Insurance Answers

10 verified answers2 views
2
Free Preview

Which type of insurance policy would someone get to protect others only?

A
health insurance
B
life insurance
C
property insurance
D
disability insurance
3

Under which circumstance would someone need disability insurance?

A
A person's suitcase was stolen and valuables were lost.
B
A person has contracted the flu and needs a prescription.
C
A person was in a car accident and cannot work for several months.
D
A person's house was seriously damaged during a natural disaster.
4

Insurance is a financial service that allows a

A
consumer to transfer all risk to a company.
B
company to control finances for a consumer.
C
consumer to share liability with a company.
D
company to maximize risk for a consumer.
6

Which is always a cost when buying insurance?

A
premium
B
deductible
C
co-payment
D
payout
7

Why does insurance often provide "peace of mind"?

A
People know their insurance coverage will help prevent accidents and damage.
B
People trust that they will make a profit if they pay insurance premiums.
C
People are not concerned about their health if they can pay for doctor's visits.
D
People are less worried when they know they have protection from risk.
9

In what circumstance would a property insurance claim be rejected?

A
The insurance company finds that a homeowner intentionally caused damage.
B
The property damage is caused by a natural disaster, such as a flood.
C
The insurance company changes its policies after property damage occurs.
D
The property damage is extensive and requires lengthy and expensive repairs.
10

Which questions about risk should someone ask before making a big purchase? Check all that apply. What problems are most likely to happen?What can be done to avoid liability?What could go wrong?What problems could be most damaging?What option has no risk?

A
What problems are most likely to happen?
B
What can be done to avoid liability?
C
What could go wrong?
D
What problems could be most damaging?
E
What option has no risk?

Did you find these answers helpful?