Health and Welfare Benefits Flashcards
6 cards from real CBP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Health and Welfare Benefits flashcards as text
Under the ACA, what is the minimum value threshold for employer-sponsored health plans?
Answer: 60%
The ACA requires employer-sponsored plans to cover at least 60% of the total allowed costs of benefits to satisfy minimum value requirements.
Which federal law governs continuation of health coverage after a qualifying event such as job loss?
Answer: COBRA
COBRA (Consolidated Omnibus Budget Reconciliation Act) requires group health plans to offer continuation coverage to qualified beneficiaries after a qualifying event.
What is the maximum COBRA continuation period for an employee who loses coverage due to voluntary termination?
Answer: 18 months
Employees who lose coverage due to termination or reduction in hours are entitled to up to 18 months of COBRA continuation coverage.
Which account type allows employees to pay for qualified medical expenses with pre-tax dollars and rolls over unused funds?
Answer: HSA
Health Savings Accounts (HSAs) allow pre-tax contributions that roll over year to year and are only available to those enrolled in a High-Deductible Health Plan.
Under HIPAA, a pre-existing condition exclusion period for group health plans may not exceed how many months?
Answer: 12 months
HIPAA limits pre-existing condition exclusion periods to 12 months (18 months for late enrollees) for group health plans.
Which term describes the amount an insured must pay out-of-pocket before the health plan begins paying covered expenses?
Answer: Deductible
A deductible is the fixed amount the insured pays for covered services before the insurance plan starts to pay.