Vocabulary
What is the contract with plan details?
Policy
Required by law
Liability
Being young
increases premium
What auto insurance is needed to replace a stolen car?
Comprehensive
Name the 3 categories homeowner's insurance covers
structure, personal items (assets), liability
Who is the person that receives money if you die?
Beneficiary
Covers weather related incidents
Comprehensive
Being male
increases premium
What is a premium?
Amount you pay for the policy - monthly/yearly
fire, hurricanes, storms/lightning, vandalism, thieves
What is the length of time a policy covers?
Term
Covers medical costs of the other driver after an accident
Liability
Clear driving history
Decreases premium
Which type of insurance would cover car repairs if you are in an accident with a driver that doesn't have insurance?
Uninsured Motorist Coverage
Explain what liability homeowner's insurance does
Liability protects the homeowner against people that are injured on or cause damage to homeowner's property.
What is the probability a situation that requires insurance occurs?
Risk
Covers cost to fix your car after an accident
Collision
High deductible
decreases premium
What will occur if an insurance company determines you are high risk?
Expensive premium OR no policy
Name at least 3 things that are NOT covered by homeowner's insurance.
outbuildings/sheds, floods, earthquakes, negligence
Required by lenders
Liability, Collision, and Comprehension
Location
Name an auto insurance company.
Allstate, State Farm, Progressive, Liberty, Geico, Erie
Name 3 things that affect the premium of homeowner's insurance.
neighborhood, size, proximity to EMS, coverage, deductible amount