Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25

- Free Preparation Discussions

AHIP Exam AHM-520 Topic 5 Question 90 Discussion

Actual exam question for AHIP's AHM-520 exam

Question #: 90
Topic #: 5

[All AHM-520 Questions]

A product is often described as having a thin margin or a wide margin. With regard to the factors that help determine the size of the margin of a health plan's product, it can correctly be stated that the

Agreater the risk a health plan assumes in a health plan, the thinner the product margin should be

Bmore that competition acts to force prices down, the wider the product margins tend to become

Cgreater the demand for the product, the thinner the margin for this product tends to become

Dlonger the premium rates are guaranteed to a group, the wider the health plan's margin should be

Show Suggested Answer

Suggested Answer: B

by Art at Jun 22, 2024, 10:54 PM

Limited Time Offer

25%

Off

Get Premium AHM-520 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Isaac

2 days ago

I disagree. I believe option D is the correct answer. The longer the premium rates are guaranteed, the wider the health plan's margin should be to account for that long-term commitment.

upvoted 0 times

...

Beth

7 days ago

I think option A is the correct answer. The greater the risk a health plan assumes, the thinner the margin needs to be to account for that risk.

upvoted 0 times

...

Vince

10 days ago

I'm not sure, but I think it might be D because longer premium rates could mean more profit.

upvoted 0 times

...

Jerrod

11 days ago

I agree with Craig, competition can affect product margins.

upvoted 0 times

...

Craig

12 days ago

I think the answer is B.

upvoted 0 times

...

az-700 pass4success az-104 200-301 200-201 cissp 350-401 350-201 350-501 350-601 350-801 350-901 az-720 az-305 pl-300

Warning: Cannot modify header information - headers already sent by (output started at /pass.php:70) in /pass.php on line 77