insurance
what is insurance?
protection from potential losses
what are the 4 types of insurance?
life, health, car, house
what is credit?
something you pay off monthly from your bank
what is common stock?
can raise and lower, have voting privelege
how can you invest?
by adding money into a saving account
what is a premium?
the set amount paid by the insurance to be able to have an insurance policy
what is car insurance?
when something happens to your car and the insurance will cover damages
what is credit used for?
used for buying things
what is preferred stock?
no voting rights, and a fixed dividend
what is diversity?
not investing everything into one area
what is an insurance policy?
the contract that states the terms and conditions of the insurance
what is health insurance?
when you need things for your health or if you get sick, the insurance will cover it
what is a secured credit card?
a prepaid credit card
what could the risks be?
aggressive, moderate, conservative
what do investors hope to accomplish?
to earn money as passive income with stocks
what is a policy holder?
the person buying the insurance
what is life insurance?
when anything happens that isn’t covered by car, health, or house insurance
what is an unsecured credit card?
doesn’t have to be backed by a deposit
what is an IRA
it is an individual retirement account
what are mutual funds?
funds collected from investors
what is a claim?
a request filed by the insurance in a event of a loss
what is house insurance?
when buying a house, getting one remodeled, or fixing something is covered by insurance
what are the two types of credit cards?
plastic and metal
what are bonds?
loaning money to company or government
what are you not supposed to do as an investor?
add all your money into only one stock