Chapter 7 - Healthcare Products

Question 1

Overview of Healthcare

Answer 1

Legislation
Key product features
Underwriting
Contract design 
Setting contribution or premium rates
Provisioning
Mutuality, solidarity and community rating
Reinsurance
Investment strategy
Types of entities providing cover
Key risks
Reimbursement mechanisms
Medical trends

Question 2

Private Medical Insurance (PMI)

Answer 2

Indmimify policyholders from medical costs

Question 3

Critical Illness cover (CI)

Answer 3

Lump sum benefit contracting disease

Question 4

Long Term Care Insurance (LTCI)

Answer 4

Care for old age.

Level of incapacity measured through ADL

Question 5

Cash benefits

Answer 5

Major medical expenses
Hospital cash plans
Medical shortfall (gap) cover
Personal accident