Compliance Risk Assessments Flashcards
7 cards from real CHC practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Compliance Risk Assessments flashcards as text
Which tool is most commonly used to prioritize risks identified during a healthcare compliance risk assessment?
Answer: Risk heat map
A risk heat map plots likelihood against impact to visually prioritize which risks require the most urgent attention.
In a compliance risk assessment, 'inherent risk' refers to:
Answer: Risk that exists before any controls are in place
Inherent risk is the level of risk present in a process or activity before any mitigating controls are implemented.
A hospital compliance officer discovers that the risk assessment has not been updated in three years. What is the MOST significant concern?
Answer: The assessment may not reflect current regulatory requirements and operational changes
Risk assessments must be updated regularly to remain relevant as regulations, operations, and risk landscapes change.
Which federal law most directly drives the requirement for healthcare organizations to conduct compliance risk assessments?
Answer: False Claims Act
The False Claims Act creates substantial liability for fraud and abuse, and the OIG's compliance guidance cites risk assessment as a key mechanism to detect and prevent such violations.
When scoping a compliance risk assessment, which approach ensures the HIGHEST coverage of organizational risks?
Answer: Use a universe-based approach covering all business processes
A universe-based approach inventories all business processes and systematically evaluates each for compliance risk, ensuring no area is overlooked.
Which of the following BEST describes 'residual risk' in the context of a compliance risk assessment?
Answer: Risk that remains after mitigation controls have been applied
Residual risk is what remains after an organization applies controls, and it determines whether additional action is needed.
A compliance team at a medical group wants to quantify the financial impact of identified risks. Which method is MOST appropriate?
Answer: Monte Carlo simulation
Monte Carlo simulation uses probability distributions to model potential financial outcomes across thousands of scenarios, providing quantitative risk estimates.