AHIP AHM-520 Question Answer
The following statements are about state health coverage reinsurance programs.
The reinsurance offered through these programs is administered on a for-profit basis by the federal government.
The purpose of these programs is to reinsure MCOs and other carriers who offer guaranteed healthcare plans to small employers.
These programs must reinsure only an entire small group, not specific individuals within a group.
Any shortfalls in the pool established by these programs are funded by the state government.
TESTED 11 Jul 2025
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