Insurance and Financial Planning Quiz

Which type of insurance is least likely the main priority of a single, working, 24 year old?

• Health Insurance

• Life Insurance

• Disability Insurance

• Auto Insurance

What role does insurance play in financial planning?

• Guarantees that income and assets are protected

• Helps cover day to day expenses

• Helps build and maintain credit

• It grows in value and appreciate over time

The out of pocket cost to the insured when a loss occurs is called?

• Premium

• Deductible

Which insurance is required by law?

• Home insurance

• Auto insurance

• Gambling insurance

• Life insurance

The possibility of financial loss is?

• Stock

• Interest

• Bond

• Risk

A business that provides money related services is known as?

• Invest

• Opportunity cost

• Mutual Fund

• Financial Institution

A fee received or paid for the use of money is known as?

• Stock

• Risk

• Interest

• Savings Account

Refers to how quickly, conveniently, and cost-effectively you can retrieve money from an investment.

• Savings account

• Liquidity

• Investment

• Stock

The amount of money originally invested is known as?

• Principal

• Bond

• Liquidity

• Stock

What is a budget?

• The amount of money you can spend

• Method adults use to earn money

• A place to store your money

• A plan to help manage your income