Types of Insurance

Front

The chance of loss from an event that cannot be entirely controlled is called:

Back

risk

Front

At least six months of expenses set aside to cover costs of unexpected expenses is called

Back

emergency savings

Front

A financial product purchased by many people facing a similar risk to protect against the risk of larger losses is called:

Back

insurance

Front

A contract between the insurance company and the insured that states the exact terms of the policy is called:

Back

policy

Front

The risks covered and amount of money paid for losses under an insurance policy is called:

Back

coverage

Front

The person who owns the insurance policy is the:

Back

policy holder

Front

The money paid to purchase an insurance policy is called:

Back

premium

Front

A formal request to an insurance company asking for a payment when the policyholder has an accident, illness or injury is called:

Back

claim

Front

The out-of-pocket money paid by the policyholder before an insurance company will cover the remaining costs attributed to the loss is called:

Back

deductible

Front

This requires the insured individual to pay a fixed percentage of the loss after the deductible has been paid:

Back

co-insurance