Insurance, Questions with accurate answers, 2022/2023. Graded A

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Insurance, Questions with accurate answers, 2022/2023. Graded A actuarial table - ✔✔A table that shows the probability that a person will die before his next birthday. Actuary,A mathematician... who calculates the likelihood of events and prices insurance based on that likelihood. insurance agent - ✔✔An employee who sells insurance from one insurance company. insurance broker - ✔✔An independent insurance agent who sells insurance policies from more than one insurance company. Liability - ✔✔A type of insurance that protects you from lawsuits, usually against your customers or people using property that you own. Premium - ✔✔The cost of an insurance policy. collision coverage - ✔✔Portion of an auto insurance policy that covers the damage to the policyholder's car from a collision, whether it was the insured's fault or not. comprehensive coverage - ✔✔Portion of an auto insurance policy that covers damage to the policyholder's car caused by an event other than a collision. Examples include damage from fire, explosions, earthquakes, floods, riots, and theft. Deductible - ✔✔The amount an insured person must pay before the insurance company pays the remainder of each covered loss, up to the policy limits. Exclusion - ✔✔A provision within an insurance policy that eliminates coverage for certain acts, property, types of damage, or locations. gap insurance - ✔✔An automobile insurance option that covers the difference between a car's actual cash value when it is stolen or wrecked and the amount the consumer owes the leasing or finance company. This option is mainly used for leased cars. liability insurance - ✔✔Insurance for which the policy holder is legally obligated to pay because of bodily injury or property damage caused to another person, medical insurance - ✔✔This pays for medical and funeral expenses incurred in an auto accident, regardless of fault. no-fault insurance - ✔✔Auto insurance coverage that pays for each person's financial losses resulting from an automobile accident regardless of who was at fault. Also refers to an auto liability insurance system that restricts lawsuits to serious cases. Only a few states require this type of insurance. Peril - ✔✔Exposure to the risk of loss. personal injury protection coverage - ✔✔Portion of an auto insurance policy that covers the treatment of injuries to the driver and passengers of the policyholder's car. Examples include benefits for medical expenses, loss of income from work, essential services, accidental death, funeral expenses, and survivor benefits. roadside assistance - ✔✔A program that provides you with a toll-free telephone number to call 24 hours a day, 365 days a year. This is for assistance when your vehicle breaks down or when there is a vehicle emergency.Term uninsured/underinsured coverage - ✔✔Portion of an auto insurance policy that protects a policyholder from uninsured/underinsured and hit-and-run drivers. COBRA (Consolidated Omnibus Reconciliation Act) - ✔✔A federally mandated program that allows individuals to continue subscribing to heath care insurance at group rates after an event that might have ended their coverage (e.g., being fired or a divorce). disability insurance - ✔✔A type of insurance that covers a portion of one's living expenses in the event that a subscriber becomes unable to work. Exclusion - ✔✔Health care costs that are not covered by a given insurance plan. Examples can range from nonprescription drugs to dental care. group insurance plan - ✔✔Health insurance purchased by a group, usually an employer, for its members. The employer usually pays some or all of the premiums for group insurance. [Show More]

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