Insurance Concepts

A good way to make money is to file an insurance claim.

• True

• False

Why would you agree to pay money for insurance that you might never use?

• To reduce the risk of losing money if something bad happens

• You wouldn't, insurance is not necessary

• To make money on your investment

If you don't like your car, you can cause an accident that destroys your car and get the insurance company to buy you a new one.

• False

  This is insurance fraud.

• True, that is what insurance is for

If I am buying insurance, and they ask me questions about my life and I lie, what can go wrong?

• Nothing, how will they ever know.

• They could take my money for the insurance but refuse to pay out a claim if they find out I lied.

If you paid for insurance and never ended up using it, you wasted your money.

• No, you paid for the peace of mind of knowing that if something big happened, you would be covered.

• Yes, you could have spent that money on something fun.

It is possible to spend lots of money on insurance and never make a claim.

• True

• False

What is the solution to a problem that is rare, but very costly when it does happen?

• Insurance

• Just pay for it yourself

• Spend some money trying to find a way to reduce how often this happens

• I need to make a big change in something

What is the solution to a problem that is rare, and does not cost very much when it does happen?

• Insurance

• Just pay for it yourself

• Spend some money trying to find a way to reduce how often this happens

• I need to make a big change in something

What is the solution to a problem that happens a lot, and does not cost very much when it happens?

• Insurance

• Just pay for it yourself

• Spend some money trying to find a way to reduce how often this happens

• I need to make a big change in something

If you are driving home and get in an accident that destroys your car, you can get money from the insurance company to buy a new one.

• False

  This is insurance fraud.

• True, that is what insurance is for