insurance test

Front

What is the primary purpose of insurance?

Back

To shift the risk of financial losses from one person to an insurance company

Front

What is a "risk pool"?

Back

A collection of funds from people used by insurance companies to pay claims

Front

Which type of insurance is required by law for drivers?

Back

Automobile insurance

Front

What does healthcare insurance typically cover?

Back

Medical expenses for checkups, illnesses, and injuries

Front

What does renter's insurance cover?

Back

Contents of rented property damaged by flood, fire, or theft

Front

Which insurance type pays out a specified amount of money to beneficiaries if the policyholder dies?

Back

Life insurance

Front

Homeowner's insurance typically covers which of the following?

Back

Repair of home due to storms, plumbing failures, etc.

Front

Flood insurance is specifically meant to cover: Routine home maintenance , Car damage due to rainstorms , Repair and replacement of home and contents due to flood , Minor roof leaks

Back

Repair and replacement of home and contents due to flood

Front

Disability insurance provides financial support when:

Back

You are unable to work and earn income due to a disability

Front

What is the purpose of auto insurance?

Back

To protect against financial loss from accidents