insurance oprf

1.

1 point

The term “claim” refers to a

request for a payment of your loss

statement of loss for your own records

inquiry about insurance

payment for insurance

2.

1 point

A _________ is the amount you pay before the insurance company becomes involved.

Cobra insurance

Medicaid

Deductable

Premium

3.

1 point

Real property is real estate

True

False

4.

1 point

A good idea to protect yourself against loss in your home is to videotape your possessions and keep the tape at an off-site location, like a bank safe deposit box.

True

False

5.

1 point

In order to obtain insurance, a person must have something of value to insure. (insurable interest)

True

False

6.

1 point

When you purchase a life insurance policy, you will be asked to name a beneficiary who is the person or group to whom your benefits will be paid if you die.

True

False

7.

1 point

Group health insurance is usually

not available to most people

closely regulated by government

less expensive than an individual policy

more expensive than an individual policy

8.

1 point

Co-insurance requires that a person

pay a portion of the medical costs

obtain insurance coverage from several companies

have a physical exam before getting insurance coverage

is only eligible for coverage after a waiting period

9.

1 point

Uninsured/underinsured motorist coverage provides coverage for accidents caused by those who don’t have enough insurance to cover all expenses.

True

False

10.

1 point

An inventory of your household items is a good idea in case something happens to your household items.

True

False

11.

1 point

collision coverage covers

your car when it is some one else at fault

the other partys car when you collide with them and are at fault

your car when you are at fault

dont worry about it you got insurance

12.

1 point

Banks won’t lend money for a house that isn’t insured.

True

False

13.

1 point

The two basic types of life insurance plans are

whole and straight life

term and whole life

endowment and mutual life

ordinary life and limited-payment life

14.

1 point

Raising your deductible will lower your premium.

True

False

15.

1 point

Liability insurance will protect insured people who

are injured in their own homes

have a home that is destroyed by a fire

damage someone else’s property

become sick and are not able to work

16.

1 point

Insurance is intended to protect people from losses that are greater than they can afford.

True

False

17.

1 point

When you’re at fault, the damage to another person’s car would be covered by

collision

comprehensive

liability

property damage

18.

1 point

Term insurance is the least expensive type of life insurance for a person at the time of purchase.

True

False

19.

1 point

The cost of the insurance coverage you pay is called the

loss

premium

debt

claim

20.

1 point

Health insurance is required by law

True

False

21.

1 point

The type of insurance that covers the repair or replacement of the insured’s own car when the insured is at fault is

collision

property damage

comprehensive

liability

22.

1 point

The money paid to the beneficiary of a whole life policy is

the face value less any money borrowed against it

the total of all the premium paid.

held by his insurance company until the beneficiary retires

one-half of the total premium payments

23.

1 point

A special addition to a policy that covers a specific loss not covered in the standard policy is a

rider

none of these

premiun

passanger

24.

1 point

Medicare is designed to provide medical and hospital insurance for...

unemployed people

government employees

retired people covered by social security

labor union members on strike

25.

1 point

If you rent an apartment, it is not important to get insurance for your personal belongings because your landlord’s insurance will cover everything you own too.

True

False

26.

1 point

Real property refers to clothing and furniture.

True

False

27.

1 point

Automobile insurance is required to drive in the state of Illinois.

True

False

28.

1 point

The most important purpose of life insurance is to

enable one to borrow on the cash value

provide money for a beneficiary

build up savings

establish credit

29.

1 point

A car liability policy with 100/300/10 coverage means that the insurance company’s liability for injury to one person is

$1

$100,000

$1,0000

$1,000,000,000

30.

1 point

Face value and cash value are the same thing

True

False

31.

1 point

A car that is used for collateral for a loan does not have to have insurance since the bank technically owns the car.

True

False

32.

1 point

Premiums for a life insurance policy taken out when you’re older are less expensive than when you’re younger.

True

False