Homeowners Insurance pp SECTION

Click to edit Master text styles Second level Third level Fourth level Fifth level 2 SECTION Copyright © Glencoe/McGraw-Hill MBA, Section 10-6, Slide 2 of homeowners insurance (p. 357) Financial protection for homeowners against fire, theft, personal liability, and other damages. loss-of-use coverage (p. 357) Insurance coverage for homeowners that pays for the costs of living away from home while the home is being repaired. Key Words to Know

Click to edit Master text styles Second level Third level Fourth level Fifth level 3 SECTION Copyright © Glencoe/McGraw-Hill MBA, Section 10-6, Slide 3 of personal liability (p. 357) Insurance coverage for homeowners if someone is injured in their home. medical coverage (p. 357) Insurance for homeowners that pays medical expenses if someone is injured in their home. Key Words to Know

Click to edit Master text styles Second level Third level Fourth level Fifth level 4 SECTION Copyright © Glencoe/McGraw-Hill MBA, Section 10-6, Slide 4 of replacement value (p. 357) The amount required to reconstruct a home if it’s destroyed, used to determine the amount of insurance a home should have. Key Words to Know

Click to edit Master text styles Second level Third level Fourth level Fifth level 5 SECTION Copyright © Glencoe/McGraw-Hill MBA, Section 10-6, Slide 5 of Amount of Coverage = Amount of Coverage on Home × Percent Formula

Click to edit Master text styles Second level Third level Fourth level Fifth level 6 SECTION Copyright © Glencoe/McGraw-Hill MBA, Section 10-6, Slide 6 of The replacement value of Leia and Hon Solo’s home is estimated at $94,000. They have insured their home for 80 percent of its replacement value. Using Figure 10.4 below, what is the amount of coverage on the Solo’s personal property? Example 1

Click to edit Master text styles Second level Third level Fourth level Fifth level 7 SECTION Copyright © Glencoe/McGraw-Hill MBA, Section 10-6, Slide 7 of Figure 10.4

Click to edit Master text styles Second level Third level Fourth level Fifth level 8 SECTION Copyright © Glencoe/McGraw-Hill MBA, Section 10-6, Slide 8 of Find the amount of coverage on the home. Replacement Value × Percent $94, × 80% = $75,200 Example 1 Answer: Step 1

Click to edit Master text styles Second level Third level Fourth level Fifth level 9 SECTION Copyright © Glencoe/McGraw-Hill MBA, Section 10-6, Slide 9 of Find the amount of coverage on personal property. Amount of Coverage on Home × Percent $75,200 × 50% = 37,600 Example 1 Answer: Step 2

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