Question 10003 of 303 · California Life-Only Agent Exam

In a noncontributory group plan, the employer pays the entire premium, so

Exactly one answer is correct.

Aonly managers and executives are covered
Ball eligible employees must be covered
Cemployees can opt out freely at any time
Dcoverage lasts only 90 days at a time

Show solution

Correct answer to question 10003

B: all eligible employees must be covered

Explanation

Noncontributory plans typically cover all eligible employees to avoid adverse selection.