#1
Which government agency oversees insurance regulations in the United States?
Federal Bureau of Investigation (FBI)
Central Intelligence Agency (CIA)
Food and Drug Administration (FDA)
Insurance Regulatory Authority (IRA)
#2
What is a Health Savings Account (HSA) primarily used for?
To pay for current medical expenses
To save for future medical expenses on a tax-advantaged basis
To invest in the stock market
To pay for non-medical expenses
#3
Which government agency is responsible for regulating Medicare and Medicaid programs in the United States?
Centers for Disease Control and Prevention (CDC)
Centers for Medicare & Medicaid Services (CMS)
National Institutes of Health (NIH)
Social Security Administration (SSA)
#4
What is a 'deductible' in health insurance?
The maximum amount of money the insured person pays out-of-pocket before the insurance company starts paying
The amount of money the insured person pays for each visit to a healthcare provider
The percentage of medical expenses covered by the insurance company
The annual fee charged by the insurance company for coverage
#5
What is the purpose of a 'copayment' in health insurance?
To cover the entire cost of medical services
To share the cost of medical services between the insured individual and the insurance company
To reimburse the insured individual for medical expenses
To provide financial assistance to low-income individuals
#6
What does COBRA stand for in the context of health insurance?
Comprehensive Occupational Benefits and Regulations Act
Consolidated Omnibus Budget Reconciliation Act
Catastrophic Out-of-Pocket Reimbursement Agreement
Coordinated Benefits Reimbursement Association
#7
Which of the following is NOT a typical feature of a Health Maintenance Organization (HMO)?
Primary care physician (PCP) referral required to see specialists
Coverage limited to network providers
No requirement for pre-authorization for medical services
Focus on preventive care and wellness programs
#8
Which federal law provides protection for employees' health insurance coverage after leaving a job?
Health Insurance Portability and Accountability Act (HIPAA)
Americans with Disabilities Act (ADA)
Health Information Technology for Economic and Clinical Health Act (HITECH)
Affordable Care Act (ACA)
#9
What is a common method used by insurance companies to manage risk?
Diversification of investments
Denying coverage to high-risk individuals
Increasing premiums for all policyholders
Excluding coverage for certain medical conditions
#10
What is the purpose of the 'essential health benefits' provision under the Affordable Care Act (ACA)?
To provide free health insurance to low-income individuals
To establish a minimum set of benefits that health insurance plans must cover
To regulate insurance premiums based on income level
To limit access to specialized medical treatments
#11
Which type of insurance plan typically offers the most flexibility in choosing healthcare providers?
Health Maintenance Organization (HMO)
Preferred Provider Organization (PPO)
Exclusive Provider Organization (EPO)
Point of Service (POS) plan
#12
What is the purpose of the Medical Loss Ratio (MLR) provision in health insurance?
To limit the profits of insurance companies
To ensure a certain percentage of premiums are spent on medical care and quality improvement activities
To set a minimum premium level for different coverage plans
To regulate the deductibles and copayments for policyholders
#13
In insurance, what does 'underwriting' refer to?
The process of assessing and classifying risks for insurance coverage
The calculation of insurance premiums
The investigation of insurance claims
The process of policy renewal
#14
What does 'guaranteed issue' mean in the context of health insurance?
An insurance policy that covers only certain medical conditions
A requirement for insurers to offer coverage to all applicants regardless of health status
An insurance policy with a guaranteed return on investment
A provision allowing policyholders to cancel coverage at any time
#15
In health insurance, what is 'adverse selection'?
The process of selecting the most comprehensive insurance plan
The tendency for higher-risk individuals to seek out or maintain insurance coverage
The practice of insurance companies denying coverage to certain individuals
The process of adjusting insurance premiums based on risk factors
#16
What is a 'formulary' in the context of health insurance?
A list of covered medical procedures
A list of preferred prescription drugs covered by a health insurance plan
A financial statement detailing insurance premiums and deductibles
An agreement between insurance companies and healthcare providers
#17
Which of the following statements about the Consolidated Omnibus Budget Reconciliation Act (COBRA) is true?
It provides free healthcare to low-income individuals
It allows employees to continue their group health insurance coverage after leaving their job
It mandates insurance companies to cover pre-existing conditions
It establishes health insurance exchanges for purchasing coverage