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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

One difference between the internal and external analysis of a health plan's financial information is that

Options:

A.

Internal analysis of the health plan can be more detailed and more specific than can external analysis

B.

Internal analysts are more likely than external analysts to want comparative financial data about the health plan

C.

Only internal analysts use trend analysis to analyze the health plan's financial statements

D.

Only internal analysts typically conduct the financial analysis of the health plan themselves

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Question 2

Provider reimbursement methods that transfer some utilization risk from a health plan to providers affect the health plan's RBC formula. A health plan's use of these reimbursement methods is likely to result in

Options:

A.

An increase the health plan's underwriting risk

B.

A decrease the health plan's credit risk

C.

A decrease the health plan's net worth requirement

D.

All of the above

Question 3

A health plan most likely would use benchmarking in order to

Options:

A.

Measure its performance and practices against those of other companies to help identify those practices that will lead to superior performance in a variety of financial and non-financial areas

B.

Calculate the percentage changes in its financial statement items over several consecutive accounting periods

C.

Determine both the direction and velocity of trends in its financial statements

D.

Display only percentage relationships in its financial statements