Certified Financial Consultant (CFC) Practice Exam

Which of the following is classified as a mandatory coverage under most health insurance policies?

1. Cosmetic procedures

2. Preventive services

3. Dental coverage

4. Elective surgeries

The correct answer is: Preventive services

Preventive services are classified as a mandatory coverage under most health insurance policies due to the Affordable Care Act (ACA). This legislation mandates that a variety of preventive services be covered without cost-sharing for policyholders. This includes services such as vaccinations, screenings, and annual wellness visits, aimed at helping individuals avoid serious health issues. By ensuring these services are accessible and free at the point of care, the ACA encourages preventative care as a means to improve public health outcomes and reduce long-term healthcare costs. The other options, such as cosmetic procedures, dental coverage, and elective surgeries, are generally not classified as mandatory coverages in most health insurance plans. Cosmetic procedures often fall outside the remit of standard health insurance because they are deemed non-essential or elective. Dental coverage can vary significantly between plans, and while it is important, it is not regarded as an essential benefit under standard health insurance. Elective surgeries, similarly, are typically subject to coverage based on necessity and are not guaranteed coverage in standard health insurance policies.