Health Insurance for Sophomores: Understanding Your Coverage Options

Question 1

Which of the following is NOT a major type of health insurance plan in the United States?

Accepted Answer

Dental insurance

Answer

Health Maintenance Organization (HMO)

Answer

Preferred Provider Organization (PPO)

Answer

Exclusive Provider Organization (EPO)

Question 2

Which of the following is NOT a type of health insurance plan typically offered to individuals?

Accepted Answer

Dental insurance

Answer

Health Maintenance Organization (HMO)

Answer

Preferred Provider Organization (PPO)

Question 3

Which of the following is NOT a primary type of health insurance plan?

Accepted Answer

Dental insurance

Answer

HMO

Answer

PPO

Answer

EPO

Question 4

Which of the following is NOT a type of health insurance plan?

Accepted Answer

Dental insurance

Answer

HMO

Answer

PPO

Answer

EPO

Question 5

Which of the following is **not** a type of health insurance plan?

Accepted Answer

FFS (Fee-for-Service)

Answer

HMO (Health Maintenance Organization)

Answer

PPO (Preferred Provider Organization)

Answer

EPO (Exclusive Provider Organization)

Question 6

What does a deductible refer to in health insurance?

Accepted Answer

The amount you pay out-of-pocket before your insurance coverage begins.

Answer

The maximum amount you have to pay for covered medical expenses in a year.

Answer

The percentage of medical expenses you are responsible for paying.

Answer

The amount you pay each month for your health insurance premium.

Question 7

What is meant by a pre-existing condition?

Accepted Answer

A medical condition that existed before enrolling in a health insurance plan.

Answer

A medical condition that develops after enrolling in a health insurance plan.

Answer

A medical condition that is not covered by a health insurance plan.

Answer

A medical condition that is considered to be a high risk for developing future health problems.

Question 8

What is the primary purpose of health insurance?

Accepted Answer

To provide financial protection against medical expenses

Answer

To guarantee access to all healthcare providers

Answer

To prevent health issues from developing

Answer

To cover lost income due to illness or injury

Question 9

What does a health insurance deductible represent?

Accepted Answer

The amount you pay before insurance coverage starts

Answer

The percentage of medical bills covered by insurance

Answer

The maximum amount insurance will pay for a procedure

Answer

The monthly fee for health insurance coverage

Question 10

What is the purpose of a co-pay in health insurance?

Accepted Answer

To encourage preventive healthcare

Answer

To reduce overall health insurance premiums

Answer

To cover medical expenses not covered by insurance

Answer

To guarantee access to high-quality healthcare

Question 11

What is the key difference between an HMO and a PPO?

Accepted Answer

HMOs require a referral from a primary care physician to see a specialist.

Answer

HMOs offer more flexibility in choosing healthcare providers than PPOs.

Answer

PPOs typically have higher monthly premiums than HMOs.

Answer

PPOs offer a wider range of healthcare services than HMOs.

Question 12

What is the function of a health savings account (HSA)?

Accepted Answer

To save money for future healthcare expenses on a tax-advantaged basis

Answer

To cover current medical expenses

Answer

To invest in health insurance stocks

Answer

To pay for the costs of long-term care

Question 13

What is a deductible in health insurance?

Accepted Answer

The amount of money you pay before your insurance starts to cover costs

Answer

The maximum amount of money you pay for healthcare services in a year

Answer

The percentage of healthcare costs that you are responsible for paying

Answer

The monthly or annual fee you pay for health insurance coverage

Question 14

What is the main difference between a PPO and an HMO health insurance plan?

Accepted Answer

PPOs have a wider network of providers than HMOs

Answer

HMOs offer lower premiums than PPOs

Answer

PPOs require referrals to see specialists

Answer

HMOs cover a wider range of services than PPOs

Question 15

What does coinsurance refer to in health insurance?

Accepted Answer

The percentage of healthcare costs that you are responsible for paying after meeting your deductible

Answer

The maximum amount of money you pay for healthcare services in a year

Answer

The monthly or annual fee you pay for health insurance coverage

Answer

The amount of money you pay out-of-pocket before your insurance starts to cover costs

Question 16

Which of the following is NOT a benefit of having health insurance?

Accepted Answer

Increased risk of being underinsured

Answer

Access to preventive care

Answer

Lower out-of-pocket costs

Answer

Guaranteed coverage for pre-existing conditions

Question 17

What is the primary purpose of a health insurance premium?

