1. Insurance!

2. You can’t eliminate risk, but you can manage it! Insurance
Insurance basics
Life is full of RISKS!
You can’t eliminate risk, but you can manage it!
Insurance
Manages your risk of financial loss from illness, injury, or damage

3. Premium Policy Insurance regular payments to an insurance company
This offers protection for you in the event that something happens to you.
Policy
legal contract you sign when you buy insurance

4. insurance
Claim
A formal request for payment from the insurance company if loss occurs
When you make a claim, it is important to note that your premium may go up due to the claim.

5. Home Insurance Coverage
video

6. Home Owners Insurance
Protects you against loss from:
Fire
Theft
Other hazards

7. Home Owners Insurance Personal Property
Covers damage to or loss of your house and its contents
Covers not only the physical structure but also any unattached structures on your property such as a garage or storage shed
Interior
Covers furniture, appliances, curtains, and clothes

8. Liability Coverage
Covers bodily injury or damage you cause to others while on your property or in other locations
Example:
You have been working on your roof. You leave the ladder up against your house as you go to lunch. Your neighbor’s child climbs up the ladder and falls off the roof and hurts themself. Your homeowner’s liability coverage will pay the child’s medical expenses and your legal expenses if the child’s parent sues.

9. A typical policy costs $300-500 per year.
Renters Insurance
Provides same coverage as homeowner’s policy except it doesn't cover the structure of the property itself or accidents that happen outside of your rented apartment or house.
A typical policy costs $ per year.

10. Cost of Homeowners Insurance
Premium is determined by:
Location
Some neighborhoods have more crimes than others
Age of the house
Newer homes are less likely to burn down than older homes
Distance to fire station or hydrant
The closer you are to a fire station, the quicker the fire can be put out

11. Reduce Premium by…
Upgrade/update your home
Old pipes can freeze and break
Old wiring can cause a fire
Install smoke detectors
Install more security
Special discounts
Given to non-smokers
Members who work from home

12. Personal property or liability?
A storm destroys the gazebo in your backyard. Personal property A delivery person walks up your driveway, and your dog bites him. Liability You are riding your bike and accidentally run into another biker, causing him to fall and break his arm.

13. Health Insurance

14. Health Insurance
Provides money to pay for health care, illness, injury, or, in some cases, preventative care
Basic coverage includes:
Hospitalization
Surgery
Outpatient services/Doctor visits
Major Medical (serious illness/accident)

15. Additional Coverage Prescription Can be very expensive! Generic Drugs
Medications that have the same chemical composition as their name brand counterparts but are less expensive
Some policies exclude certain medications from coverage such as medication for: depression, contraceptives, diet drugs, and experimental drugs
Dental Care
Vision Care

16. Health insurance can be provided by:
Employer
Individual
Government

17. Life insurance
Video

18. Life Insurance
Protects you and your family from financial hardship that could result from the death of a family member
Beneficiary is the person you choose to receive payment if you die

19. Health Insurance Life Smart Packet – page 11 Go to www.esurance.com
Under ‘Insurance Product’ select Health, enter your zip code and select go
Under ‘Insurance Type’ select Short Term, your gender, your birthdate minus 5 years and select get a quote
DO NOT GIVE YOUR ADDRESS!!!
4. Review the search results and select 2 companies

20. Identify The Type Of Insurance that would best cover each event
You invite people to your apartment and a guest trips over a pair of shoes and breaks a finger.
2. You get food poisoning and visit the ER.
3. You hit a tree with your car and you need it repaired.

21. Identify The Type Of Insurance that would best cover each event
4. Your house is destroyed by a tornado and you need to rebuild it. 5. You have a water leak in your kitchen and need to replace the flooring and cabinets. 6. An unexpected death of a family member results in funeral expenses.