question 7

Long-term disability insurance plans used to cover partial disabilities,but ceased due to high costs. (Long-Term Disability Insurance Programs)

Question 8

Long-term disability insurance plans become effective following the end of short-term coverage and a 30 day elimination period. (Long-Term Disability Insurance Programs)

Question 9

In 2011,employers generally paid $700 annually per private sector employee for workers' compensation protection. (Cost of Workers' Compensation Insurance)

Question 10

An Administrative Services Only plan is a disability insurance funding plan that is handled through a third-party claims management company. (Funding Disability Insurance Programs)

Question 11

Employers pay disability benefits from disability insurance policies or regular payroll. (Disability Insurance)

Question 12

Long-term insurance defines disability as an inability to engage in any occupation for which the individual is qualified by reason of training,education or experience. (Long-Term Disability Insurance Programs)

Question 13

A term life insurance policy is considerably more expensive than whole life policy. (Types of Life Insurance Programs)

Question 14

In short-term disability insurance plans,the exclusion period spans from the initial date of hire to the date of eligibility for coverage. (Short-Term Disability Insurance Programs)

Question 15

The short-term elimination period ranges from one to twelve months. (Short-Term Disability Insurance Programs)

Question 16

Short-term disability insurance plans usually consider disability as an inability to perform any and every duty on one's occupation. (Short-Term Disability Insurance Programs)

Question 17

Under a universal life insurance plan,policy holders can shift money between the insurance and savings components of the policy. (Universal Life Insurance)

Question 18

Most group life insurance is offered on a contributory basis mainly because the employer enjoys substantially higher tax benefits than they do with noncontributory plans. (Group Term Life Insurance)

Question 19

An employee's pregnancy is covered under a company's short-term disability insurance program. (Short-Term Disability Insurance Programs)

Question 20

The values in the current Uniform Table were adjusted to reflect higher rates of mortality between 1988 and 2000. (Costs of Group Term Life Insurance)

Question 21

Workers' compensation laws do not apply to small businesses with fewer than a stipulated number of employees (Coverage of Workers' Compensation Programs)

Question 22

When an employee files a lawsuit claiming retaliatory action,the employer possesses the burden of proof. (Retaliation against Workers Who Filed Workers' Compensation Claims)

Question 23

Universal life insurance has less flexibility than whole life insurance. (Types of Life Insurance Programs)

Question 24

This ERISA Title specifies a variety of protections for participants and beneficiaries. (The Employee Retirement Income Security Act of 1974)

A)Title II
B)Title III
C)Title I
D)Title IV

Question 25

To qualify as a group term life insurance policy,it must insure at least how many full-time employees? (Group Term Life Insurance)

A)20
B)15
C)10
D)25

Question 26

Dual capacity means that a firm may fulfill a role for an employee that is completely different from its role as employer. (Dual Capacity)

Question 27

Self-inflicted wounds and drug dependency are generally considered as what in most short-term disability insurance plans? (Short-Term Disability Insurance Programs)

A)Partial disability provisions
B)Exclusion provisions
C)Elimination provisions
D)Preexisting condition provisions

Question 28

This is a mental or physical disability for which medical advice,diagnosis,care or treatment was received,during a designated period preceding the beginning of disability insurance coverage. (Short-Term Disability Insurance Programs)

A)Preeligibility condition
B)Exclusive condition
C)Eliminating condition
D)Preexisting condition

Question 29

AD&D does not pay survivor benefits in the case of death by illness. (Accidental Death and Dismemberment Insurance)

Question 30

Most short-term disability insurance plans pay employees around how much of their regular pre-tax salary? (Short-Term Disability Insurance Programs)

A)85 - 100%
B)35 - 50%
C)50 - 67%
D)40 - 59%

Question 31

Pregnancy and child birth are not considered as disabilities. (Short-Term Disability Insurance Programs)

Question 32

OWBPA bans termination of employment based on long term disability. (The Age Discrimination in Employment Act (ADEA)of 1967)

Question 33

Employer-sponsored disability insurance plans generally supplement legally required benefits established by which law? (The Employee Retirement Income Security Act of 1974)

A)Family Medical Leave Act
B)Employee Retirement Income Security Act
C)Fair Labor Standards Act
D)Social Security Act

Question 34

According to ADA guidelines,which of the following is true? (The Americans with Disabilities Act of 1990)

A)Employers can require a longer preeligibility period for employees with disabilities
B)Employers cannot exclude qualified employees with disabilities from participating in its' disability retirement plans
C)Employers must offer the same benefits to all under its disability retirement plans
D)Employers must include cost-of-living adjustments on its disability benefits

Question 35

Preeligibility period for short term disability insurance is similar to health plans. (Short-Term Disability Insurance Programs)

Question 36

In 2011,what percentage of full-time and part-time employees received employer-sponsored life insurance? (Coverage and Costs of Life Insurance)

