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Fin Lit U7 Quiz

Total questions: 10

Worksheet time: 8mins

Name
Class
Date
1.

Insurance lets you ​ (a)   risk.

Choose from the below words
transfer
reduce
eliminate
2.

Anything that is the actual cause of a loss (fire, flood, etc.) is called a ​ (a)   .

Choose from the below words
peril
hazard
premium
3.

Paul was driving his kids to a piano lesson in a 2015 minivan. While driving, he was hit by an uninsured motorist. Although Paul and his kids had only minor injuries, their vehicle was totaled (damaged so much that it cannot be fixed). Based on this information, which of the following is correct?

a)

Paul's uninsured motorist's protection should cover medical expenses for Paul and his kids.

b)

The uninsured motorist will be required to purchase a new minivan for Paul's family.

4.

Angie left her vehicle parked on the street in the front of her house when she went on vacation. While she was gone, her street flooded and her car was severely damaged. This damage would be covered under her

a)

comprehensive physical damage policy.

b)

property damage liability policy.

5.

What is the primary purpose of medical expense insurance?

a)

to pay actual medical costs for illness or injury

b)

to pay a salary if an employee is disabled

c)

to protect you from death and funeral expenses

6.

Which is a PUBLIC health care plan?

a)

Medicare

b)

Health maintenance organization (HMO)

c)

Preferred provider organization (PPO)

7.

Homeowners insurance typically covers damage to the home, personal property inside the home, and liability for injuries on your property.

a)

TRUE

b)

FALSE

8.

Which is an example of liability coverage in renters insurance?

a)

covering medical bills for a guest injured in your apartment

b)

replacing stolen electronics

c)

paying for damages to the apartment

9.

What is the purpose of disability insurance?

a)

to replace a portion of your income if you are unable to work

b)

to pay medical expenses after an accident

c)

to pay off debts after death

10.

​ (a)   insurance covers you for a set period.

​ (b)   insurance lasts a lifetime.

Choose from the below words
Term life
Whole life