Question 1

________ physicians determine when patients need the care of specialists and help to control costs by reducing the number of unnecessary visits to specialists.

Accepted Answer

The answer of ________ physicians determine when patients need the...

Question 2

Starting January 1,2004,eligible individuals are allowed to establish HSAs under which law?

Accepted Answer

The Medicare Prescription Drug, Improvement, and Modernization Act of 2003 established Health Savings Accounts (HSAs) effective January 1, 2004.

Question 3

According to ________ Act of 2008,a plan must calculate only one deductible for treatment related substance use disorders and medical or surgical benefits.

Accepted Answer

The answer of According to ________ Act of 2008,a plan...

Question 4

Which of the following types of insurance plans are set up to cover things like dental care,vision care,and prescription drugs?

Accepted Answer

Carve-out plans are specifically designed to cover services like dental care, vision care, and prescription drugs, which are often not included in standard health insurance plans.

Question 5

Jose invested $6,000 in pre-tax income into this healthcare plan but lost the $780 left in it at the end of the year because he didn't use it.What type of plan was it?

Accepted Answer

The fact that Jose lost the remaining balance at the end of the year suggests that he had a flexible spending account (FSA). FSAs require that the funds be used by the end of the year or else they are forfeited, unlike health savings accounts (HSAs) or health reimbursement arrangements (HRAs) where the funds can roll over or be used in future years.

Question 6

In which plan do employees possess the option to receive care from health care providers outside the designated network of physicians,paying more for the choice?

Accepted Answer

Point-of-service plans allow employees to receive care from healthcare providers outside the designated network of physicians, but they will have to pay more for the choice. Fee-for-service plans may allow patients to see any healthcare provider, but they will not be reimbursed as much. Preferred provider organizations have a network of healthcare providers, and employees may have to pay more for care outside the network, but they do not have the option to receive care without a referral. HMOs have a designated network of physicians and do not cover care outside the network unless it is an emergency.

Question 7

This type of consumer driven health care program allows employees to carry-over the unused funds still in their account.

Accepted Answer

Health reimbursement accounts (HRAs) allow employees to carry over unused funds from one year to the next.

Question 8

________ accounts allow employees to pay for specified health care costs not covered by an employer's insurance plan.

Accepted Answer

The answer of ________ accounts allow employees to pay for...

Question 9

This consumer-driven health care option allows employees to contribute pre-tax wages annually to pay for qualified medical expenses,but they will lose the balance not used at year's end.

Accepted Answer

Flexible Spending Accounts (FSAs) allow employees to contribute pre-tax wages to pay for qualified medical expenses, but any unused balance is forfeited at the end of the year.

Question 10

What percentage of Americans experience some form of mental illness at least once during their lifetime?

Accepted Answer

The answer of What percentage of Americans experience some form...

Question 11

Fixed first-dollar-of-profits,graduated first-dollar-of-profits,and profitability threshold formulas establish ________ contributions.

Accepted Answer

The answer of Fixed first-dollar-of-profits,graduated first-dollar-of-profits,and profitability threshold formulas establish...

Question 12

________ plans refer to pension plans that do not meet at least one of the minimum standard provisions.

Accepted Answer

The answer of ________ plans refer to pension plans that...

Question 13

Under a preferred provider organization (PPO),higher ________ are set for services rendered by nonnetwork providers to discourage participants from using services outside of the network.

Accepted Answer

The answer of Under a preferred provider organization (PPO),higher ________...

Question 14

Which one of the following is probably the main reason that health reimbursement accounts (HRAs)are particularly appealing to employees with relatively low salaries or hourly wages?

Accepted Answer

The answer of Which one of the following is probably...

Question 15

Mia has Parkinson's disease but is on an insurance plan that enables her to have the drugs shipped to her house.She is probably on which type of prescription drug plan?

Accepted Answer

Mia's ability to receive drugs shipped to her house suggests that she is on a mail order prescription drug plan. This type of plan allows individuals to have their prescriptions delivered to their homes, usually in a 90-day supply, which can be particularly convenient for individuals like Mia who have chronic conditions like Parkinson's disease. The other options listed (prescription card program, formulary, and medical reimbursement) do not necessarily indicate the ability to receive drugs through mail order delivery.

Question 16

________ are nominal payments an individual makes as a condition of receiving services.

Accepted Answer

The answer of ________ are nominal payments an individual makes...

Question 17

________ plans permit employees to defer part of their compensation to the trust of a qualified defined contribution plan.

Accepted Answer

The answer of ________ plans permit employees to defer part...

Question 18

Marty's employer has a prescription drug plan that will only make him pay 20% of cost of his prescription if he goes only to certain pharmacies.What type of prescription drug plan does he have?

Accepted Answer

Marty has a prescription card program. This is because the plan allows him to pay only 20% of the cost of his prescription if he goes to certain pharmacies. The other options given (prescription reimbursement plan, medical reimbursement plan, and mail order prescription drug plan) do not match the description of the plan that Marty has.

Question 19

IRS guidelines define ________ plans as "defined benefit plans that define benefits for each employee by reference to the amount of the employee's hypothetical account balance."

Accepted Answer

The answer of IRS guidelines define ________ plans as "defined...

Question 20

________ refers to an employee's nonforfeitable rights to pension benefits.

Accepted Answer

The answer of ________ refers to an employee's nonforfeitable rights...

Quiz 10: Employer-Sponsored Retirement Plans and Health Insurance Programs