questions over administration benefits

This is a multiple choice quiz for my Administration Benefits class. Each question contains each of the multiple choice answers to chose from. Anyone familiar with the aspects and topics of benefits and administration shouldn’t have that much problem with this – or theres always the internet! I do need this back fairly quickly!Top of FormQuestion 1Which of the following is not an accrual criteria?Answer[removed]Average benefit test[removed]3% rule[removed]Fractional rule[removed]113 1/3 rule1.5 pointsQuestion 2These indicate yearly probabilities of death based on such factors as age and sex.Answer[removed]Experience ratings[removed]Formulary ratings[removed]Mortality tables[removed]Morbidity tables1.5 pointsQuestion 3Which of the following is not a hybrid plan?Answer[removed]Money purchase[removed]Cash balance[removed]Stock option[removed]Target benefit1.5 pointsQuestion 4In short-term disability insurance plans, this term refers to the minimum amount of time an employee must wait after becoming disabled before disability insurance payments begin.Answer[removed]Elimination period[removed]Exclusion period[removed]Preeligibility period[removed]Full integration period1.5 pointsQuestion 5This consumer-driven health care option allows employees to contribute pre-tax wages annually to pay for qualified medical expenses, but they will lose the balance not used at year’s end.Answer[removed]Flexible spending accounts[removed]Health reimbursement arrangements[removed]Health savings accounts[removed]Flexible savings accounts1.5 pointsQuestion 6Most short-term disability insurance plans pay employees around how much of their regular pre-tax salary?Answer[removed]85 – 100%[removed]35 – 50%[removed]50 – 67%[removed]40 – 59%1.5 pointsQuestion 7ERISA regulates all but which of the following?Answer[removed]Disability insurance[removed]Health insurance[removed]Life insurance[removed]Paid time off1.5 pointsQuestion 8Medical care has risen about how much since 1982?Answer[removed]2000%[removed]300%[removed]100%[removed]1000%1.5 pointsQuestion 9These reduce company-sponsored benefits by subtracting a particular percentage of these disability benefits from workers’ compensation and Social Security disability plans.Answer[removed]Elimination provisions[removed]Exclusion provisions[removed]Limited integration provisions[removed]Offset provisions1.5 pointsQuestion 10This law sets minimum standards for the length of hospital stays for mothers and newborns.Answer[removed]Family and Medical Leave Act[removed]Newborns’ and Mothers’ Health Protection Act[removed]Pregnancy Discrimination Act[removed]Newborns’ and Mothers’ Discrimination Act1.5 pointsQuestion 11What are the three specific forms of prepaid group practices?Answer[removed]Universal model HMOs, group model HMOs, staff model HMOs[removed]Group model HMOs, network model HMOs, universal model HMOs[removed]Staff model HMOs, group model HMOs, network model HMOs[removed]Network model HMOs universal model HMOs, staff model HMOs1.5 pointsQuestion 12In 2009, the IRC set the maximum annual benefits of defined benefits plans at what amount?Answer[removed]$135,000[removed]$195,000[removed]$265,000[removed]$235,0001.5 pointsQuestion 13Companies establish retirement plans following one of these three design configurations.Answer[removed]Defined benefit, defined contribution, hybrid[removed]Qualified benefit, qualified contribution, hybrid[removed]Qualified benefit, nonqualified benefit, hybrid[removed]Funded, unfunded, hybrid1.5 pointsQuestion 14According to ADA guidelines, which of the following is true?Answer[removed]Employers can require a longer preeligibility period for employees with disabilities[removed]Employers cannot exclude qualified employees with disabilities from participating in its’ disability retirement plans[removed]Employers must offer the same benefits to all under its disability retirement plans[removed]Employers must include cost-of-living adjustments on its disability benefits1.5 pointsQuestion 15This ERISA Title specifies a variety of protections for participants and beneficiaries.Answer[removed]Title II[removed]Title III[removed]Title I[removed]Title IV1.5 pointsQuestion 16What is the 3% rule used to determine?Answer[removed]Nondiscrimination in defined benefits plans[removed]Nondiscrimination in defined contribution plans[removed]Tax benefit qualification for defined benefits plans[removed]Tax benefit qualification for defined contribution plans1.5 pointsQuestion 17This amendment contains the equal benefit or equal cost principle and bans termination of an employee’s long-term disability benefits for active employees based on age.Answer[removed]Older Workers Benefit Protection Act[removed]Retired Workers Protection Act[removed]Age Discrimination in Employment Act[removed]Older Workers Retirement Act1.5 pointsQuestion 18This federal law requires group health plans to provide medical and surgical benefits for mastectomies.Answer[removed]Women’s Health and Cancer