Types of Insurance
Covers doctor visits and hospital bills
Health Insurance
House
Yes, insure it
Claim
Asking the insurance company for help
Insurance is most useful for small losses or big losses?
Big losses
Covers damage from car accidents
Car Insurance
$5 candy bar
No, don't insure it
Insurer
The insurance company that provides the coverage
Should you insure something you can easily replace?
No
Covers your house from fire or damage
Home Insurance
$30 water bottle
No, don't insure it
Coverage
What is protected by the insurance
Why do people buy insurance?
Avoid big financial losses
Pays your family after you pass away
Life Insurance
A $3,000 laptop, but you rarely take it anywhere and are very careful.
No, very low risk it will break.
Limit
Maximum dollar amount the insurer will pay for a loss
What happens if you take a risk and something goes wrong?
You lose a lot of money
Protects your belongings in an apartment
Renters Insurance
A $10,000 car, but insurance costs $9,000 per year
No, insurance is too expensive
Deductible
Money you pay first in the emergency before insurance helps
Risk means you will definitely lose money
False, there's a chance but not guaranteed