1. Insurance & Risk Management

2. Can You Believe? The number of insurance claims for auto accidents involving teens is ____% higher than those for adults. Teen crash rates drop by ____% six months after getting their license.

3. Can You Believe? In the latest survey available, ____% of the U.S. population experienced some level of disability in a year. Head injuries cause about ____% of all bicycling fatalities.

4. Can You Believe? There is a ____% chance you’ll be involved in an alcohol-related traffic accident at some point in your life. At work, a disabling injury occurs every ____ seconds.

5. Can You Believe? Sixteen-year-old drivers have ____ times the risk of being in a crash compared to 18-year-old drivers.

7. £2.6 million, multi-car pileup involving eight Ferraris, one Lamborghini and a Mercedes-Benz.

8. Risk Management “In exchange for a relatively small payment, which is the premium, you’re protected against the chance of a big financial setback, a large loss.”

9. Risk Management Means you use various ways to deal with potential personal or financial losses.

10. What Risks Do Students Face? Each team has five minutes to brainstorm every type of risk a student might face in a typical day (physical, financial, social, etc.). For example, a student runs the risk of choking when eating breakfast, being involved in an accident on the way to school, falling down the stairs at school, getting a paper cut when a test is distributed, etc. The team with the highest number of risks wins the contest.

11. So…………………………… Which risks do you feel are more likely to happen to you? What are the different ways you handle these risks? How do you feel knowing that there is risk in living every day?

12. Insurance Protection against large- scale financial loss

13. Insurance Premium The payment you make to an insurance company in exchange for its promise of protection and help. Can be monthly, quarterly, semi- annually, or annually.

14. Deductible The amount of the loss you must pay out of your own pocket before the insurance company begins to reimburse you. Range from $100-$1,000+ SHOP AROUND for best rates

15. Homeowners/Renters Types of Insurance Automobile Health Life Disability

16. Auto Insurance Liability Coverage Medical Payments Uninsured Motorist Underinsured Motorist Collision

17. Auto Policies Age Gender Marital Status Type of Car Cost of Repairs Mileage Location Law Enforcement Driving Record The following factors can influence the cost of the policy.

18. Longevity Game

19. Health Insurance Pays the medical bills in case you or your family members, become sick or injured. Because of Obamacare you can be covered by your parents until you are 26.

20. Property Insurance Protects your material possessions in case they are damaged by fire, flood, or theft. Homeowner’s insurance vs Renter’s Insurance

21. Life Insurance Anytime someone else depends on your income to help pay bills, you need life insurance. Protects people who depend on you financially in the event of your untimely death. Term Life vs Whole Life

22. Future Insurance Needs Health Insurance Property Insurance Life Insurance Disability Insurance Liability Insurance

23. WORKSHEET Insurance Needs Through Life

24. Estate Planning Estate planning is preparing a plan for transferring property during one’s lifetime and at one’s death. Goal should be to minimize taxes on the estate, make known how you want your possessions distributed, and to provide for a smooth transfer of your possessions to loved ones after death.

25. Tools for Estate Planning Will Trust Joint Ownership of Assets

26. Will A legal document that tells how you want your estate to be distributed after your death.

27. Power of Attorney A legal instrument authorizing one to act as another’s attorney or agent.

28. Trust A legal document in which an individual gives someone else control of property, for ultimate distribution to another person.

29. The Risks of Daily Events for Average Americans EventRanking From heart disease Due to complications from surgery In an airplane crash As a result of breast cancer (female) As a result of prostate cancer (male) From AIDS In a motor vehicle From food poisoning From a fall From choking From a workplace accident *10 is highest risk; 1 is lowest risk. 10 4 1 8 7 9 3 6 2 5