Free AHM-510 Exam Braindumps

The Sawgrass Health Center is an institution that trains healthcare professionals and performs various clinical and other types of healthcare-related research. Because Sawgrass receives government funding, it is required to provide medical care for the poor. Of the following types of health plans, Sawgrass can best be described as:

1. A. A medical foundation
2. B. An academic medical center (AMC)
3. C. A healthcare cooperative
4. D. A community health center (CHC)

Correct Answer: B

The Tidewater Life and Health Insurance Company is owned by its policy owners, who are entitled to certain rights as owners of the company, and it issues both participating and nonparticipating insurance policies. Tidewater is considering converting to the type of company that is owned by individuals who purchase shares of the company's stock. Tidewater is incorporated under the laws of Illinois, but it conducts business in the Canadian provinces of Ontario and Manitoba.
Tidewater established the Diversified Corporation, which then acquired various subsidiary firms that produce unrelated products and services. Tidewater remains an independent corporation and continues to own Diversified and the subsidiaries. In order to create and maintain a common vision and goals among the subsidiaries, the management of Diversified makes decisions about strategic planning and budgeting for each of the businesses.
In creating Diversified, Tidewater formed the type of company known as

1. A. A mutual holding company
2. B. A spin-off company
3. C. An upstream holding company
4. D. A downstream holding company

Correct Answer: D

In the course of doing business, health plans conduct basic corporate transactions. For example, when a health plan engages in the corporate transaction known as aggressive sourcing, the health plan

1. A. Chooses to contract with vendors who provide specific functions that would otherwise be performed in-house, such as paying claims
2. B. Seeks to obtain the best deals from various vendors for equipment, supplies, and services such as telephones, overnight mail, computer hardware and software, and copy machines
3. C. Merges with one or more companies to form an entirely new company
4. D. Joins with one or more companies, but retains its autonomy and relies on the other companies to perform specific functions

Correct Answer: B

The following answer choices describe various approaches that a health plan can take to voice its opinions on legislation. Select the answer choice that best describes a health plan's use of grassroots lobbying.

1. A. The Delancey Health Plan is launching a media campaign in an effort to persuade the public that proposed health care legislation will increase the cost of healthcare.
2. B. The Stellar Health Plan is using direct mail and telephone calls to encourage people who support a patient rights bill to contact key legislators and voice their support for the bill.
3. C. The Bestway Health Plan is encouraging its employees to contribute to a political action committee (PAC) that is funding the political campaign of a pro-health plan candidate.
4. D. A representative of the Palmer Health Plan is attending a one-on-one meeting with a legislator to present Palmer's position on pending managed care legislation.

Correct Answer: B

Regulators of health plans have set standards in a number of areas of plan operations. Requirements with which health plans must comply typically include

1. A. providing enrollees and prospective enrollees with detailed information about various aspects of health plan policies and operations
2. B. maintaining internal grievance and appeals processes to resolve enrollee complaints against the organization
3. C. maintaining quality assurance programs that reflect the plan's activities in monitoring quality
4. D. all of the above

Correct Answer: D