Types of Insurance and Risk Management

What is the primary purpose of insurance?

• To increase financial liabilities

• To provide financial protection against unexpected events

• To guarantee profit for insurance companies

• To eliminate all risks in life

What is an insurance premium?

• A type of insurance policy

• The payment made by the insured for an insurance policy

• The compensation received from an insurance claim

• The total coverage amount of an insurance policy

Which type of insurance covers medical and surgical expenses?

• Automobile Insurance

• Property Insurance

• Health Insurance

• Liability Insurance

Who needs life insurance the most?

• Teenagers with no income

• People with no dependents

• People with dependents who rely on their income

• People who rent their homes

What does liability insurance protect against?

• Financial losses from natural disasters

• Financial losses from theft

• Financial losses from medical expenses

• Financial losses from liability claims or lawsuits

What is a claim in the context of insurance?

• A legal document outlining insurance coverage

• A payment made by the insured to the insurance company

• A type of insurance policy

• A request by the insured for compensation from an insurance company