Insurance Basics
This is the amount of money you pay every month to keep any insurance policy active what is it called?
Premium
What type of insurance pays for damage youcause to someone else’s Car?
Liability insurance
This type of insurance helps pay for doctor visits, hospital care, and medicine what is it called?
Health insurance
What type of insurance helps protect your personal belongings when you rent a home or apartment?
Renters insurance
This payment is required every month for any type of insurance, whether it’s auto, health, renters, or life what is it called?
Premium
This is the money you pay before insurance starts covering a claim what is it called?
Deductible
What coverage pays for repairs to your own car after an accident you caused?
Collision coverage
The small fee you pay every time you visit a doctor or pick up the medicine what is it called ?
Copay
This part of renter’s insurance pays to temporarily house you in a hotel or rental if your apartment becomes unlivable after a covered disaster what type of coverage is this?
Loss of use coverage (additional living expenses)
This auto insurance coverage pays for your own car repairs after a crash you cause what type of coverage is this?
Collision coverage
This term refers to the part of a loss that insurance will not pay, so you must cover it yourself what is this?
Out of pocket cost
What coverage protects your car from theft, fire, or weather damage?
Comprehensive coverage
This is the total amount you must pay in a year before health insurance starts helping what is it called?
Deductible
This required payment comes out of your pocket before your renters insurance company pays for damages what is this called?
A deductible
This renters insurance coverage pays if your belongings get stolen, even outside your home what coverage is this ?
Personal property coverage
This is the contract that explains what your insurance covers and doesn’t cover what’s it called?
The policy
What is the amount you pay out of pocket before insurance starts paying?
The deductible
After hitting your deductible, you may pay a percentage of the medical bill (like 20%) what is that percentage called?
Coinsurance
This specific event, often caused by natural disasters, is not covered by renters insurance unless you buy a separate policy what event is this?
Flooding (flood damage)
You have health insurance with:
*1000 deductible
*20% coinsurance
* a doctor visits costs 600$
If you haven’t paid anything yet this year, how much do YOU pay?
You haven’t met your deductible so you would pay in full 600?
Answer: 600$
This person decides who gets the money from your life insurance when you die what is this personal called?
Beneficiary
What coverage pays if the driver who hits you has no insurance or not enough?
Uninsured/ underinsured motorist coverage.
This is the maximum you will pay in a year for your covered medical expense; after you reach it, insurance pays 100% what is it called?
Out of pocket maximum
This type of coverage pays to replace your stuff at today’s prices instead of old, used prices what is it called?
Replacement cost coverage
Your car repair after an accident costs $2500
Your auto insurance deductible is $500
How much does insurance pay, and how much do you pay?
You pay your deductible: $500
Insurance pays the rest: $2500- $500 =$2,000.00
You pay $500
Insurance pays $2000