Accepted Answer

To cover the costs of healthcare services

Answer

To pay for marketing and administrative expenses

Answer

To provide financial incentives for healthy behavior

Answer

To fund the salaries of insurance executives

Question 18

Which health insurance plan usually has the lowest monthly payments but the highest costs when you need care?

Accepted Answer

High-Deductible Health Plan (HDHP)

Answer

Health Maintenance Organization (HMO)

Answer

Preferred Provider Organization (PPO)

Answer

Point-of-Service Plan (POS)

Question 19

Which of the following strategies can be effective in reducing health insurance costs?

Accepted Answer

Both B and C

Answer

Choosing a plan with a higher deductible

Answer

Utilizing a Health Savings Account (HSA)

Answer

Negotiating with healthcare providers

Question 20

What is the primary purpose of a copayment in healthcare?

Accepted Answer

To cover the cost of a doctor's visit

Answer

To cover the cost of prescription medications

Answer

To cover the cost of hospital stays

Answer

To cover the cost of preventive care

Question 21

Which of the following services is typically not covered by most health insurance plans?

Accepted Answer

Dental care

Answer

Hospital stays

Answer

Doctor visits

Answer

Prescription medications

Question 22

In health insurance, what is a deductible?

Accepted Answer

The amount you pay out-of-pocket before your insurance coverage begins

Answer

The monthly payment you make for your insurance coverage

Answer

The maximum amount you have to pay for covered services within a year

Answer

The percentage of your medical bills covered by your insurance

Question 23

What is a copay in health insurance?

Accepted Answer

A fixed amount you pay for a specific medical service

Answer

A percentage of the cost of a medical service

Answer

The amount you pay for your health insurance premium

Answer

The amount you have to pay out-of-pocket before your insurance coverage begins

Question 24

What is the key difference between in-network and out-of-network healthcare providers?

Accepted Answer

In-network providers have contracts with your insurance company to provide services at discounted rates

Answer

Out-of-network providers have contracts with your insurance company and may charge more for services

Answer

In-network providers are generally located closer to you than out-of-network providers

Answer

Out-of-network providers offer a wider range of services than in-network providers

Question 25

Which of the following is NOT a type of health insurance plan available in the United States?

Accepted Answer

Medicare Advantage

Answer

Health Maintenance Organization (HMO)

Answer

Preferred Provider Organization (PPO)

Answer

Exclusive Provider Organization (EPO)

Question 26

Which health insurance plan type offers the greatest flexibility in choosing doctors and hospitals?

Accepted Answer

PPO

Answer

HMO

Answer

EPO

Answer

Point-of-Service (POS)

Question 27

What is the term for the amount a person must pay out-of-pocket before their health insurance coverage begins?

Accepted Answer

Deductible

Answer

Coinsurance

Answer

Copayment

Answer

Premium

Question 28

What is the primary purpose of a Health Savings Account (HSA)?

Accepted Answer

To save money for future medical expenses on a tax-advantaged basis

Answer

To pay for current medical expenses

Answer

To invest in stocks and bonds

Answer

To reduce monthly health insurance premiums

Question 29

How did the Affordable Care Act (ACA) primarily affect health insurance in the United States?

Accepted Answer

Reduced the number of uninsured Americans and prohibited insurers from denying coverage based on pre-existing conditions.

Answer

Eliminated the pre-existing condition exclusion and made health insurance mandatory for all Americans.

Answer

Increased the cost of health insurance premiums and reduced the number of uninsured Americans.

Answer

Made health insurance mandatory for all Americans and eliminated the pre-existing condition exclusion.

Question 30

What is a deductible in health insurance?

Accepted Answer

The amount you pay out-of-pocket before your insurance starts covering costs

Answer

The maximum amount you pay for covered services in a year

Answer

The monthly payment you make to your insurance company

Answer

A list of services that are not covered by your insurance

Question 31

What is the primary role of a health insurance agent?

Accepted Answer

To assist in understanding insurance options and choosing the right plan

Answer

To process your insurance claims

Answer

To negotiate with healthcare providers on your behalf

Answer

To provide medical advice

Question 32

Which type of health insurance plan is often offered by employers?

Accepted Answer

Private insurance

Answer

Medicaid

Answer

Medicare

Answer

TRICARE

Question 33

What is the meaning of 'co-insurance' in health insurance?

Accepted Answer

The percentage of a covered medical expense that you are responsible for paying

Answer

The maximum amount you will pay for covered services in a year

Answer

The portion of your premium that is paid by your employer

Answer

The deductible you must pay before insurance starts to cover costs

Question 34

What is an advantage of choosing a high-deductible health plan (HDHP)?

