Understanding Automobile Insurance Concepts

Provides payments for both liability and property insurance on a vehicle

• Claim

• Automobile insurance

• Beneficiary

• Health insurance

Requires the insured individual to pay a fixed percentage of the loss after the deductible has been paid

• Household protection

• Disability insurance

• Homeowners insurance

• Co-insurance

The risks covered and amount of money paid for losses under an insurance policy

• Liability insurance

• Policy

• Health insurance

• Coverage

The out of pocket money paid by the policyholder before an insurance company will cover the remaining costs attributed to the loss

• Life insurance

• Health insurance

• Deductible

• Policy

Someone who relies on someone else for income and care

• Dependent

• Inkind income

• Moral hazard

• Policyholder

Provides payment to replace earnings during times when workers cannot work due to illness or injury

• Disability insurance

• Health insurance

• Homeowners insurance

• Liability insurance

Cash set aside that can be used to cover the costs of unexpected expenses

• Household production

• Liability insurance

• Life insurance

• Emergency savings

Employers may offer employee benefits in the form of products or services that add extra value for employees beyond earned wages

• Homeowners insurance

• Health insurance

• Insurance

• Employee benefits

Provides money to pay for health care for illness, injury, or, in some cases, preventive care

• Liability insurance

• Emergency savings

• Health insurance

• Policy

Provides payment to cover liability losses as well as damage and loss of the home structure and its contents

• Health insurance

• Homeowners insurance

• Liability insurance

• Moral hazard