Consider the Following: I

question 88

Multiple Choice

Consider the following: I. present value of vested benefits at present pay levels
II) present value of non-vested benefits at present pay levels
III) present value of additional benefits related to projected pay increases
Which of the above constitutes the vested benefit obligation?

• A)I & II.
• B)I, II, III.
• C)II.
• D)I only.

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Definitions:

Life Policy

A life policy is an insurance agreement that pays out a sum of money either upon the death of the insured person or after a set period.

Premiums Payable

The amount due for payment on an insurance policy.

Deductible

The amount a policyholder must pay out of pocket before an insurance company will cover the remaining costs of a claim.

Medical Bills

The costs charged for services rendered by healthcare professionals or facilities.