5C: Insurance

What is the primary purpose of health insurance premiums?

• To cover the cost of routine check-ups

• To pay for the insurance policy itself

• To provide a cash payout upon death

• To invest in the stock market

Which type of life insurance provides a death benefit and has a cash value component?

• Term life insurance

• Universal life insurance

• Major medical insurance

• Dental insurance

What distinguishes term life insurance from other types of life insurance?

• It accumulates cash value over time

• It provides coverage for a specific period

• It includes dental and vision benefits

• It requires no premium payments

What is a co-payment in the context of health insurance?

• A monthly fee for maintaining insurance

• A fixed amount paid by the insured for a covered service

• A percentage of the total medical bill

• A refund from the insurance company

Who are beneficiaries in the context of life insurance?

• The insurance company

• The policyholders

• The individuals designated to receive the death benefit

• The medical providers

How does cash value insurance differ from term life insurance?

• It provides coverage for a limited time

• It includes a savings component

• It is only available to seniors

• It does not require medical exams

What type of insurance typically covers expenses related to hospital stays and surgeries?

• Life insurance

• Major medical insurance

• Dental insurance

• Vision insurance

Which type of insurance is specifically designed to cover dental and vision care?

• Universal life insurance

• Term life insurance

• Dental and vision insurance

• Major medical insurance

What is the main feature of universal life insurance that differentiates it from term life insurance?

• It has a fixed premium

• It offers flexible premiums and death benefits

• It is only available for a short term

• It does not provide a death benefit

What is the role of a health insurance premium?

• To provide immediate cash benefits

• To fund the insurance policy and cover potential claims

• To pay for non-medical expenses

• To invest in real estate