Health part 2

Question 1

medicare supplement policies

Answer 1

fill in the gap that gov. doesn’t cover for parts A and B, sold by private insurance parties

Question 2

medicare select

Answer 2

insured agrees to use preferred providers (PPO), and in return have lower premiums

Question 3

medicare part c

Answer 3

provided by HMO or PPO, provide additional benefits not covered by other medicare plans (i.e. eye exams, dental) NOT long term care

Question 4

medicare part d

Answer 4

perscription drugs; requires premium and deductible

Question 5

grace period

Answer 5

7 days for weekly premiums, 10 days for monthly, and 30 days for annual premiums

Question 6

reinstatement

Answer 6

sickness=10 days, reinstated automatically after 45 days

Question 7

notice of claim

Answer 7

within 20 days of occurrence from policy owner to insurer

Question 8

claim form

Answer 8

after receiving a notice of claim from policy owner, insurer has 15 days to provide claim form

Question 9

proof of loss

Answer 9

policyowner has 90 days to submit proof of loss

Question 10

payment of claims

Answer 10

who and how claim is paid to

Question 11

cancellation

Answer 11

insurer has 45 days after providing insured with written notice

Question 12

policy face

Answer 12

who insured is, effective date of policy, and how policy can be removed

Question 13

insuring clause

Answer 13

specify scopes and limits of coverage

Question 14

assignment provision

Answer 14

transfer of ownership of a policy

Question 15

absolute assignemtn

Answer 15

policy is irrivocable

Question 16

collateral assignement

Answer 16

policy is assigned to a creditor for debt

Question 17

cost of living rider

Answer 17

guards against inflation

Question 18

optionally renewable policies

Answer 18

gives INSURER the option to terminate policy according to date in contract

Question 19

conditionally renewable policies

Answer 19

INSURER can terminate policy based on 1 or more conditions as stated in the contract (i.e. reaches an age); can increase premiums at time of renewal

Question 20

nonrenewable policies

Answer 20

for short term contracts

Question 21

noncancelable policies

Answer 21

insurer cannot cancel a policy or increase premiums unless premiums aren’t paid or age designated in contract is reached; found in disability but never medical

Question 22

health insurance premiums are tax deductible if:

Answer 22

paid before your paycheck is taxed, (then premium IS taxed)

Question 23

health insurance premiums are not deductible if:

Answer 23

paid after your paycheck is taxed (then premium is NOT taxed)

Question 24

taxation of disability income insurance

Answer 24

not deductible but tax free