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55 Cards in this Set
- Front
- Back
Insurance |
A method of spreading the risk to portect assets and income |
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Policyholder |
An insurer or ____, is a bussiness that issues policies of insurance |
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Insurable intrest |
Is any interest in life or property that would result in a financial loss |
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Risk management |
An oragnized strategy for protecting assets to help reduce financial loss called
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Pure risk |
There is always a chance of loss if certain events (perils) occur |
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Risk assumption |
Means that you self-insure or pay for losses personally |
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Policy |
A written insurance contract is called an insurance... |
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Risk reduction |
You take measures to lessen the frequency or severity of losses that may occur |
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Risk |
The possibility of a loss is called ... |
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Premuim |
A fee, that is paid by the policyholder |
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Indemnification |
Putting the policyholder back in the same financial condition as before a loss is called... |
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Probabily |
The mathematics of chance or likelihood of and event occurring |
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Property risk |
The possibilities of loss or harm to real property are called... |
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Personal risks |
Are those potential losses involving income and standard of living |
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Liability risk |
Both income and assets are protected from ___ arising out of errors or negligence |
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Speculative risk |
Is one in which there may be either a gain or a loss |
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Risk avoidence |
Occurs when you avoid situations that involve substantial risk |
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Risk assumption |
Results when a financial loss can be determined |
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Homeowner's |
insurance protects you from loss in the event your home is damaged or destroyed |
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Liabilty |
The legal responsibility for the financial cost of another peron;s losses or injuries |
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Renter's Policy |
Protects personal possessions kept on someone else's property |
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Attractice nuisance |
A dangerous place, condition, or object that is especially attractive to childern |
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Collision |
coverage, your own car is repaired or replaced if you are at fault in an accident |
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Comprehensive |
Coverage. Damage to your car other than being hit or upset is covered by insurance |
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Endorsement |
A written amendment to an insurance policy |
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Adjusters |
Determine the value of what was destoryed or damaged by fire or other event causing loss. |
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Full coverage |
All types of insurance purchased in one single policy |
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Personal injury protection |
Medical, hospital, and funeral costs of the insured and his or her family and pssengers is called ___ |
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Uninsured Motorist |
In the event you are injured in an accident with a motorist without insurance, your ___ coverage pays your costs |
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Co-insurance |
clause requires the policyholder to carry insurance equal to or exceeding 80 percent of the replacement cost of the building |
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Personaly property floater |
Protects specific itmes of personal property |
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Misdemeanors |
Serious traffic offenses, called___, will result in increased insurance premuims |
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No-fault insurance |
laws provide for the repair or replacement oyour car by your own insurance company, regardless of who was at fault in an accident |
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Drivers' Classification |
An insurance category based on age,sex,marital status, driving record, and driving habits |
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Assigned risk pool |
A person unable to obtain insurnce goes into a(n) ___ that is available in every state |
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Umbrella liability |
Insurance policy supplements basic personal liabilty coverage |
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Increased
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Medical costs have ___ rapidly in the last decade, leaving many people without health insurance coverage
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Coordination of benefits |
When benefits from more than one health plan are limited to 100 percent of medical costs, this is called____
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Health
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___ Insurance is a plan for sharing the risk or financail loss resulting from an accident or illness
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Life
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____ Insurance provides protectiond from financial loss that might otherwise occur when a person dies
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Beneficiary
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People who will inerit money at the death of the insured are called_____
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Inconestable
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With a(n)____ clause insurance cannot be cancelled during a specified period of time
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Rider
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A smalle insurance policy that modifies the coverage of the main policy
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Renewable
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____ Term insurance gives the policyholder the right to renew each year, without having to pass a physical exam.
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HMO (Health insurance maintance org.) |
A group health insurance plan offering prepaid medical care care to it's members
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PPO (Perferred Provider)
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A group of health care providers who band together to prvoide health servies for set fees
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Group health insurance
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The most common type of health insurance
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Straight life
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Wth a ____ policy, premiums are paid throughout the life of the insured
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Basic health insurance
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The 3 types of insurance (medical, hospital, and surgical) are called _____
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Mortaility
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To predict the likelihood of death occuring, insurance companies use ____ tables
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Guarnteed insurance Riders
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Give a policyholder the right to buy a new policy or additional coverage without evidence of good health
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Wavior of premium
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A _____ rider allows you to stop paying premiums and keep your coverage in force if you become disabled
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Term
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___ Life insurance is protection for a specified period of time
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Cash value
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___ Is an amount available to borrow or at cancellation when you own a permanent life insurance policy.
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Universal life
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A type of permanent insurance, ___ has a premium and a death benefit that are not fixed
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