Insurance Basics Flashcard

Front

Emma is considering purchasing auto insurance. Which of the following is NOT true about auto insurance? It covers damages to your car. It is optional in all states. It can include liability coverage. It may cover medical expenses.

Back

It is optional in all states.

Front

Maya has an insurance policy and she makes a regular payment to the insurer. This regular payment is called a _____.

Back

Premium

Front

Mia is shopping for car insurance. The cost of the fee she pays the insurance company is based on her insurability, or perceived level of _____?

Back

Risk

Front

Which type of coverage would help Adriana when the driver of the other car had insurance, but it wasn't enough to cover all the medical expenses?

Back

It pays for injuries caused by an underinsured driver.

Front

Zyian is looking for a way to save money on his health-related expenses. He wants a plan that allows him to put pre-tax money into a savings account specifically for these expenses. Which type of plan should he consider?

Back

HSA

Front

Daeshaun is reviewing his property insurance policy. Which of the following perils are typically included in basic coverage? Fire, Flood, Earthquake, War

Back

Fire

Front

What type of property insurance does Eric probably have if it covers anything except power failure, flood, and nuclear hazard?

Back

Special

Front

What type of property insurance should Daeshaun get to ensure he can get money to replace or repair the ring if it ever gets lost, broken, or stolen?

Back

Personal Property

Front

Tyler is moving into his first apartment and purchased renter's insurance. Which of the following will be covered by his policy? The building structure, Personal belongings, Flood damage, Earthquake damage

Back

Personal belongings

Front

As a lawyer, Michele is more likely to be sued for mistakes or negligence of information than her friend that is a waiter. For this reason, Michele is considering purchasing _____ insurance.

Back

Professional Liability