Accident - CORRECT ANSWER-An unplanned, unforeseen event which occurs
suddenly and at an unspecified place.
Accident Insurance - CORRECT ANSWER-A type
... [Show More] of insurance that protects the insured
against loss due to accidental bodily injury.
Accidental Bodily Injury - CORRECT ANSWER-Unplanned, unforeseen traumatic injury
to the body.
Accidental Death and Dismemberment - CORRECT ANSWER-An insurance policy
which pays a specified amount or a specified multiple of the insured's benefit if the
insured dies, loses his or her sight, or loses two limbs due to an accident.
Accidental Death Benefits - CORRECT ANSWER-A policy rider that states that the
cause of death will be analyzed to determine if it complies
with the policy description of accidental death.
Acquired Immunodeficiency Syndrome (AIDS) - CORRECT ANSWER-An infectious and
incurable disease caused by the human
immunodeficiency virus (HIV).
Activities of Daily Living - CORRECT ANSWER-Activities individuals must do every day
such as moving about, getting dressed, eating, bathing, etc.
Actual Charge - CORRECT ANSWER-The amount a physician or supplier actually bills
for a particular service or supply.
Adhesion - CORRECT ANSWER-A contract offered on a "take-it-or-leave-it" basis by an
insurer, in which the insured's only option is to
accept or reject the contract. Any ambiguities in the contract will be settled in favor of
the insured.
Admitted (Authorized) Insurer - CORRECT ANSWER-An insurance company
authorized and licensed to transact insurance in a particular state.
Adult Day Care - CORRECT ANSWER-A program for impaired adults that attempts to
meet their health, social, and functional needs in a
setting away from their homes.
Adverse Selection - CORRECT ANSWER-The tendency of risks with higher probability
of loss to purchase and maintain insurance more
often than the risks who present lower probability.
Agent - CORRECT ANSWER-An individual who is licensed to sell, negotiate, or effect
insurance contracts on behalf of an insurer.
Aleatory - CORRECT ANSWER-A contract in which participating parties exchange
unequal amounts. Insurance contracts are aleatory in that the amount the insured will
pay in premiums is unequal to the amount the insurer will pay in the event of a loss.
Alien Insurer - CORRECT ANSWER-An insurance company that is incorporated outside
the United States.
Alzheimer's Disease - CORRECT ANSWER-A disease that causes the victim to
become dysfunctional due to degeneration of brain cells and severe memory loss.
Ancillary - CORRECT ANSWER-Additional, miscellaneous services provided by a
hospital, such as x-rays, anesthesia, and lab work, but not hospital room and board.
Apparent Authority - CORRECT ANSWER-The appearance or the assumption of
authority based on the actions, words, or deeds of the
principal or because of circumstances the principal created.
Approved Amount - CORRECT ANSWER-The amount Medicare determines to be
reasonable for a service that is covered under Part B of
Medicare.
Assignment - CORRECT ANSWER-A claim to a provider or medical supplier to receive
payments directly from Medicare.
Attained Age - CORRECT ANSWER-The age of the insured at a determined date.
Attending Physician's Statement (APS) - CORRECT ANSWER-A statement usually
obtained from the applicant's doctor.
Avoidance - CORRECT ANSWER-A method of dealing with risk (e.g. if a person
wanted to avoid the risk of being killed in an airplane crash,
he/she might choose never to fly in a plane).
Basic Hospital Expense Insurance - CORRECT ANSWER-Coverage that provides
benefits for room, board and miscellaneous hospital expenses for a certain number o [Show Less]