Mathematics for Business and Personal Finance

Chapter 11: Insurance

Practice Tests

1
Barbara Johnston has a family membership in a group health insurance program. The annual premium is $12,890. Barbara's employer pays 75% of the total cost. What is Barbara's annual contribution?
A)$171.87
B)$3,222.50
C)$6,666.36
D)$9,667.50
2
Emilio Mendoza has a single plan. The PPO annual premium is $10,980. The employer pays 85% of the cost. How much is deducted from his weekly paycheck?
A)$31.67
B)$44.87
C)$179.48
D)$1,647.00
3
Savanah Hankinson has a family plan. Her HMO annual premium is $15,230. Her employer pays 65% of the cost. How much does Savanah have deducted from her semimonthly paycheck?
A)$205.02
B)$222.10
C)$412.48
D)$9,899.50
4
Parker Moore is single and pays into an HMO. The total cost is $8,550 annually and the employer pays 90% of the total cost. Parker also pays 50% of the optional annual dental premium of $782. How much is deducted each week from his paycheck?
A)$16.44
B)$23.96
C)$47.92
D)$51.18
5
Chelsea and Zach Curry are self-employed writers. They pay 100% of the PPO annual insurance premium of $13,210. They also have a dental plan that costs $890 annually and a vision plan that costs $340 annually. The premiums are paid quarterly. How much do they pay each quarter?
A)$277.69
B)$2,740.00
C)$3,610.00
D)$14,440.00
6
Robert Finch is single and has a health insurance plan with the benefits listed below. His recent network health care costs include co-payments for 1 emergency room visit, 8 physician visits, and 4 specialist visits. What amount did Robert pay?

<a onClick="window.open('/olcweb/cgi/pluginpop.cgi?it=jpg::::/sites/dl/free/0078805058/685862/ch11_t1.jpg','popWin', 'width=NaN,height=NaN,resizable,scrollbars');" href="#"><img valign="absmiddle" height="16" width="16" border="0" src="/olcweb/styles/shared/linkicons/image.gif"> (34.0K)</a>

A)$695
B)$670
C)$590
D)$570
7
Use the table in problem 6. Carmen Phan has a family health insurance plan with the benefits listed. Her recent network health care costs include co-payments for 9 physician visits and 8 specialist visits. What amount did Carmen pay?
A)$375.00
B)$560.00
C)$750.00
D)$1,125.00
8
Use the table in problem 6. Determine your network plan (single) costs with the following co-payments: 7 physician visits, 2 specialist visits, and 12 physical therapy visits at $90 each.
A)$275.00
B)$345.00
C)$620.00
D)$760.00
9
Use the table in problem 6. Determine a family's network plan costs with the following co-payments: 22 physician visits, 10 specialist visits, and 8 physical therapy visits at $80 each, 1 emergency room visit plus ambulance fee. There was also a hospital charge of $2,390.
A)$825
B)$1,303
C)$2,053
D)$3,215
10
Use the table in problem 6. After meeting the family's deductible, Ben Monerstersky had the following family, non-network medical bills: 18 physician visits, 9 specialist visits, and 25 physical therapy visits at $95 each. Hospital charges totaled $55,600 plus an emergency room visit.
A)$2,464.00
B)$16,680.00
C)$19,042.50
D)$19,144.00
11
Zina Jamal is 30 years old. She wants to purchase a $50,000, 5-year term life insurance policy. What is her annual premium?

<a onClick="window.open('/olcweb/cgi/pluginpop.cgi?it=jpg::::/sites/dl/free/0078805058/685862/ch11_t2.jpg','popWin', 'width=NaN,height=NaN,resizable,scrollbars');" href="#"><img valign="absmiddle" height="16" width="16" border="0" src="/olcweb/styles/shared/linkicons/image.gif"> (26.0K)</a>

A)$138.50
B)$149.00
C)$160.50
D)$1,385.00
12
Use the table in problem 11. Omar Ahmed is 35 years old. He wants to purchase an $80,000, 5-year term life insurance policy. What is his annual premium?
A)$238.40
B)$280.80
C)$340.00
D)$362.20
13
Use the table in problem 11. A 45 year-old male purchases a $100,000, 5-year term policy. What is the annual premium?
A)$450
B)$460
C)$542
D)$759
14
Use the table in problem 11. Find the percent increase in premiums. At age 40, Veronica Vega purchases a $70,000, 5-year term policy. She is now 45 years old.
A)24.6%
B)32.5%
C)67.5%
D)75.4%
15
Use the table in problem 11. Find the percent increase in premiums. At age 45, Zahara Washington purchases an $80,000, 5-year term policy. She is now 55 years old.
A)46.4%
B)53.6%
C)85.5%
D)86.5%
16
Use the table in problem 16. Tara Kiminski is 25 years old. She wants to purchase a whole life policy with a face value of $150,000. What is her annual premium?

Whole Life

Age

Male

Female

20

$8.00

$6.25

25

$9.50

$7.50

30

$11.75

$9.25

35

$15.00

$11.50

40

$19.50

$14.50


A)$72
B)$1,125
C)$1,725
D)$3,600
17
Use the table from problem 16. Tom White Oak is 25 years old. He wants to purchase a whole life policy with a face value of $70,000. What is his annual premium?
A)$525.00
B)$665.00
C)$962.50
D)$1,120.00
18
Use the table from problem 16. Forty-year old Marcus Vance's policy is a "whole life" for $50,000. What is his semi-annual premium?

<a onClick="window.open('/olcweb/cgi/pluginpop.cgi?it=jpg::::/sites/dl/free/0078805058/685862/ch11_t3.jpg','popWin', 'width=NaN,height=NaN,resizable,scrollbars');" href="#"><img valign="absmiddle" height="16" width="16" border="0" src="/olcweb/styles/shared/linkicons/image.gif"> (9.0K)</a>

A)$492.38
B)$624.00
C)$1,248.00
D)$1,313.00
19
Use the table from problem 16. Gustavo and Miriam Lazo each purchase a $100,000 whole life insurance policy. Both are 30 years of age. How much more is Gustavo's annual premium than his wife's?
A)$200
B)$250
C)$475
D)$1,175
Glencoe Online Learning CenterBusiness Administration HomeProduct InfoSite MapContact Us

The McGraw-Hill CompaniesGlencoe

Please read our Terms of Use and Privacy Notice before you explore our Web site. To report a technical problem with this Web site, please contact the Web Producer.