U.S. Independence Day Deal! Unlock 25% OFF Today – Limited-Time Offer - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions

AHIP AHM-540 Exam - Topic 3 Question 95 Discussion

Federal laws, such as the Employee Retirement Income Security Act (ERISA), the Balanced Budget Act (BBA) of 1997, and the Health Insurance Portability and Accountability Act (HIPAA), have affected medical management activities by health plans. Consider the following provisions of federal regulations:Provision 1---Limits damage awards in lawsuits related to noncoverage of benefits based on medical necessity decisions to the cost of noncovered treatment and does not allow health plan members to obtain compensatory or punitive damagesProvision 2---Establishes electronic data security standards, which define the security measures that healthcare organizations must take to protect the confidentiality of electronically stored and transmitted patient information From the answer choices below, select the response that correctly identifies the federal laws that include Provision 1 and Provision 2, respectively.
A) Provision 1- ERISA Provision 2- HIPAA
B) Provision 1- HIPAA Provision 2- ERISA
C) Provision 1- BBA of 1997 Provision 2- HIPAA
D) Provision 1- ERISA Provision 2- BBA of 1997

AHIP AHM-540 Exam - Topic 3 Question 95 Discussion

Actual exam question for AHIP's AHM-540 exam
Question #: 95
Topic #: 3
[All AHM-540 Questions]

Federal laws, such as the Employee Retirement Income Security Act (ERISA), the Balanced Budget Act (BBA) of 1997, and the Health Insurance Portability and Accountability Act (HIPAA), have affected medical management activities by health plans. Consider the following provisions of federal regulations:

Provision 1---Limits damage awards in lawsuits related to noncoverage of benefits based on medical necessity decisions to the cost of noncovered treatment and does not allow health plan members to obtain compensatory or punitive damages

Provision 2---Establishes electronic data security standards, which define the security measures that healthcare organizations must take to protect the confidentiality of electronically stored and transmitted patient information From the answer choices below, select the response that correctly identifies the federal laws that include Provision 1 and Provision 2, respectively.

Show Suggested Answer Hide Answer
Suggested Answer: A

Contribute your Thoughts:

0/2000 characters
Irene
7 months ago
I’m not sure about that, I thought the BBA had more to do with budget issues.
upvoted 0 times
...
Silva
7 months ago
Totally agree, ERISA for Provision 1 makes sense.
upvoted 0 times
...
Melodie
7 months ago
Wait, HIPAA covers data security? I thought it was just about privacy!
upvoted 0 times
...
Ilene
7 months ago
I think it's actually the BBA for Provision 1, not ERISA.
upvoted 0 times
...
Katheryn
8 months ago
Provision 1 is definitely ERISA, that's a fact.
upvoted 0 times
...
Ricki
8 months ago
I thought the Balanced Budget Act was more about funding and less about these specific provisions, so I'm not sure it fits here.
upvoted 0 times
...
Markus
8 months ago
I practiced a similar question about these laws, but I can't recall which one limits damage awards. I might guess ERISA for Provision 1, though.
upvoted 0 times
...
Tarra
8 months ago
I'm not entirely sure, but I feel like HIPAA is definitely about data security, which makes me lean towards it being Provision 2.
upvoted 0 times
...
Josue
8 months ago
I remember ERISA deals with benefits and coverage, so I think Provision 1 might be related to it.
upvoted 0 times
...
Chan
8 months ago
Ugh, I'm a little confused on the details of these different federal laws and which ones include the specific provisions mentioned. I'll have to re-read the question carefully and try to reason through the best answer.
upvoted 0 times
...
Desiree
8 months ago
Okay, I see the two provisions listed, and I know those laws cover different aspects of healthcare regulations. I just need to match them up correctly with the right laws. I think I can figure this out.
upvoted 0 times
...
Paris
8 months ago
I think I've got a good handle on this question. The key is to identify which federal laws include the specific provisions described. I'll carefully read through the options and match them up.
upvoted 0 times
...
Gilma
9 months ago
Hmm, this is a tricky one. I need to make sure I really understand the differences between ERISA, HIPAA, and the BBA of 1997. I'll have to think it through step-by-step.
upvoted 0 times
...
Howard
9 months ago
This seems straightforward to me. Based on the information provided, the client is likely performing AD machine authentication, which would result in the MAC address being used as the User-Name. I'll mark that as my answer and move on to the next question.
upvoted 0 times
...
Gene
1 year ago
I'm feeling lucky with C. The Balanced Budget Act? More like the Balanced Breakfast Act, am I right? *crickets* Okay, tough crowd.
upvoted 0 times
...
Ivette
1 year ago
A, no doubt. ERISA is the MVP when it comes to limiting lawsuit damages, and HIPAA is the king of data security. This question is a slam dunk!
upvoted 0 times
Thora
1 year ago
Couldn't agree more, ERISA and HIPAA are the perfect match for these provisions.
upvoted 0 times
...
Kizzy
1 year ago
A) Provision 1- ERISA Provision 2- HIPAA
upvoted 0 times
...
Iraida
1 year ago
Absolutely, ERISA and HIPAA are the power duo in this scenario.
upvoted 0 times
...
Keva
1 year ago
A) Provision 1- ERISA Provision 2- HIPAA
upvoted 0 times
...
...
Devorah
1 year ago
Hmm, this is a tough one. I was tempted to go with B, but then I remembered that HIPAA is all about protecting patient information, not limiting damages. Gotta go with A on this one.
upvoted 0 times
Barb
12 months ago
So, A it is then.
upvoted 0 times
...
Valentin
12 months ago
I agree, HIPAA is more about patient information protection.
upvoted 0 times
...
Catarina
1 year ago
I think A is the correct answer.
upvoted 0 times
...
...
Toshia
1 year ago
I'm leaning towards C. The Balanced Budget Act of 1997 seems to fit Provision 1, and HIPAA definitely covers Provision 2. But I'm not 100% sure.
upvoted 0 times
Cherry
1 year ago
Let's go with C then. It seems to be the best match for both provisions.
upvoted 0 times
...
Loren
1 year ago
I agree, C seems to be the most logical choice based on the provisions mentioned.
upvoted 0 times
...
Ashley
1 year ago
I think C is the correct answer. BBA of 1997 for Provision 1 and HIPAA for Provision 2.
upvoted 0 times
...
...
Fabiola
1 year ago
I think the answer is A. ERISA limits damages and HIPAA establishes electronic data security standards. Easy peasy!
upvoted 0 times
Tegan
1 year ago
It's always good to double-check, but I think we got this one right. A it is!
upvoted 0 times
...
Hortencia
1 year ago
I wasn't sure at first, but now that you explained it, it makes sense. Thanks for clarifying!
upvoted 0 times
...
German
1 year ago
I agree with you, A is the correct answer. ERISA and HIPAA are the laws that include those provisions.
upvoted 0 times
...
...
Casandra
1 year ago
I'm not sure, but I think C) Provision 1- BBA of 1997 Provision 2- HIPAA doesn't sound right.
upvoted 0 times
...
Pete
1 year ago
I agree with Gussie, ERISA covers Provision 1 and HIPAA covers Provision 2.
upvoted 0 times
...
Gussie
1 year ago
I think the correct answer is A) Provision 1- ERISA Provision 2- HIPAA.
upvoted 0 times
...

Save Cancel