Accepted Answer

Lower monthly premiums

Answer

Higher annual coverage limits

Answer

Access to a wider provider network

Answer

Lower out-of-pocket costs

Question 35

What is the main reason why people get health insurance?

Accepted Answer

To protect themselves from financial difficulties due to unexpected medical bills.

Answer

To pay for all medical expenses without any personal costs.

Answer

To avoid paying for healthcare services.

Answer

To guarantee access to the best healthcare services.

Question 36

What is the primary distinction between an HMO and a PPO health insurance plan?

Accepted Answer

HMOs typically have a narrower network of providers compared to PPOs.

Answer

PPOs usually have a lower monthly premium than HMOs.

Answer

HMOs generally offer more comprehensive coverage than PPOs.

Question 37

What is the purpose of a copayment in a health insurance plan?

Accepted Answer

To cover a set amount of the cost for a specific medical service or procedure.

Answer

To cover the entire cost of a specific medical service or procedure

Answer

To reduce the monthly premium paid by the policyholder

Question 38

What is the primary role of a health insurance advocate?

Accepted Answer

To provide guidance and support to individuals in understanding and navigating their health insurance coverage.

Answer

To offer medical advice and treatment recommendations

Answer

To sell and promote specific health insurance plans

Question 39

What is the primary function of a deductible in health insurance?

Accepted Answer

To reduce the premium by sharing initial healthcare costs with the policyholder.

Answer

To set a maximum limit on out-of-pocket expenses.

Answer

To cover expenses not included in the policy.

Question 40

What is the role of coinsurance in health insurance?

Accepted Answer

To determine the percentage of covered expenses paid by the policyholder.

Answer

To cover the costs of non-covered services.

Answer

To set a maximum limit on out-of-pocket expenses.

Question 41

What is the primary purpose of Medicare health insurance?

Accepted Answer

To provide government-funded health coverage to individuals over 65 and those with certain disabilities.

Answer

To provide government-funded health coverage to low-income individuals and families.

Answer

To offer private health insurance plans to individuals and families.

Question 42

What is a primary goal of the Affordable Care Act (ACA)?

Accepted Answer

To expand health insurance access and affordability for more Americans.

Answer

To provide free healthcare to all citizens.

Answer

To eliminate the Medicare program.

Question 43

What is the key difference between in-network and out-of-network healthcare providers?

Accepted Answer

In-network providers have contracted with the insurance company to provide services at negotiated rates.

Answer

In-network providers must be located within a specific geographic area.

Answer

Out-of-network providers typically offer more specialized services.

Question 44

What type of health insurance plan offers coverage for a wide range of medical expenses, including hospitalization, doctor visits, and prescription drugs?

Accepted Answer

Comprehensive plan

Answer

Catastrophic plan

Answer

Indemnity plan

Answer

Supplemental plan

Question 45

What is the main purpose of a deductible in a health insurance plan?

Accepted Answer

To lower your monthly premium by having you pay a certain amount out-of-pocket before your insurance starts covering costs.

Answer

To help pay for copayments.

Answer

To cover the costs of preventive care.

Answer

To ensure you use healthcare services responsibly.

Question 46

What type of health insurance plan is often offered by employers to their workers?

Accepted Answer

Group plan

Answer

Individual plan

Answer

Family plan

Answer

Medicare plan

Question 47

What is a benefit of using a health insurance company's preferred provider network (PPO)?

Accepted Answer

You usually pay lower out-of-pocket costs when you see doctors and go to hospitals in the network.

Answer

You have access to a wider range of providers.

Answer

You can get coverage for out-of-network providers.

Question 48

What is the term used to describe the highest amount of money a policyholder has to pay out-of-pocket for covered medical expenses in a year?

Accepted Answer

Out-of-pocket maximum

Answer

Coinsurance

Answer

Copayment

Answer

Deductible

Question 49

Which of these services is usually NOT covered by most health insurance plans?

Accepted Answer

Cosmetic surgery

Answer

Emergency room visits

Answer

Well-child visits

Answer

Hospitalizations

Question 50

What is the main job of a health insurance agent?

Accepted Answer

To help individuals and families choose and sign up for health insurance plans.

Answer

To process claims and provide customer service

Question 51

What is a possible downside of using a health insurance broker?

Accepted Answer

They might charge fees or commissions for their services.

Answer

They offer access to a wider range of plans.

Answer

They make the process more convenient.

Answer

They provide personalized guidance and support.