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NGPF - Insurance

Total questions: 14

Worksheet time: 21mins

Name
Class
Date
1.

This professional analyzes statistics and uses them to calculate risks and premiums.

a)

Agent

b)

Actuary

c)

Claims Clerk

d)

Underwriter

2.

The out of pocket cost to the insured when a loss occurs is called...

a)

Premium

b)

Deductible

3.

Your health insurance copay is

a)

Amount paid out of pocket before your insurance coverage

b)

Paid by the insurer

c)

Applied on an annual basis

d)

A fixed amount of money you pay each time you use your plan

4.

Which of the following wouldn't save you money on your auto insurance premium?

a)

Decrease your deductible

b)

Reduce or eliminate optional insurance on an older vehicle

c)

Maintain a good credit history

d)

Bundle your insurance with other policies

5.

Under current law, until what age can a child stay on their parents' health insurance?

a)

18

b)

21

c)

26

d)

29

6.

The federal agency that oversees insurance companies is

a)

The Federal Trade Commission

b)

The Department of Transportation

c)

The Consumers Union

d)

Insurance companies are regulated on a state-by-state basis

7.

True or False: Insurance is based on the concept of shared risk, or risk pooling.

a)

True

b)

False

8.

Jennifer has an auto policy of $20,000/$40,000/$10,000. The $10,000 covers

a)

Per person bodily injury

b)

Property damage per occurrence

c)

Per occurrence bodily injury limit

d)

Total amount of insured coverage

9.

The FDIC insured deposit limit is

a)

$150,000

b)

$200,000

c)

$250,000

d)

$300,000

10.

What role does insurance play in financial planning?

a)

It guarantees that income and assets are protected

b)

It helps build and maintain one's credit score

c)

It helps cover day-to-day expenses

d)

It grows in value and appreciates over time

11.

A policy is a contract between the

a)

Policyholder and the injured person

b)

Driver and the government

c)

Consumer and the insurance company

d)

Consumer and the insurance agent

12.

Which of the following would be covered under a renter's insurance policy?

a)

Damage to the exterior of the property

b)

Medical bills of another person who is injured on the property

c)

Your roommate's personal belongings in the rental unit

d)

Damage to a detached shed on the property

13.

A stone hits your windshield. Which type of coverage would likely cover this expense?

a)

Collision

b)

Liability

c)

Comprehensive

d)

None

14.

What is the average monthly renter's insurance premium cost in the U.S.?

a)

$150/month

b)

$90/month

c)

$40/month

d)

$15/month