Insurance Basics
The amount you pay each month to have insurance coverage.
What is a premium?
Coverage that pays for damage you cause to another person’s car.
What is liability coverage?
The fee you pay at each doctor visit.
What is a copay?
Coverage that protects your personal belongings.
What is personal property coverage?
Insurance that covers vet visits and medical care for your pet.
What is pet insurance?
The amount you pay out of pocket before insurance helps.
What is a deductible?
Coverage that pays for your car repairs after a crash you cause.
What is collision coverage?
A doctor or hospital approved by your insurance.
What is in-network?
Protects you if someone gets injured in your apartment.
What is liability coverage?
Insurance that pays if you lose income and can’t work.
What is disability insurance?
The most the insurance company will pay.
What is a policy limit?
Coverage for theft, fire, hail, or vandalism.
What is comprehensive coverage?
Plan that requires a primary care doctor and referrals.
What is an HMO?
Pays for a hotel when you can’t live in your apartment after damage.
What is loss-of-use coverage?
Insurance that protects your house building, not belongings.
What is homeowners insurance?
The part of the policy that lists what isn’t covered.
What are exclusions?
Coverage that pays your medical bills after a crash.
What is personal injury protection (PIP)?
The most you’ll pay in a year before insurance covers 100%.
What is the out-of-pocket maximum?
Type of event usually NOT covered, like flooding.
What is a flood? (or What is flood damage?)
Insurance that pays your family after you die.
What is life insurance?
The chance of a loss that insurance protects you from.
What is risk?
Coverage that protects you if the other driver has no insurance.
What is uninsured motorist coverage?
Insurance program for low-income individuals.
What is Medicaid?
Shows the value of your stuff after depreciation.
What is actual cash value?
Insurance that covers celebrity body parts or unusual risks.
What is specialty insurance? (or What is unusual risk insurance?)