Insurance Flashcards
Coinsurance formula and usual coverage
(Face value / Coinsurance) x Loss - Deductible
Con insurance = 80% x Replacement Cost
Dividend Options for Whole Life Insurance
Tip: CRAPO
- Cash
- Reduce Premiums
- Accumulates interest (interest paid on dividends are taxable)
- Paid-up Additions
- One-Year Term (adding term insurance each year for the face amount of cash value)
What are the nonforfeiture options for life insurance
Casas surrender value
Reduced paid up insurance
Extended term insurance
Accelerated death benefits
How to calculate group term taxable amount over $50k
Amount over $50k / $1000 = # units # units x rate per unit x 12 months in the year
What is a MEC modified endowment contract
When life insurance policy premiums are front loaded paid / single premium contract
How are premium taxed and tax deducted and by who
- Premiums are NOT deductible to insured
- Premiums paid by employer rate tax deductible to employer
- Premiums paid by employer are taxable to employee
What’s te the 6 activities of daily living ADL
Eating, toileting, continence, transferring, dressing, transferring, bathing
What taxation is on withdrawals of annuities
Before 1982 FIFO
After 1982 LIFO
How long can a terminated or full to sort time employee can receive COBRA?
18 months
How long can an employee receive cobra for any other qualifying event than termination and reduction of hours ?
36 months
How long does an employee have to elect to receive sube COBRA benefits from the date of the qualifying event
60 days
How many years is the look back period for Medicaid
5 years
When are presuma deductible and benefits taxed regarding disability insurance
Premiums : when employers pays for their return
Benefits taxed when employer and payers and employee pays with-pretax $
