Bob's insurance policy covers mental health services. Bob thinks the covered therapy is worth about $100...

Bob's insurance policy covers mental health services. Bob thinks the covered therapy is worth about $100 to him. The therapy actually costs $200. Bob goes to therapy because the copay on his policy is only $50. This is an example of

Question 14 options:

a)	Advantageous selection

b)	Adverse selection

c)	Full insurance

d)	Partial insurance

e)	Moral Hazard

Expert Solution

Bob's insurance policy covers mental health services. Bob thinks the covered therapy is worth about $100 to him. The therapy actually costs $200. Bob goes to therapy because the copay on his policy is only $50. This is an example of Partial insurance. So the correct option is D. "Partial insurance" describes insurance policies that do not include full coverage or only pay for a portion of the total bill when a claim is filed. Partial insurance policies are often available at a cheaper rate or under special circumstances.

Rahul Sunny answered 1 year ago

Insurance that covers medical costs beyond those covered by basic health insurance is A) major medical...

Insurance that covers medical costs beyond those covered by basic health insurance is A) major medical insurance. B) premium insurance. C) catastrophic insurance. D) none of the above.

Why is mental health disorder historically not covered/less covered by health insurance than other “physical” diseases?

What is the relationship between covered condtions and covered services in health insurance plans?

walked through international and national mental health care documents, plans, policy and services. answer: Mental health...

walked through international and national mental health care documents, plans, policy and services. answer: Mental health care in Australia: Is it a mixture of highs and lows but all-in-all moving in the right direction? (keep it to a paragraph. Just state your case and the reasons behind your thoughts. )

1) What is the relationship between covered condtions and covered services in health insurance plans? 2)...

1) What is the relationship between covered condtions and covered services in health insurance plans? 2) How do third-party payers notify insureds about the extent of playments made on a claim? What data elements does that notification include? 3) Cost sharing (out-of-pocket) costs for subscribers and patients a) remain constant b) are inceasing c) are decreasing

An insurance policy has an ordinary deductible of 100 and a maximum covered loss of 10,000....

An insurance policy has an ordinary deductible of 100 and a maximum covered loss of 10,000. You observe the following six payments: 100 200 500 600 1000 5000 In addition, there are three payments at the limit. You ﬁt a single parameter Pareto distribution with θ = 50 to the ground up distribution using maximum likelihood. Determine the estimated parameterα.

Discuss how the concepts of premium, covered services, and cost sharing apply to health insurance.

The price elasticity of demand for ambulatory mental health services appears to be about - 0.8,...

The price elasticity of demand for ambulatory mental health services appears to be about - 0.8, and the price elasticity for general ambulatory medical services appears to be about -0.3. How much would spending increase for each type of care if copays were cut from $40 to $25? *Hint: Need to find out how much the copay decreased by in percentage and that will give you the percentage change in price to plug into your elasticity formula. (PLEASE SHOW WORK...

Discuss how the concept of premium, covered services, and cost sharing apply to health insurance. what...

Discuss how the concept of premium, covered services, and cost sharing apply to health insurance. what is the difference between experience rating and community rating?

A health insurance policy pays 70 percent of physical therapy costs after a $400 deductible. In...

A health insurance policy pays 70 percent of physical therapy costs after a $400 deductible. In contrast, an HMO charges $21 per visit for physical therapy. How much would a person save with the HMO if he or she had 10 physical therapy sessions costing $40 each? (Do not round intermediate calculations.) Amount of savings:

Question