Unit 6 review

What does dwelling coverage of homeowners insurance typically cover?

• Floods

• Earthquakes

• Fire/smoke

• Sewer/water backup

What is the coverage limit for other structures typically based on?

• The age of the structure

• The estimated cost to rebuild

• The original purchase price

• The size of the property

Which of the following is NOT typically covered for other structures on your property?

• Theft

• Vandalism

• Windstorms

• Damage due to lack of maintenance

Why might a policyholder want to increase or decrease their personal property coverage?

• To adjust for the value of very valuable items like jewelry

• To reduce the overall insurance premium

• To increase the deductible

• To cover only fire-related damages

Tags

CCSS.RI.7.3

CCSS.RI.8.3

CCSS.RI.8.5

CCSS.RI.9-10.3

CCSS.RI.9-10.5

What is the purpose of "loss of use" coverage in a homeowners insurance policy?

• To cover the cost of repairing your home

• To pay for additional housing and living expenses while your home is being repaired

• To cover mortgage payments

• To pay for child care expenses

Which of the following is typically not covered by personal liability insurance?

• Purposefully inflicted injury

• Accidental falls

• Pain and suffering

• Lost wages

The cost you pay for your insurance - could be monthly, quarterly, annually, etc.

• Premium

• Deductible

• Limit

• Out of pocket maximum

Tags

CCSS.7.RP.A.3

This is the amount you have to pay before your insurance kicks in.

• Premium

• Self-Payment

• Deductible

• Coninsurance

This insurance pays a lump sum to a beneficiary if the policyholder passes away

• Health insurance

• Lump sum insurance

• Wage insurance

• Life insurance

Term life insurance is generally cheaper than permanent life insurance

• True

• False