Ch. 9 Insurance Review

What is the primary purpose of insurance?

• To increase your wealth

• To transfer the risk of a financial event

• To avoid paying federal taxes

• To invest in the stock market

Which of the following is a type of life insurance?

• Health insurance

• Term insurance

• Auto insurance

• Home insurance

What is a premium in the context of insurance?

• The amount insurance company pays you for a loss

• The amount you pay to the insurance company to have coverage

• The total coverage amount

• The deductible amount

Liability Insurance

• Covers the other people and their property

• Covers you in an accident

• Is a supplemental insurance

• Is not important

This company pays more on health insurance than it does on coffee...

• Coffee Bean & Tea Leaf

• Folgers

• Starbucks

• Peet's Coffee

What is a deductible in an insurance policy?

• The type of insurance you have

• The amount the insured pays before the insurer pays a claim

• The total amount of coverage

• The monthly premium amount

What are some benefits of having uninsured motorist protection?
(Choose more than one answer)

• Covers your medical bills

• Covers damage to your car

• Covers the driver that does not have insurance

• Covers the injuries of the passengers in your vehicle

What is the main benefit of having disability insurance?

• It covers funeral expenses

• It provides income if you are unable to work due to injury

• It pays for you medical bills if you get injured

• It covers damage to your car if you are hit by another driver

You need Term Life Insurance when...
(Choose 2 answers)

• When you retire

• As a high school student

• When you get married

• You have your first kid

​ (a)   is uninsurable... no insurance company will insure him in his movies.

• Jackie Chan
• Tom Cruise
• Chuck Norris
• Harrison Ford