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General and Health Insurance Terms

Total questions: 30

Worksheet time: 15mins

Name
Class
Date
1.

Deductible

a)

The amount you must pay out-of-pocket before insurance starts to pay

b)

A request for payment from the insurer

2.

Claim

a)

A list of covered drugs

b)

A formal request to the insurance company for payment for a covered loss or medical cost

3.

Co-payment (copay)

a)

A fixed amount you pay for a covered service after meeting your deductible

b)

The maximum you will pay in a plan year

4.

Providers that are not contracted with your insurance plan

a)

In-Network

b)

Out-of-Network

5.

Co-insurance

a)

Your share of the cost for a covered service, after you’ve paid your deductible

b)

The maximum total you will pay in a year

6.

Out-of-pocket maximum

a)

The most your insurer will pay in a year

b)

The most you will have to pay for covered services in a year

7.

Ensures benefits from multiple health insurance plans are coordinated to avoid duplication.

a)

Balance Billing

b)

Coordination of Benefits (COB)

c)

Claim Submission

8.

Coverage that pays for injuries to other people or damage to their property if you are at fault in an accident.

a)

Collision Coverage

b)

Comprehensive Coverage

c)

Liability Coverage

9.

Coverage that pays to repair or replace your vehicle after a crash

a)

Collision Coverage

b)

Liability Coverage

10.

Comprehensive coverage is designed to cover damage from which type of event?

a)

Collisions with other vehicles

b)

Events other than a collision, such as theft, vandalism, fire, or natural disasters

11.

Personal Injury Protection (PIP) typically covers:

a)

Repairs to your car after a collision

b)

Medical expenses and lost wages for you and your passengers, regardless of fault

c)

Damage from theft or vandalism

12.

Deductible

a)

The amount of money you pay out-of-pocket for a covered claim before your insurance begins to pay

b)

The amount you pay for your policy on a regular basis

13.

Agent

a)

A person who inspects vehicle damage

b)

A person who sells insurance policies and represents one or more companies

c)

A person who sets legal limits for coverage

14.

Claim

a)

The duration of your policy

b)

A formal request to your insurance company for payment after a loss or incident

c)

A list of coverage limits

15.

When a vehicle is damaged so severely that the cost of repair is more than its current value,

the vehicle is considered:

a)

Covered

b)

Limited

c)

Totaled

16.

The legal contract between the policyholder and the insurance company.

a)

Premium

b)

Policy

c)

Rider

d)

Underwriting

17.

The amount paid to the insurance company to keep the policy active.

a)

Grace period

b)

Surrender value

c)

Premium

d)

Cash value

18.

UNDERWRITING involves which activity by insurers?

a)

Paying the death benefit to beneficiaries

b)

Evaluating health, lifestyle, and other factors to determine eligibility and premium cost

19.

The person or entity named to receive the death benefit when the insured person dies.

a)

Insured

b)

Beneficiary

c)

Policyholder

20.

A SECENDARY BENEFICIARY receives the death benefit under which circumstance?

a)

If premiums are overdue

b)

If the primary beneficiary dies before the insured

c)

If the policyholder surrenders the policy

21.

Social Security is a form of insurance --

It is taken out of your Paycheck under "FICA".

(Federal Insurance Contributions Act)

a)

True

b)

False

22.

Your employer will usually provide ....

a)

Car insurance

b)

Health Insurance

c)

Homeowners Insurance

23.

Which type of permanent life insurance allows for flexible premiums and death benefits?

a)

Term life insurance

b)

Whole life insurance

c)

Universal life insurance

d)

Grace period insurance

24.

Pay this to keep your insurance active ....

a)

Deductible

b)

Premium

c)

Cash

d)

Credit

25.

Who is the person covered by the policy?

a)

Insured

b)

Beneficiary

c)

Underwriter

d)

Policyholder

26.

What is a rider in the context of life insurance?

a)

The legal contract between two people

b)

An addition to an insurance policy that provides extra benefits or coverage

27.

When it comes to insurance, what example best illustrates a RIDER?

a)

Accelerated death benefit for terminal illness

b)

Life Insurance

c)

Someone who rides a bike

28.

Surrender value refers to which amount?

a)

The total premiums paid to date

b)

The death benefit paid to the beneficiary

c)

The cash value a policyholder receives if they cancel the policy before it matures

d)

The underwriting fee assessed at policy issue

29.

What type of insurance would help your family or beneficiaries if you die?

a)

Rainy Day Insurance

b)

Football Insurance

c)

Death Insurance

d)

Life insurance

30.

Which pair correctly matches the concept with its description?

a)

Beneficiary—Something really funny

b)

Underwriting—writing under water

c)

Premium—amount paid to keep the policy active