Life License Qualification Program (LLQP) Practice Exam

What document is issued to employees covered by an employer health plan?

1. Provision

2. Receipt

3. Policy

4. Certificate

The correct answer is: Certificate

The document issued to employees covered by an employer health plan is known as a certificate. This certificate serves as proof of coverage for individuals enrolled in the employer's health insurance plan. It outlines the benefits available, conditions of the coverage, and any exclusions or limitations that may apply. In the context of group insurance, the certificate is an essential document because it provides employees with specific details about their rights and responsibilities under the health plan. It also informs them about the claims process and how to access benefits, ensuring that they are aware of what the insurance covers and how to utilize their coverage effectively. Other options such as provision, receipt, and policy do not serve the same purpose in this context. While a policy is a broader document detailing the terms and conditions of the insurance coverage as a whole, the certificate specifically addresses the individual’s coverage within that framework. A receipt indicates payment made but does not provide detailed coverage information, and a provision may refer to specific clauses within a policy rather than a standalone document given to employees.