Free AHM-250 Exam Braindumps
Healthcare Management: An Introduction Questions 141–145 (page: 30)

Updated On: 10-Feb-2026

One true statement about community rating, a rating method commonly used by health plans, is that:

  1. It requires a health plan to set premiums for financing medical care according to the health plan's expected cost of providing medical benefits to a sub-group within the community.
  2. A health plan usually uses community rating to set premiums for large groups.
  3. It tends to lead to greater fluctuations in premium rates than do other rating methods.
  4. A health plan seldom uses community rating to set premiums for large groups.

Answer(s): D



One true statement regarding ethics and laws is that the values of a community are reflected in

  1. both ethics and laws, and both ethics and laws are enforceable in the court system
  2. both ethics and laws, but only laws are enforceable in the court system
  3. ethics only, but only laws are enforceable in the court system
  4. laws only, but both ethics and laws are enforceable in the court system

Answer(s): B



One type of physician-only integration model is a consolidated medical group. Typical characteristics of a consolidated medical group include

  1. that it may be a single-specialty or multi-specialty practice
  2. operates in one or a few facilities rather than in many independent offices
  3. achieves economies of scale in the group's integrated operations
  4. all of the above

Answer(s): D



One typical characteristic of an integrated delivery system (IDS) is that an IDS.

  1. Is more highly integrated structurally than it is operationally.
  2. Provides a full range of healthcare services, including physician services, hospital services, and ancillary services.
  3. Cannot negotiate directly with health plans, plan sponsors, or other healthcare purchasers.
  4. Performs a single business function, such as negotiating with health plans on behalf of all of the member providers.

Answer(s): B



One typical characteristic of preferred provider organization (PPO) benefit plans is that PPOs:

  1. Assume full financial risk for arranging medical services for their members.
  2. Require plan members to obtain a referral before getting medical services from specialists.
  3. Use a capitation arrangement, instead of a fee schedule, to reimburse physicians.
  4. Offer some coverage, although at a higher cost, for plan members who choose to use the services of non-network providers.

Answer(s): D



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