A Company Is Liable for a Design Defect in Its

question 80

Multiple Choice

A company is liable for a design defect in its product only if:

• A)it was aware of the design defect.
• B)the design defect has caused a previous injury.
• C)there was negligence in the product testing.
• D)none of the above

---

Definitions:

Balance Billing

Billing a patient for the difference between a higher usual fee and a lower allowed charge.

Allowed Charge

The amount that is the most the payer will pay any provider for each procedure or service.

Copayment

A fixed amount that a healthcare beneficiary pays for covered medical services, usually at the time of receiving the service.

Capitated Payment

A payment arrangement in healthcare where a provider is paid a set amount for each enrolled person assigned to them, regardless of the number of services provided.