12_1 INSURANCE BASICS 101

Multiple Choice

All health insurance policies are required to cover basic health services like an annual physical exam before your deductible is met.

• True

• False

Multiple Choice

The amount you pay for insurance coverage.

• Premium

• Deductible

• Co-Pay

• Policy

Multiple Choice

The contract which details your insurance coverage.

• Premium

• Deductible

• Co-Pay

• Policy

Multiple Choice

The amount of money you must pay upfront/out of pocket before your insurance coverage begins to pay.

• Premium

• Deductible

• Co-Pay

• Policy

Multiple Choice

The amount of money you must pay upfront/out of pocket at a medical office before seeing the doctor/specialist.

• Premium

• Deductible

• Co-Pay

• Policy

Multiple Choice

Deductibles are calculated on a(n) ________ basis.

• daily

• monthly

• annual (yearly)

• throughout the life of the policy

Multiple Choice

government subsidized insurance for individuals below the poverty line

• medicare

• medicaid

• Obamacare

Multiple Choice

Of the four parts of auto insurance coverage, which part protects only the other person involved in an accident?

• Liability
• Comprehensive
• Collision
• Medical Payments/Bodily Injury

Multiple Choice

Of the four parts of auto insurance coverage, which part protects your from acts of God?

• Comprehensive
• Liability
• Collision
• Medical Payments/Bodily Injury

Multiple Choice

Of the four parts of auto insurance coverage, which part will pay for repairing your car?

• Liability
• Comprehensive
• Collision
• Medical Payments/Bodily Injury

Multiple Choice

The amount you pay for an insurance policy.

• Rider
• Premium
• Deductible
• Co-Pay

Multiple Choice

Which of the following is a way to reduce the cost of your insurance premium?

• Good grades

• Number of miles you drive

• Where you live

• All answers are correct

Multiple Choice

An auto insurance is a policy purchased by vehicle owners to mitigate costs associated with getting into an auto accident.

• True

• False

Multiple Choice

Which statement about auto insurance risk is true?

• Higher risk driver results in higher premium

• Lower risk driver results in lower premium

• Higher risk vehicle results in higher premium

• All of the Above are True

Multiple Choice

What does homeowners insurance cover?

• Fire

• Theft

• Tornado

• All of the above

Multiple Choice

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

• claim

• request

• complaint

Multiple Choice

Dwelling coverage does not generally cover which of the following:

• tornado

• fire

• flood

Multiple Choice

Who needs homeowners insurance?

• Everyone

• Someone who is looking to buy a home

• People who own homes and have a mortgage

• People who work from home

Multiple Choice

Which one would home insurance NOT cover?

• Earthquake damage
• Theft of personal belongings
• Rat infestation

• Burst Pipes

Multiple Choice

What is the key difference between homeowners insurance and renters insurance?

• Homeowners insurance covers personal property, while renters insurance does not.

• Renters insurance covers liability, while homeowners insurance does not.

• Homeowners insurance covers the dwelling, while renters insurance does not.

• Renters insurance covers the dwelling, while homeowners insurance does not.

Multiple Choice

What does renters insurance cover?

• Liability coverage

• Personal belongings

• Dwelling

• Loss of use coverage

Multiple Choice

How much is the average monthly cost of renters insurance?

• $15

• $150

• $1500

• $15000

Multiple Choice

What is Flood Insurance?

• Property protection from natural flooding damage.

• Free money from government if you complain enough.

• The government will buy you a completely new house if you are flooded out.

• Not enough information to know.

Multiple Choice

Over 70% of homeowners do not have flood insurance.

• True

• False

Multiple Choice

The cost of flood insurance will depend on what area you live in.

• False

• True

Multiple Select

What does flood insurance cover?

• cars

• land

• house

• belongings

Multiple Choice

What does FEMA stand for?

• Federal Emergency Management Agency

• Federal Extra Management Agency

• Federal Emergency Manufacturing Agency

Multiple Choice

Is flood insurance required?

• No, it is not required

• Yes, it is required