Final answer:
Group plans include a probationary period to mitigate the risk of immediate claims by allowing for a trial phase where employees may be dismissed without cause and possibly earn lower wages. The correct option is A.
Step-by-step explanation:
To help protect against experiencing immediate claims, group plans have a probationary period set up by the group sponsor. This period acts as a precaution on the buyer's side of the labor market against hiring a 'lemon' of an employee, meaning an employee who does not meet the company's expectations or standards.
A probationary period is officially a trial phase during the first few months of employment where the employer has the flexibility to dismiss the worker for any reason or no reason at all. During this time frame, workers might also receive lower pay until the completion of the probation.
Hence, Option A is correct.