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AHM-520 Exam Dumps : Health Plan Finance and Risk Management

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Health Plan Finance and Risk Management Questions and Answers

Question 1

The types of financial risks and costs to which a health plan is subject depends on whether the health plan provides services to the Medicare and/or Medicaid populations or to the commercial population. One distinction between providing services to the Medicare and Medicaid populations and to the commercial population is that Medicare and Medicaid enrollees typically:

Options:

A.

Are locked into a plan for a 12-month period, whereas enrollees from the commercial population may disenroll from a plan on a monthly basis

B.

Require less enrollee education than do enrollees from the commercial population

C.

Have higher incidences of chronic illness than do enrollees from the commercial population

D.

Are enrolled in a health plan through a group situation, whereas the commercial population typically enrolls in a health plan on an individual basis

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Question 2

A health plan that capitates a provider group typically provides or offers to provide stop-loss coverage to that provider group.

Options:

A.

True

B.

False

Question 3

Variance analysis is the study of the difference between expected results and actual results. Variances can be positive or negative. A positive variance is typically considered:

Options:

A.

favorable for both expenses and revenues

B.

favorable for expenses, but unfavorable for revenues

C.

favorable for revenues, but unfavorable for expenses

D.

unfavorable for both expenses and revenues