Rights Act[removed]Health Insurance Portability and Accountability Act[removed]Pregnancy Discrimination Act[removed]Women with Disabilities Act1.5 pointsQuestion 19To qualify as a group term life insurance policy, it must insure at least how many full-time employees?Answer[removed]20[removed]15[removed]10[removed]251.5 pointsQuestion 20Which of the following laws was NOT mentioned as having a major influence on company-sponsored disability insurance plans?Answer[removed]Fair Labor Standards Act[removed]Age Discrimination in Employment Act[removed]Employee Retirement Income Security Act[removed]Americans with Disabilities Act1.5 pointsQuestion 21These are the most popular approaches used by employers to offer consumer-driven health care.Answer[removed]Flexible savings accounts, health reimbursement arrangements[removed]Health spending accounts, health reimbursement arrangements[removed]Flexible spending accounts, health reimbursement arrangements[removed]Health savings accounts, flexible spending accounts1.5 pointsQuestion 22These types of insurance plans are set up to cover things like dental care, vision care and prescription drugs.Answer[removed]Flexible savings plans[removed]Flexible services accounts[removed]Carve-out plans[removed]Health services accounts1.5 pointsQuestion 23Savings incentive match plans for employees (SIMPLEs) have the following characteristicsAnswer[removed]The company has at least 100 employees, the employees’ preceding year’s compensation totaled at least $5000, the company has no other employer-sponsored retirement plan[removed]The company has fewer than 100 employees, the employees’ preceding year’s compensation totaled less than $5000, the company has no other employer-sponsored retirement plan[removed]The company has fewer than 100 employees, the employees’ preceding year’s compensation totaled less than $5000, the company offers other employer-sponsored retirement plans[removed]The company has fewer than 100 employees, the employees’ preceding year’s compensation totaled at least $5,000, the company has no other employer-sponsored retirement plan1.5 pointsQuestion 24Which of the following are characteristics of the flat benefit formula used in defined benefits plans?Answer[removed]An employee’s years of service are considered, is determined using a flat amount formula or a flat percentage formula, the benefit is based on a percentage of the employee’s final average wage or salary[removed]Is determined using a flat amount formula or a flat percentage formula an employee’s years of service are considered, the benefit is based on a percentage of the employee’s final average wage or salary, is based on the employee’s last 3-4 years of service[removed]Is based on the employee’s last 3-4 years of service an employee’s years of service are considered, the benefit is based on a percentage of the employee’s final average wage or salary, an employee’s years of service are considered[removed]The benefits are based on a percentage of the employee’s final average wage or salary, are based on the employee’s last 3-4 years of service and are determined using a flat amount formula or a flat percentage formula1.5 pointsQuestion 25The 133 1/3% rule refers to what?Answer[removed]The annual accrual rate for defined benefits plans[removed]The annual accrual rate for defined contribution plans[removed]The annual accrual rate for qualified benefit plans[removed]The annual accrual rate for qualified contribution plans1.5 pointsQuestion 26What is coinsurance?Answer[removed]When both parents have employer-sponsored insurance coverage for their children[removed]Two insurance companies combine to offer a group policy to an employer[removed]The amount an employee has to pay out-of-pocket before the insurance kicks in[removed]The percentage of covered expenses paid by the insured1.5 pointsQuestion 27FASB 106 does not do which of the following?Answer[removed]Held firm the method for how companies recognize the costs of non pension retirement benefits, including health insurance, on financial balance sheets[removed]Reduces the amount of net profit companies list on balance sheets[removed]Benefits such as health care coverage establish an exchange between the employer and employee[removed]Post-retirement benefits are part of employee’s compensation package1.5 pointsQuestion 28In 2008, what percentage of full-time and part-time employees received employer-sponsored life insurance?Answer[removed]40% full-time, 20% part-time[removed]70% full-time, 30% part-time[removed]70% full-time, 40% part-time[removed]75% full-time, 17% part-time1.5 pointsQuestion 29Short-term disability insurance usually provides benefits for up to how long?Answer[removed]6 months[removed]9 months[removed]3 months[removed]12 months1.5 pointsQuestion 30Which of the following does not fall within the scope of the role of a primary care physician?Answer[removed]Making initial diagnosis and evaluation of patient’s condition[removed]Identifying applicable treatment protocols and practice