A)38% full-time, 23% part-time
B)70% full-time, 30% part-time
C)69% full-time, 42% part-time
D)73% full-time, 14% part-time

Question 37

Companies may NOT refuse an employee's request for FMLA leave to cover absences for work-related illness or injury. (Relationship between Workers' Compensation and Benefits Laws)

Question 38

In 2011,workers' compensation cost only about 10% of all legally required benefits for civilian employees. (Workers' Compensation Claims)

Question 39

The wage loss approach bases benefit amounts on approximate loss of earning from injuries. (Disability Income)

Question 40

Which of the following laws was NOT mentioned as having a major influence on company-sponsored disability insurance plans? (Relationships between Company-Sponsored Disability Plans and Benefits Laws)

A)Fair Labor Standards Act
B)Age Discrimination in Employment Act
C)Employee Retirement Income Security Act
D)Americans with Disabilities Act

Question 41

In 2011,on average,employers spent how much annually per employee to provide life insurance coverage? (Coverage and Costs of Life Insurance)

A)$80
B)$100
C)$120
D)$140

Question 42

This amendment contains the equal benefit or equal cost principle and bans termination of an employee's long-term disability benefits for active employees based on age. (The Age Discrimination in Employment Act (ADEA)of 1967)

A)Older Workers Benefit Protection Act
B)Retired Workers Protection Act
C)Age Discrimination in Employment Act
D)Older Workers Retirement Act

Question 43

In 2011,on average,employers spent how much annually per employee to provide short-term disability insurance? (Coverage and Costs of Disability Programs)

A)$80
B)$100
C)$120
D)$140

Question 44

Briefly discuss the types of disabilities recognized under workers' compensation laws. (Types and Amounts of Workers' Compensation Benefits)

Question 45

If an employee suffers a disability that limits the kind of work an individual can perform on a enduring basis,she would qualify for what type of disability income under workers' compensation? (Disability Income)

A)Permanent total disability
B)Temporary partial disability
C)Permanent partial disability
D)Temporary total disability

Question 46

Briefly discuss the two types of life insurance policies offered in the US. (Types of Life Insurance Programs)

Question 47

After an injury,claims to workers' compensation for rehabilitative services usually have to be submitted in what time frame? (Rehabilitative Services)

A)6 - 24 months
B)1 - 3 months
C)6 - 12 months
D)3 - 12 months

Question 48

When paying permanent partial disability benefits,for unscheduled injuries,this approach bases the amount on the physical or mental loss associated with the injury to a bodily function. (Disability Income)

A)Dismemberment
B)Loss of wage-earning capacity
C)Wage-loss
D)Impairment

Question 49

What's it called when an employer intentionally fails to reveal the exposure of a worker to harmful substances? (An Employer's Intentional Acts)

A)Deliberate and knowing tort
B)Violation of an affirmative duty
C)Deliberate and knowing affirmative duty
D)Violation tort

Question 50

Most long-term disability insurance plans pay how much after a waiting period of how long? (Long-Term Disability Insurance Programs)

A)70 - 90%, after 6 - 12 months
B)70 - 90%, after 3 - 6 months
C)50 - 70% after 6 - 12 months
D)50 - 70% after 3 - 6 months

Question 51

US companies offered life insurance to what percentage full time employees in 2011? (Coverage and Costs of Life Insurance)

A)52%
B)73%
C)70%
D)78%

Question 52

These reduce company-sponsored benefits by subtracting a particular percentage of these disability benefits from workers' compensation and Social Security disability plans. (State Workers' Compensation and Social Security Disability Regulations)

A)Elimination provisions
B)Exclusion provisions
C)Limited integration provisions
D)Offset provisions

Question 53

Short-term disability insurance usually provides benefits for up to how long? (Short-Term Disability Insurance Programs)

A)6 months
B)9 months
C)3 months
D)12 months

Question 54

In short-term disability insurance plans,this term refers to the minimum amount of time an employee must wait after becoming disabled before disability insurance payments begin. (Short-Term Disability Insurance Programs)

A)Elimination period
B)Exclusion period
C)Preeligibility period
D)Full integration period

Question 55

What are the main characteristics of long term disability insurance? (Long-Term Disability Insurance Programs)

Question 56

Briefly discuss the origins of disability insurance and workers' compensation insurance programs in the US. (Origins of Disability Insurance and Workers' Compensation Insurance)

Question 57

ERISA regulates all but which of the following? (The Employee Retirement Income Security Act of 1974)

A)Disability insurance
B)Health insurance
C)Life insurance
D)Paid time off

Question 58

Scheduled and unscheduled injuries are categories used to determine benefits for which type of disability income? (Disability Income)

A)Permanent total disability
B)Temporary partial disability
C)Permanent partial disability
D)Temporary total disability