Reasons for having a minimum participation requirement before a group is eligible for insurance include which of the following?
I. To lower the expense rate per unit of insurance
II. To minimize the possibility of insuring a group which consists largely of unhealthy individuals
A) I only
B) II only
C) both I and II
D) neither I nor II
Question 2
Which of the following statements about the eligibility requirements for group insurance is true?
A) Most plans cover both full-time and part-time employees.
B) An employee must be actively at work on the day the employee's group insurance becomes effective.
C) An employee who signs-up for insurance during an eligibility period must furnish evidence of insurability.
D) One purpose of a probationary period is to determine whether the employee is healthy enough to be covered under the group health insurance plan.
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