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Healthcare Insurance and Pharmacy Benefits Management Quiz

#1

What is the primary function of healthcare insurance?

To cover the cost of medical expenses
Explanation

Financial coverage for medical costs.

#2

Which of the following is a typical feature of pharmacy benefits management (PBM)?

Prescription drug coverage
Explanation

Management of prescription drug benefits.

#3

Which federal agency oversees Medicare Part D, the prescription drug benefit program?

Centers for Medicare & Medicaid Services (CMS)
Explanation

Regulator of Medicare prescription benefits.

#4

What is the role of a pharmacy benefit manager (PBM) in the healthcare insurance industry?

To administer prescription drug benefits on behalf of insurers
Explanation

Management of drug benefits for insurers.

#5

Which type of pharmacy is often used to fulfill mail-order prescriptions in pharmacy benefits management?

Mail-order pharmacy
Explanation

Pharmacy for mail-delivered prescriptions.

#6

What does the term 'formulary' refer to in the context of healthcare insurance?

A list of covered medications
Explanation

List of medications covered by insurance.

#7

Which entity typically negotiates drug prices with pharmaceutical companies on behalf of healthcare insurance providers?

Pharmacy Benefits Manager (PBM)
Explanation

Negotiator of drug prices for insurers.

#8

What is a prior authorization requirement in pharmacy benefits management?

A restriction on certain medications requiring approval before coverage
Explanation

Mandate for approval before coverage.

#9

Which of the following is a potential advantage of pharmacy benefits management for healthcare insurers?

Improved medication adherence among patients
Explanation

Enhanced patient adherence to medications.

#10

What is a drug formulary exception process in pharmacy benefits management?

A mechanism for patients to appeal coverage decisions for specific drugs
Explanation

Process for appealing drug coverage.

#11

What is meant by the term 'tiered formulary' in pharmacy benefits management?

A formulary that categorizes drugs into different cost levels
Explanation

Classification of drugs by cost tiers.

#12

What is a common method used by pharmacy benefit managers (PBMs) to control medication costs?

Implementing step therapy programs
Explanation

Enforcing a step-by-step medication approach.

#13

In the context of pharmacy benefits management, what does the term 'rebate' typically refer to?

A payment made by pharmaceutical companies to PBMs
Explanation

Payment from drug manufacturers to PBMs.

#14

What is the purpose of utilization management in pharmacy benefits management?

To ensure appropriate and cost-effective use of medications
Explanation

Ensuring proper medication utilization.

#15

What is a common strategy employed by pharmacy benefit managers (PBMs) to manage drug costs?

Negotiating lower drug prices with manufacturers
Explanation

Securing lower drug costs from manufacturers.

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