CARD Q073
An employer holds the group master policy. What document generally describes an insured employee’s coverage?
- The group’s enrollment application
- Certificate of coverage
- The insurer’s certificate of authority
- A sales illustration of projected benefits
Certificate of coverage
The employer or other group policyholder holds the master contract; covered members receive certificates describing their benefits.
Why each choice is right or wrong
A. The group’s enrollment application
Incorrect. An application requests coverage rather than describing issued member benefits.
B. Certificate of coverage
Correct. The employer or other group policyholder holds the master contract; covered members receive certificates describing their benefits.
C. The insurer’s certificate of authority
Incorrect. A certificate of authority concerns insurer authorization, not an employee’s benefits.
D. A sales illustration of projected benefits
Incorrect. A sales illustration is not the member’s certificate of group coverage.
Review the related terms
Use these lessons to revisit the concepts and try additional practice questions.