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AHIP AHM-520 Exam Dumps Questions and Answers

Exam Code: AHM-520
Certification: AHIP Certification
Vendor: AHIP
Last Update: Nov 21, 2024
Questions: 215
10  Customers Passed AHIP AHM-520
91%  Average Success In Real Exam
92%  Questions came word by word from this dump
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Health Plan Finance and Risk Management Questions and Answers

Questions 1

The Zane health plan uses a base of accounting known as accrual-basis accounting. With regard to this base of accounting, it can correctly be stated that accrual-basis accounting

Options:

A.

Enables an interested party to view the consequences of obligations incurred by Zane, but only if the health plan ultimately completes the business transaction

B.

Is not suitable for measuring Zane's profitability

C.

Requires Zane to record revenues when they are earned and expenses when they are incurred, even if cash has not actually changed hands

D.

Prohibits Zane from making adjusting entries to its accounting records at the end of each accounting year

Questions 2

The Harp Company self-funds the health plan for its employees. The plan is administered under a typical administrative-services-only (ASO) arrangement. One true statement about this ASO arrangement is that

Options:

A.

This arrangement prevents Harp from purchasing stop-loss coverage for its health plan

B.

The amount that Harp pays the administrator to provide the ASO services is not subject to state premium taxes

C.

The administrator is responsible for paying claims from its own assets if Harp's account is insufficient

D.

The charges for the ASO services must be stated as a percentage of the amount of claims paid for medical expenses incurred by Harp's covered employees and their dependents

Questions 3

Provider reimbursement methods that transfer some utilization risk from a health plan to providers affect the health plan's RBC formula. A health plan's use of these reimbursement methods is likely to result in

Options:

A.

An increase the health plan's underwriting risk

B.

A decrease the health plan's credit risk

C.

A decrease the health plan's net worth requirement

D.

All of the above