FREE NCBTMB Business and Legal Practices Questions and Answers

Question 1

A client trips over a loose rug in your reception area and sprains their ankle. Which type of insurance policy would cover the client's medical expenses related to this incident?

Accepted Answer

General Liability Insurance

Answer

Professional Liability Insurance

Answer

Disability Insurance

Answer

Product Liability Insurance

Question 2

A massage therapist works as an independent contractor at a wellness center. At the end of the year, which IRS form should the therapist expect to receive from the center detailing their earnings?

Accepted Answer

1099-NEC

Answer

W-2

Answer

1040

Answer

W-4

Question 3

Which of the following marketing statements is considered outside the professional scope of practice for a massage therapist?

Accepted Answer

"My deep tissue technique can realign your spine."

Answer

"Massage can help reduce stress and promote relaxation."

Answer

"Experience relief from general muscular tension."

Answer

"Regular massage may help improve local circulation."

Question 4

A massage therapist maintains a solo, cash-only practice and does not bill insurance companies electronically. A client's lawyer calls requesting the client's treatment notes for a personal injury case. What is the therapist's most appropriate and ethical first step?

Accepted Answer

Obtain a signed, written release from the client specifically authorizing the disclosure of their records to the lawyer.

Answer

Immediately fax the requested records to the lawyer's office.

Answer

Refuse to release the records under any circumstances to protect privacy.

Answer

Provide a verbal summary of the client's treatment over the phone to the lawyer.

Question 5

Regarding client record retention, what is a generally accepted best practice for massage therapists, keeping in mind that specific requirements can vary by state or jurisdiction?

Accepted Answer

Retain records for several years (e.g., 3-10 years) after the last client visit, in accordance with state laws or professional guidelines.

Answer

Destroy all records immediately after the client's final session.

Answer

Maintain records for at least one year after the last treatment.

Answer

Keep financial records but discard SOAP notes after each session.

Question 6

A massage therapist decides to start their own practice and wants a business structure that protects their personal assets (like their home and car) from business debts and lawsuits. Which business structure provides this 'limited liability' protection?

Accepted Answer

Limited Liability Company (LLC)

Answer

Sole Proprietorship

Answer

General Partnership

Answer

DBA ('Doing Business As')

A client trips over a loose rug in your reception area and sprains their ankle.Which type of insurance policy would cover the client's medical expenses related to this incident?

A client trips over a loose rug in your reception area and sprains their ankle.
Which type of insurance policy would cover the client's medical expenses related to this incident?