Chapter 10 – Managing the Employee-Benefits System
Chapter 10
Managing the Employee-Benefits System
True / False Questions
1. A summary of material modifications might include changes in plan eligibility
rules. (Summary of Material Modification)
2. Utilization reviews are used to evaluate the quality of specific health care
services. (Utilization Reviews)
3. To more effectively communicate a benefits package to employees, more companies are
having new employees meet one-on-one with benefits counselors. (The “Good Business Sense”
of Benefits Communication)
4. Premium-only payment systems refer to payment arrangements between managed care
insurers and health care providers. (Pretax Salary Reduction Plans)
5. Insurers conduct concurrent utilization reviews shortly after hospital admission, following
emergency treatment. (Utilization Reviews)
6. Satisfying nondiscrimination rules permits plan participants to take tax deductions for
qualified benefits. (Nondiscrimination Rules)
10–10
Essay Questions
51. Compare one-size-fits-all benefits with employee choice. (A One-Size-Fits-All Approach,
Employer Choice to Customize Benefits)
52. Briefly discuss the information that summary plan descriptions must provide. (Summary
Plan Description)
Main Points
