Compulsory auto insurance laws require proof of insurance when acquiring license plates
What are Financial Responsibility Laws (for liability insurance)
100
protects real and personal property from losses from various perils
What is Property insurance
100
Replacement cost less depreciation
What is Actual cash value
100
Provide broader network of “approved” physicians and allow use of out-of-network providers at higher copay
What is Preferred Provider Organizations (PPOs)
200
Comprehensive coverage
What is protects against loss to perils (hail, fire, theft, falling objects)
200
Pays when other driver has no insurance or if hit-and-run
What is Part C: Uninsured Motorists
200
Most property and liability insurance contracts are based on this principle
What is Principle of Indemnity
200
Provision requiring policyholder to buy insurance in an amount equal to a certain percentage of replacement value of property
What is Coinsurance
200
Protect against economic loss in the event of serious accidents or illnesses
What is health insurance
300
Pays the actual cash value of the damage minus deductibles
What is collision coverage
300
Part B
What is medical payments
300
Insured may not be compensated by insurance company an amount exceeding economic loss
What is Principle of Indemnity
300
A cause of loss such as fire, lightning, windstorm, hail
What is a peril
300
Administered by Social Security
Available to qualified people 65 and older and to those receiving SS disability benefits
Funded by payroll taxes paid by employers, employees and the self-employed
What is Medicare program
400
Reimburses parties involved in an accident without regard to negligence
What is No-Fault Automobile Insurance
400
PAP
What is a personal automobile policy
400
Insurer’s right to request reimbursement from person who caused the loss or that person’s insurer
What is the Right of Subrogation
400
Type of structure (Wood, brick),
Location of home (Crime rates, weather, proximity to fire hydrant), Other factors (Pool, trampoline, large dog)
What are Factors Affecting Home Insurance Costs
400
Premiums paid by employers for workers injured on the job, is state administered and the coverage varies
What is Workers’ Compensation Insurance
500
where car is driven
Use of automobile
Driver’s personal characteristics
Type of automobile
Driving record
What are Factors Affecting Premiums
500
How many main parts to a PAP
What is 4 (A,B,C,D)
500
When multiple companies insure a property, together they will not pay more than the economic loss
What is the Other insurance clause
500
amount paid out of pocket on covered losses
What is a Deductible
500
Accident policies, Sickness and dread disease policies, Hospital income policies