Section C (4 Mark)Read the senario and answer to the question.

Vendor: AAFM
Product: CWM_LEVEL_2
Update on: Jul 30, 2025
Questions: 1259

AAFM CWM_LEVEL_2 Question Answer

Section C (4 Mark)

Read the senario and answer to the question.

Keshav purchased a Health Insurance. The policy has a calendar-year deductible of Rs. 500 and 80:20 as coinsurance. Keshav was hospitalized with a covered illness on January 23rd 2009. This hospitalization was his first claim under the said policy for the calendar year. His covered medical expenses were Rs. 20,500. How much of this amount will the insurer pay and how much will Keshav be required to pay to the Hospital?

The insurer will pay Rs. 16,500 and Keshav will pay Rs. 3,500

The insurer will pay Rs. 20,500 and Keshav will pay Rs. Nil

The insurer will pay Rs. 15,500 and Keshav will pay Rs. 4,500

The insurer will pay Rs. 20,000 and Keshav will pay Rs. 500