FPL VOCAB 11: Insurance

What is the purpose of an annuity in insurance?

• To cover medical and funeral expenses

• To provide regular payments, like a pension

• To settle a deceased person's estate

• To cover auto accident damages

Which insurance covers car damages from non-collision events?

• Liability insurance

• Comprehensive coverage

• Collision coverage

• Term Life

What does 'No-fault insurance' mean?

• No need to prove fault to settle claims

• Covers injuries regardless of fault

• Insurance only if policyholder is at fault

• Covers medical expenses only

What is the main purpose of a 'Will'?

• To cover pre-existing medical conditions

• To provide a power of attorney

• To manage property rights after death

• To cover bodily injuries

What does a 'Term Life' insurance policy entail?

• A policy that covers medical expenses

• A policy for lifetime coverage

• A policy purchased to last only a specified length of time

• A policy that covers auto damages

Who receives the money when the insured person dies?

• Beneficiary

• Rate

• Term Insurance

• Face Value

Insurance that protects your family against financial loss due to your death is

• coinsurance
• disability insurance
• life insurance
• comprehensive insurance

The type of insurance that provides protection against financial loss from medical bills is called

• health insurance
• coinsurance
• life insurance
• premium

The amount paid every month for insurance is the...

• coverage limit

• premium

• deductible

• copay

What is the cost of Gwen's auto insurance policy called?

• Co-insurance clause

• Premium

• Deductible

• Exclusion