I'm studying for my exam and have some questions...

[Spin]

The study material says:

"Service Providers

Service providers sell medical and hospital care services to their subscribers, not insurance, in return for a premium payment. Benefits are in the form of services provided by the hospitals and physicians participating in the plan. They sell medical and hospital care services, not insurance. These services are packaged into various plans, and those who purchase these plans are known as subscribers."

Could someone please give an example of this? I'm having a hard time wrapping my head around this concept.

 

[somarco]

The study material says:

"Service Providers

Service providers sell medical and hospital care services to their subscribers, not insurance, in return for a premium payment. Benefits are in the form of services provided by the hospitals and physicians participating in the plan. They sell medical and hospital care services, not insurance. These services are packaged into various plans, and those who purchase these plans are known as subscribers."

Could someone please give an example of this? I'm having a hard time wrapping my head around this concept.

One thing making it confusing is what they are selling is "not insurance" but follow up by calling it a "premium payment".

Other than insurance, what other types of payment are referenced as a "premium"?

 

[fed up]

HMO's, PPO's, are service providers

 

[LostDollar]

The study material says:

"Service Providers

Service providers sell medical and hospital care services to their subscribers, not insurance, in return for a premium payment. Benefits are in the form of services provided by the hospitals and physicians participating in the plan. They sell medical and hospital care services, not insurance. These services are packaged into various plans, and those who purchase these plans are known as subscribers."

Could someone please give an example of this? I'm having a hard time wrapping my head around this concept.

Caveat, not an agent.

Direct Primary Care mentioned in these articles could be one thing your quote is referencing.

https://www.chicagotribune.com/business/ct-biz-membership-medicine-20180529-story.html

https://www.medicaleconomics.com/view/value-direct-pay-monthly-fee-physicians-and-patients

https://www.fastcompany.com/90610727/concierge-health-subscription-doctor-model

 

[goillini52]

A service provider (SP) is an organization that provides services, such as consulting, legal, real estate, communications, storage, and processing services, to other organizations. Although a service provider can be a sub-unit of the organization that it serves, it is usually a third-party or outsourced supplier. Examples include telecommunications service providers (TSPs), application service providers (ASPs), storage service providers (SSPs), and internet service providers (ISPs).

 

[Spin]

"A 'common disaster' provision deal with a situation in which the insured and primary beneficiary both died in the same accident, and it is known that the insured died first. The primary beneficiary must outlive the insured by a specified number of days or the insurer assumes the insured died last."

If they both died in the same accident how does the primary beneficiary outlive the insured for days?

 

[DHK]

If they both died as a result of being in the same accident how does the primary beneficiary outlive the insured for days?

The accident is the cause, but not necessarily the timing of their passing.

 

[Spin]

Thanks.

 

[LostDollar]

"A 'common disaster' provision deal with a situation in which the insured and primary beneficiary both died in the same accident, and it is known that the insured died first. The primary beneficiary must outlive the insured by a specified number of days or the insurer assumes the insured died last."

If they both died in the same accident how does the primary beneficiary outlive the insured for days?

The accident is the cause, but not necessarily the timing of their passing.

Interesting.

My grandfather used to have mystery pocket books and hardback mystery book club books in his library by authors like earle stanley gardner, aa fair, craig rice, ellery queen, rex stout, the saint books, and so on. Can't remember any stories in detail any more, but it seems like some of those authors may have taken poetic license with this rule.

 

[DHK]

Can't remember any stories in detail any more, but it seems like some of those authors may have taken poetic license with this rule.

Unless they are written by financial professionals, estate planning attorneys, or CPAs, they aren't going to care about how the assets are distributed to beneficiaries in a probate court.