Insurance

 TEKS 8 – The student explains risk bearing devise. The student is expected to:  Identify the principles of insurance;  Review the types of insurance;  Recognize security devices such as fidelity bonds and securities  Discuss the appropriateness and categories of bankruptcy;  Research contemporary cases dealing with risk bearing devices using appropriate online technology

 Contractual arrangement that protects against loss  One party agrees to pay money to help offset a specified type of loss that might occur to another party

 Insurer – party who agrees to indemnify  Insured – party covered or protected  Beneficiary – recipient of the amount paid  Policy – written contract of insurance  Face Value – maximum amount that could be paid if the harm a person insured against occurs  Premium – consideration for insurance

 1. Life Insurance  2. Fire Insurance  3. Casualty Insurance  Burglary, Robbery, Theft, and Larceny Insurance  Automobile Insurance  Liability Insurance  Disability, Accident, or Health Insurance

 4. Social Insurance  5. Marine Insurance  6. Inland Marine Insurance  7. Fidelity and Surety Bonding Insurance

Fidelity insurance provides coverage against financial loss caused by dishonesty. Such dishonest acts include embezzlement or failure of one person to perform a legal obligation to another, such as constructing a building as promised. Contracts of fidelity insurance are often known as surety bonds.