Understanding Insurance Coverage Concepts

Insurance usually covers the loss or damage of what?

• Personal assets/belongings

• New car purchase

• Vacation expenses

• Gym memberships

What kind of injury is typically covered by insurance?

• Injury that occurs while on the property

• Sports injuries

• Injuries from extreme sports

• Injuries from personal hobbies

Which scenario is typically covered by insurance?

• Injury caused by a pet

• Injury during a vacation

• Injury from a personal hobby

• Injury from a sports event

What will your insurer do if one of the covered events occurs?

• Increase your premium

• Cancel your policy

• Compensate you for repairs or rebuilding

• Offer a loan

What is required if you want protection from floods or earthquakes?

• General insurance policy

• Separate coverage plans

• No additional coverage

• Basic home insurance

What percentage of the insurance amount on the structure of your home do most insurance companies provide for interior coverage?

• 30% to 50%

• 50% to 70%

• 70% to 90%

• 90% to 100%

What is the main concern if you have a lot of valuable items ?

• Buying new possessions

• Selling old possessions

• Insuring expensive possessions

• Storing possessions safely

What does the deductible represent in an insurance policy?

• The amount the insurance company pays.

• The amount you pay before insurance covers the rest.

• The total coverage amount.

• The monthly premium.

What is a deductible in the context of insurance?

• The monthly payment for insurance

• The out-of-pocket expense when a disaster occurs

• The total coverage amount

• The discount received

What should you do to understand how easy a company is to work with?

• Ignore their background.

• Look into their backgrounds.

• Only consider their advertisements.

• Choose the cheapest option.