1. What is insurance? SS.4.FL.5.1 Explain that after people have saved some of their income, they must decide how to invest their savings so that it can grow over time. SS.4.FL.5.2 Explain that a financial investment is the purchase of a financial asset such as a stock with the expectation of an increase in the value of the asset and/or increase in future income. Gr. 2 Financial Literacy

2. Essential Question Grade 2 Financial Literacy SS.4.FL.5.1, SS.4.FL.5.2 Image Source: http://www.nauinsurance.com/wp-content/uploads/2015/07/life-insurance-factors.jpg How does insurance help protect my family from loss?

3. How much would you care if the following items are lost, stolen, or damaged? Grade 2 Financial Literacy SS.4.FL.5.1, SS.4.FL.5.2 What caused your opinion to change?

4. Grade 2 Financial Literacy SS.4.FL.5.1, SS.4.FL.5.2 Accidents happen. Accidents are expensive. Insurance helps pay when bad things happen. Storm damages roof. It costs $5,000 to repair. Mom gets into a minor car accident. Car repair costs $3,000. Dad gets hurt playing soccer. Emergency health care costs over $5,000. I dropped my phone in water. A replacement costs $500. My home is burglarized. All our electronics and jewelry are stolen. Damage to window and stolen property costs $10,000.

5. Grade 2 Financial Literacy SS.4.FL.5.1, SS.4.FL.5.2 Storm damages roof. It costs $5,000 to repair. Mom gets into a minor car accident. Car repair costs $3,000. Dad gets hurt playing soccer. Emergency health care costs over $5,000. I dropped my phone in water. A replacement costs $500. My home is burglarized. All our electronics and jewelry are stolen. Damage to window and stolen property in excess of $10,000. Insurance helps protect you and your valuables. Insurance helps pay for our healthcare, for damages/loss to our homes, automobiles, and electronics. Insurance pays $4500 to repair roof. Insurance pays $2500 to repair car. Insuran ce pays hospital bill of $4,000. Insurance pays $450 to replace phone. Insurance pays $9,500.

6. Having insurance costs money. People pay for insurance. Grade 2 Financial Literacy SS.4.FL.5.1, SS.4.FL.5.2 Homeowners Insurance Helps pay for damage/loss to your home and valuables. Automobile Insurance Helps pay for damage to your vehicle and any injuries. Health Insurance Helps pay for your medical care, both wellness and emergency care.

7. The money you pay for insurance each year is put together with the money that other people pay too. This large pool of money is used to pay for losses by certain individuals. Not everyone that pays for insurance will need to use it. Grade 2 Financial Literacy SS.4.FL.5.1, SS.4.FL.5.2 MANY PEOPLE PAY FOR INSURANCE EACH YEAR INSURANCE PAYS FOR THE LOSS OF SOME PEOPLE insurance cannot prevent bad things from happening, but It can help you pay for expensive emergencies.

8. Introduction and History of Insurance Benjamin Franklin founded America’s first insurance company. He educated the public about fire hazards, refusing to insure wooden buildings. Copy of Benjamin Franklin Insurance Company Certificate of Insurance Benjamin Franklin

9. Pays MorePays Less Not everyone pays the same amount for insurance each year. The price you pay depends on how likely you are to use the insurance. Who do you think will pay more? Why? Grade 2 Financial Literacy SS.4.FL.5.1, SS.4.FL.5.2 Driver with previous accidents Driver under 25 years oldDriver over 25 years old Driver without any accidents Driver of an expensive sports carDriver of a four door sedan 1.Driver with previous accidents 2.Driver without any accidents 3.Driver with an expensive sports car 4.Driver of a four door sedan 5.Driver over 25 years old 6.Drive under 25 years old

10. Imagine that you are an insurance salesperson. Write a paragraph explaining the reasons why someone should have (car, home, or health) insurance. Use the text frame below. Grade 2 Financial Literacy SS.4.FL.5.1, SS.4.FL.5.2 There are several reasons why you should have ___________ insurance. The first reason you should have ___________ insurance is because it ____________________________________________________ _______________________________. Another reason you should have ______________ insurance is because it ___________________________ __________________________________. Lastly, _____________ insurance helps __________________________________________. Don’t you agree that _______________ will help protect your family?

11. Essential Question Grade 2 Financial Literacy SS.4.FL.5.1, SS.4.FL.5.2 Image Source: http://www.nauinsurance.com/wp-content/uploads/2015/07/life-insurance-factors.jpg How does insurance help protect my family from loss?

12. Sources Health Insurance for Kids http://financeintheclassroom.org/downloads/HowTeachHealthInsurance.pdf Lesson Adapted from: Insurance Lesson Plans and Worksheets http://www.moneyinstructor.com/insurancelessons.asp Lesson content adapted from PwC’s Earn your Future Curriculum – Risk Management and Insurance – Grade 3-5 Lesson https://www.pwc.com/us/en/about-us/corporate- responsibility/corporate-responsibility-report- 2011/community/financial-literacy-curriculum-pdfs/8-risk- management-3-5/1-pwc-risk-management-3-5-lesson.pdf Grade 2 Financial Literacy SS.4.FL.5.1, SS.4.FL.5.2 Life Happens Lesson Resources from Scholastic http://www.scholastic.com/nextgeneration/lessons&worksheets/risk.htm http://www.scholastic.com/nextgeneration/pdf/Risk_The-411-on-Risk.pdf