Insurance Terms Flashcard

Front

The amount of money you have to pay before your insurance company pays a claim.

Back

deductible

Front

The amount of money a person or business pays for an insurance policy.

Back

premium

Front

The higher your deductible, the higher your premium.

Back

False

Front

The maximum amount of money the insurance will pay for a coverage.

Back

coverage limit

Front

A fixed, predetermined amount you pay for a covered health care service at the time of care. Example: $20 for an office visit.

Back

co-payment

Front

The percentage of costs of a covered health care service you pay (20%, for example) after you've paid your deductible.

Back

Coinsurance

Front

Insurance you must have to cover damage to your vehicle caused by things beyond your control:

Back

Comprehensive

Front

Insurance you must have to cover bodily injury and damage to other vehicles in an accident that you were at fault for:

Back

Liability

Front

What is the likely reason someone may decide NOT to buy collision insurance?

Back

They drive an old, ramshackle used car that's only worth $1,500.

Front

All of the following is true about homeowners and renters insurance EXCEPT: all mortgage companies require borrowers to have Insurance coverage, both include your own content, both include liability coverage

Back

both include housing (dwelling)