Which of the Following Statements About an HMO Is Not

question 68

Multiple Choice

Which of the following statements about an HMO is not true?

• A)You will pay the same monthly premium whether you use the plan or not.
• B)You need to be referred to see a specialist or the HMO will not pay.
• C)Individuals usually pay a small fee for a visit to a physician or for a prescription.
• D)The health care providers are compensated on the basis of each visit by a patient.

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Definitions:

Hedge

An investment made to reduce the risk of adverse price movements in an asset, usually through derivatives such as options or futures contracts.

Financial Engineering

The application of mathematical techniques to solve financial problems, including designing new financial instruments.

Financial Instruments

Contracts that give rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

Bretton Woods Accord

An agreement reached in 1944 that established a new global financial system including fixed exchange rates and created major entities like the International Monetary Fund and the World Bank.