Insurance Terms and Definitions for Major Medical and Disability Policies, Quizzes of Credit and Risk Management

Download Insurance Terms and Definitions for Major Medical and Disability Policies and more Quizzes Credit and Risk Management in PDF only on Docsity! TERM 1 Major medical insurance DEFINITION 1 is deisgned to pay a high proportion of the covered exps of catastrophic illness or injury TERM 2 Benefit period DEFINITION 2 length of time for which benefits are paid after a deductible is satisfied TERM 3 Calendar year deductible DEFINITION 3 is an aggregate deductible that has to be satisfied only one during the calendar year. TERM 4 Family deductible DEFINITION 4 specifies that medical exps for all family members are accumilated to satisfy the deductible . TERM 5 common-accident provision DEFINITION 5 only one deductible has to be satisfied if two or more family members are injured in a common accident. TERM 6 coinsurance provision DEFINITION 6 requires the insured to pay a certain percentage (typically 20-25%) of eligible medical expenses in exess of the deductible. TERM 7 Stop-loss limit DEFINITION 7 total out of pocket spending is limited by this, hence a certain amount stated such as 5k. TERM 8 Health Savings Account(HSA) DEFINITION 8 is a tax exempt account established exclusively for the purpose of paying qualified medical expenses. TERM 9 elimination period DEFINITION 9 A waiting period is the period of time between when an action is requested or mandated and when it occurs. TERM 10 disability-income insurance DEFINITION 10 provides income payments when the insured is unable to work bc of sickness or injury. (normally limited to 60-80% of gross earnings)