guidelines[removed]Providing specialist diagnosis[removed]Deciding what treatment is warranted1.5 pointsQuestion 31Which legislative act made benefit and contribution limits permanent?Answer[removed]ERISA Title I[removed]Economic Growth and Tax Relief Reconciliation Act of 2001[removed]Pension Protection Act of 2006[removed]ERISA Title III1.5 pointsQuestion 32These are the three main types of dental plans.Answer[removed]Dental fee-for-service, dental savings accounts, dental maintenance organizations[removed]Dental savings accounts, dental maintenance organizations, dental service plans[removed]Dental preferred provider organizations, dental maintenance organizations, dental service corporations[removed]Dental fee-for-service, dental service corporations, dental maintenance organizations1.5 pointsQuestion 33To qualify as a nondiscriminating defined contribution plan, it must meet which two safe harbors?Answer[removed]Base contribution formula or collateral contribution formula[removed]Fixed first-dollar-of-profits formula or graduated first-dollar-of-profits formula[removed]Uniform allocation formula or uniform points allocation formula[removed]Profitability threshold formula or the backloading formula1.5 pointsQuestion 34The benefits distributed from profit sharing plans are usually allocated using one of these three ways.Answer[removed]Lump sum payments, graduated payments, proportional payments based on their contributions to profits[removed]Equal payments, proportional payments based on salary, lump sum payments, graduated payments[removed]Equal payments, proportional payments based on salary, proportional payments based on their contributions to profits[removed]Equal payments based on contributions to profits, equal payments based on salary, lump sum payments1.5 pointsQuestion 35Which one of these is not a defined contribution plan?Answer[removed]Cash balance plan[removed]ESOPs[removed]SIMPLE[removed]Profit sharing1.5 pointsQuestion 36This consumer-driven health care option contains contributions made by employers and the balance can be carried-over to the next year.Answer[removed]Flexible spending accounts[removed]Health reimbursement arrangements[removed]Health savings accounts[removed]Flexible savings accounts1.5 pointsQuestion 37These two are the basic accrual rules for the nondiscrimination testing for defined contribution plans.Answer[removed]Contributions cannot be reduced based on age, no maximum age limit for discontinuing contributions[removed]Contributions can be reduced based on age if everyone in the plan is affected, no maximum age limit for discontinuing contributions[removed]Contributions can be reduced based on age if everyone in the plan is affected, no minimum age limit for discontinuing contributions[removed]Contributions can be increased based on age, no maximum age limit for discontinuing contributions1.5 pointsQuestion 38This type of medical plan acts as a backup to basic insurance by covering expenses that exceed maximum benefit limits.Answer[removed]Supplemental major medical plan[removed]Comprehensive major medical plan[removed]Network major medical plan[removed]Uniform major medical plan1.5 pointsQuestion 39This type of hybrid plan is based on income and years of service, uses individual accounts, passes the IRS’s cross-testing rules and the total benefits are based on the investment performance of the plan’s assets.Answer[removed]Target benefit plan[removed]Money purchase plan[removed]Age-weighted profit sharing plan[removed]Cash balance plan1.5 pointsQuestion 40Which of the following is a tax benefit associated with 401(k) plans?Answer[removed]Employees pay taxes on their contribution[removed]Employees do not pay taxes on their contributions[removed]Investment gains are taxed[removed]Employees cannot deduct their contributions from taxable income1.5 pointsQuestion 41Using the ratio percentage test for tax benefit qualification, what does the percentage of nonhighly compensated employees to highly compensated employees in the plan have to be?Answer[removed]30%[removed]70%[removed]60%[removed]40%1.5 pointsQuestion 42Employer-sponsored disability insurance plans generally supplement legally required benefits established by which law?Answer[removed]Family Medical Leave Act[removed]Employee Retirement Income Security Act[removed]Fair Labor Standards Act[removed]Social Security Act1.5 pointsQuestion 43US companies offered life insurance to what percentage full time employees in 2008?Answer[removed]50%[removed]75%[removed]70%[removed]78%1.5 pointsQuestion 44Self-inflicted wounds and drug dependency are generally considered as what in most short-term disability insurance plans?Answer[removed]Partial disability provisions[removed]Exclusion provisions[removed]Elimination provisions[removed]Preexisting condition provisions1.5 pointsQuestion 45Which of the following is not true for medical reimbursement plans?Answer[removed]Reimburses employees totally or partially[removed]Usually associated with self-funded or independent