Health Insurance Mastery Practice Exam

The elimination period varies by what?

1. Type of disability

2. Insurance provider policies

3. Geographical location

4. Individual policy terms

The correct answer is: Individual policy terms

The elimination period in a disability insurance policy is the time that must pass after a disabling event before benefits become payable. This period is often determined by the specific terms of the individual policy. Each policy can have different elimination periods based on the choices made by the policyholder at the time of purchase, which might include options to select varying lengths for the elimination period. Factors such as the type of disability, overall coverage, and premium costs can influence the choice of the elimination period, but ultimately, it is tied directly to the specific terms outlined in the policy itself. Thus, because the parameters of the elimination period are set during the underwriting process and are unique to each insured individual depending on the contract they have chosen, the correct answer is rooted in the individual policy terms.