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Insurance Quiz Review

Total questions: 17

Worksheet time: 26mins

Name
Class
Date
1.

The fee, usually monthly, paid by the policyholder is called a ____.

a)

Policy

b)

Deductible

c)

Premium

d)

Face Amount

2.

Which is true about risk and insurance?

a)

The higher the risk, the higher your insurance deductible

b)

The higher the risk, the lower your insurance deductible

c)

The higher the risk, the higher your insurance premium

d)

The lower the risk, the higher your insurance deductible

3.

Which of the following can help reduce insurance costs?

a)

Increase deductibles

b)

Purchase Group Insurance

c)

Look for Discount Opportunities

d)

All of the Above

4.

If a car was damaged in a flood, which type of car insurance would typically cover the damage to the car?

a)

Universal

b)

Term

c)

Disability

d)

Comprehensive

5.

If Duncan’s car was damaged by a hit-and-run driver or a driver without insurance, how will the cost of damage be covered?

a)

Term Life Insurance

b)

Comprehensive Insurance

c)

Uninsured Motorist Coverage

d)

Duncan will have to pay

6.

Which coverage pays for injuries and damages to OTHERS only?

a)

Comprehensive

b)

Collision

c)

Personal Injury Protection

d)

Liability

7.

Which type of insurance coverage would pay for damage incurred from backing into a grocery cart in a parking lot.

a)

Medical

b)

Collision

c)

Personal Injury Protection

d)

Liability

8.

By raising the deductible on car insurance coverage for collision from $200 to $400, the premium will be ______.

a)

A lower amount

b)

The same amount

c)

A different amount each month

d)

Billed monthly instead of annually

9.

A method for spreading individual risk among a large group of people to make losses more affordable for all.

a)

Insurance

b)

Peril

c)

Coverage

d)

Actuary

10.

Sums of money to be paid for specific types of losses under the terms of an insurance policy.

a)

Cash Value

b)

Peril

c)

Liability

d)

Benefits

11.

A policyholder’s request for reimbursement for a loss under the terms of an insurance policy.

a)

Claim

b)

Cash value

c)

Deductible

d)

Exclusion

12.

Protection provided by the terms of an insurance policy.

a)

Coverage

b)

Hazard

c)

Peril

d)

Standard policy

13.

The specified amount of a loss that the policyholder pays before the insurer is obligated to pay anything. The insurance company pays only the amount in excess of the this thing.

a)

Cash value

b)

Coverage

c)

Deductible

d)

Exclusion

14.

Specified losses that the insurance policy does not cover.

a)

Exclusions

b)

Deductible

c)

Liability

d)

Unearned Premium

15.

A professional insurance salesperson who acts for the insurer in negotiating, servicing, or writing an insurance policy.

a)

Actuary

b)

Insurance agent

c)

Beneficiary

d)

Indemnifier

16.

The person or company protected against loss by an insurance policy (not always the owner of the policy).

a)

Insured

b)

Claims adjustor

c)

Actuary

d)

Beneficiary

17.

The legal responsibility to pay the cost of another person’s losses or injuries.

a)

Liability

b)

Deductible

c)

Beneficiary

d)

Standard policy