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WorldatWork Regulatory Environments for Compensation Programs Sample Questions:

1. What are usual, customary and reasonable charges (UCR)?

A) The charges that are published annually in the Global Insurers' Medical Cost Comparison Guide
B) The charges that are allowable for any given medical procedure with no pre-treatment authorization
C) The charges that an insurance carrier determines are normal for a particular medical procedure within a specific geographical area
D) The charges that are typically paid up front by a plan participant for services rendered.

2. Employer-sponsored death benefits are most commonly based on which of the following?

A) The employee's annual salary
B) The employee's premium contributions
C) The size of the employee's family
D) The employee's health history

3. Which of the following are the two primary elements of benefits?

A) Pay for time not worked and income protection programs
B) Mental health coverage and health care coverage
C) Defined contribution and defined benefits plans
D) Unemployment and disability

4. Regarding medical plans, what is the out-of-pocket maximum?

A) The maximum the plan will pay if the member is covered by another insurance plan
B) The limit the member will be required to pay at each doctor visit
C) The most that the member will be liable for in relation to co-insurance
D) The lifetime limit for benefits to any one employee

5. On what basis does the Equal Pay Act of 1963 prohibit an employer from discriminating in employee compensation programs?

A) Age
B) Religion
C) Sex
D) Race

Solutions: