Which of the following statements about flexible spending accounts is NOT correct?

A) They may reimburse participants for all medical expenses.

B) They allow participants to pay for health care expenses with pretax dollars.

C) They provide reimbursement for medical expenses incurred.

D) They may be provided as a stand-alone plan or as part of a traditional cafeteria plan.

Answer: They may reimburse participants for all medical expenses.

Insurance

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An insured's building has an actual cash value of $200,000, and he has insured the property for $120,000 with an 80% coinsurance clause. A $40,000 loss occurs. How much will the policy pay?

An insured's building has an actual cash value of $200,000, and he has insured the property for $120,000 with an 80% coinsurance clause. A $40,000 loss occurs. How much will the policy pay? a) $0 b) $30,000 c) $32,000 d) $40,000 Answer: B

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The voluntary relinquishment of a legal right is called
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