Insurance Basics & Auto Insurance

Front

What type of insurance provides payment to OTHERS if the insured person accidentally causes harm to other people or their property?

Back

Liability insurance covers damages to others caused by the insured.

Front

What is a contract between the insurance company and the insured that states the exact terms including what risks are covered?

Back

A policy is a formal agreement that outlines the coverage and terms of insurance.

Tags

CCSS.RI.11-12.3

CCSS.RI.11-12.5

CCSS.RI.8.5

CCSS.RI.9-10.3

CCSS.RI.9-10.5

Front

What type of insurance provides financial support to a family after the death of the insured?

Back

Life insurance provides financial benefits to beneficiaries upon the death of the insured.

Front

Which of the following can help lower your insurance premium?

Back

Having a good driving record can lead to lower insurance premiums.

Front

What is the term for the chance of loss in insurance?

Back

Risk refers to the possibility of loss or damage.

Front

What is the amount paid by the insured for insurance coverage called?

Back

Premium is the amount paid periodically to the insurance company for coverage.

Front

What is the amount the insured must pay out of pocket before insurance coverage kicks in?

Back

Deductible is the amount the insured must pay before the insurance company pays a claim.

Front

What type of insurance covers medical expenses for injuries sustained in an accident?

Back

Health insurance covers medical expenses for injuries and illnesses.

Front

What is the purpose of auto insurance?

Back

Auto insurance provides financial protection against physical damage and bodily injury resulting from traffic collisions.

Front

What is the difference between comprehensive and collision coverage in auto insurance?

Back

Comprehensive coverage protects against non-collision-related incidents, while collision coverage protects against damage from accidents.