indemnity plans[removed]Deductibles must be met[removed]Coinsurance usually 70%1.5 pointsQuestion 46Which of the following is NOT a common method for funding tax deferred annuities?Answer[removed]Annuity contracts[removed]Profit sharing[removed]Custodial agreements[removed]Life insurance1.5 pointsQuestion 47This prescription drug plan is usually associated with indemnity plans, pays benefits after the employee has met the deductible and tends to charge the most for filling the prescriptions.Answer[removed]Drug prescription plan[removed]Mail order prescription drug program[removed]Medical reimbursement plan[removed]Prescription card program1.5 pointsQuestion 48Most long-term disability insurance plans pay how much after a waiting period of how long?Answer[removed]70 – 90%, after 6 – 12 months[removed]70 – 90%, after 3 – 6 months[removed]50 – 70% after 6 – 12 months[removed]50 – 70% after 3 – 6 months1.5 pointsQuestion 49What are the two types of fee-for-service plans?Answer[removed]Health savings accounts, indemnity plans[removed]Health savings accounts, health reimbursement plans[removed]Health reimbursement plans, indemnity plans[removed]Indemnity plans, self-funded plans1.5 pointsQuestion 50Which section of the US income tax code specifies that the cost of employer-provided group term life insurance qualifies as a tax-free benefit to an employee?Answer[removed]Section 69[removed]Section 77[removed]Section 79[removed]Section 971.5 pointsQuestion 51This is a mental or physical disability for which medical advice, diagnosis, care or treatment was received, during a designated period preceding the beginning of disability insurance coverage.Answer[removed]Preeligibility condition[removed]Exclusive condition[removed]Eliminating condition[removed]Preexisting condition1.5 pointsQuestion 52Which of the following is not a criteria for determining tax qualification in IRC section 79?Answer[removed]General rule for tax benefits of group term life insurance[removed]Exceptions to the general rule that impose taxation[removed]Determination of cost of insurance[removed]Employees does not include former employees1.5 pointsQuestion 53Companies can choose from which three classes of health insurance programs?Answer[removed]Fee-for-service, managed care, point-of-service[removed]Indemnity, health savings accounts, managed care[removed]Point-of-service, fee-for-service, indemnity[removed]Self-funded, managed care, fee-for-service1.5 pointsQuestion 54What are the three common forms of managed care plans?Answer[removed]Individual practice organizations, point-of-service plans, health maintenance organizations[removed]Health maintenance organizations, preferred provider organizations, point-of-service plans[removed]Preferred provider organizations, point-of-service plans, individual practice organizations[removed]Preferred provider organizations, health maintenance organizations, individual practice organizations1.5 pointsQuestion 55This type of defined contribution plan, also known as a CODA, permits only private sector or tax-exempt employers’ employees to tax defer part of their compensation to the trust of a qualified plan.Answer[removed]Section 457 plan[removed]Section 403(b) annuities[removed]Saving incentive match plan[removed]Section 401(k) plan1.5 pointsQuestion 56State health instructor laws address all BUT which of the following?Answer[removed]Extending coverage to particular services, treatments or health conditions[removed]Reimbursing recognized health care providers for health care services[removed]Employer’s self-funded plans[removed]Length of time coverage1.5 pointsQuestion 57These types of insurance plans provide protection against health care expenses in the form of cash benefits paid to the insured or directly to the provider after the services are rendered.Answer[removed]Point-of-service plans[removed]Managed care plans[removed]Fee-for-service plans[removed]Health savings accounts1.5 pointsQuestion 58This type of hybrid plan defines benefits for each employee by reference to the amount of the employee’s hypothetical account balance.Answer[removed]Money purchase plan[removed]Target benefit plan[removed]Cash balance plan[removed]Pension equity plan1.5 pointsQuestion 59Which of the following factors does not determine the accrual rate in defined contribution plans?Answer[removed]Benefits equal balance in the account[removed]Company cannot set maximum age limits for discontinuing contributions[removed]Company’s contribution cannot be reduced because of employee age[removed]Benefits exceed the balance in the account1.5 pointsQuestion 60This type of group insurance plan offers health insurance and other benefits to the employees of two or more unaffiliated employers, except for any arrangements established by a collective bargaining agreement.Answer[removed]Voluntary employee beneficiary associations[removed]Multiple employer trusts[removed]Pooled coverage[removed]Multiple employer welfare arrangement

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