Insurance Quiz

What happens when you injure someone or damage their property?

• The insurance company pays on your behalf

• You are exempt from any payments

• The government pays for the damages

• You must pay out of pocket

What does insurance help protect against?

• Financial loss

• Academic failure

• Political instability

• Social isolation

What is the primary benefit of having insurance?

• Financial protection and reimbursement

• Guaranteed employment

• Free healthcare

• Unlimited travel

What is a premium in the context of insurance?

• The maximum amount an insurer will pay

• A request made to an insurer for compensation

• The price of a policy, typically expressed as a monthly cost

• The amount paid out-of-pocket before insurance pays

What is a claim in insurance terms?

• The price of a policy

• The maximum amount an insurer will pay

• A request made to an insurer for compensation

• The amount paid out-of-pocket before insurance pays

How often is a premium typically expressed?

• Annually

• Monthly

• Weekly

• Daily

Which of the following is NOT a term related to insurance?

• Premium

• Policy Limit

• Claim

• Interest Rate

Which term describes the specific amount paid out-of-pocket before insurance pays a claim?

• Premium

• Policy Limit

• Claim

• Deductible

What is the purpose of submitting a claim to an insurance company?

• To increase the policy limit

• To request compensation for a covered loss

• To pay the premium

• To reset the deductible

Which of the following is a request made to an insurer by a policyholder?

• Premium

• Policy Limit

• Claim

• Deductible