CCP Benefits Design & Administration 2

Question 1

Under the Mental Health Parity and Addiction Equity Act (MHPAEA), employer-sponsored health plans must ensure that mental health and substance use disorder benefits are:

Accepted Answer

No more restrictive than medical/surgical benefits

Answer

Unlimited in duration and cost

Answer

Provided at no cost-sharing to employees

Answer

Administered by a separate insurer

Question 2

What is a key advantage of a defined contribution plan over a defined benefit plan from an employer's perspective?

Accepted Answer

Investment risk is transferred to the employee

Answer

Employees receive a guaranteed retirement income

Answer

Employer contributions are not tax-deductible

Answer

The plan is exempt from ERISA requirements

Question 3

Which approach to benefits benchmarking compares an organization's benefit costs and offerings against competitors in the same industry and labor market?

Accepted Answer

Total compensation benchmarking

Answer

Internal equity analysis

Answer

Benefits gap analysis

Answer

Benefit cost-per-employee analysis

Question 4

Which federal law governs the portability, nondiscrimination, and renewability provisions for group health insurance?

Accepted Answer

HIPAA

Answer

ERISA

Answer

COBRA

Answer

ACA

Question 5

In a self-funded health plan, which financial tool does an employer typically purchase to limit liability for catastrophic individual claims?

Accepted Answer

Stop-loss insurance

Answer

Reinsurance treaty

Answer

Health maintenance bond

Answer

Catastrophic claim reserve

Question 6

A company wants to offer a voluntary benefit that allows employees to purchase additional life insurance without medical underwriting during open enrollment. This is best described as:

Accepted Answer

Guaranteed issue life insurance

Answer

Universal life insurance

Answer

Term life conversion

Answer

Supplemental accidental death coverage

Question 7

Under the Affordable Care Act (ACA), large employers (50+ FTEs) that fail to offer minimum essential coverage to full-time employees may be subject to which penalty?

Accepted Answer

Employer Shared Responsibility Payment

Answer

COBRA excise tax

Answer

ERISA plan termination fee

Answer

HIPAA noncompliance penalty