1. 1. Log on to a computer and then turn off your monitor 2. Test your insurance knowledge with what you have learned so far this unit by completing the “Learning the Ropes” worksheet

2. INSURANCE!

3. 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

4. INSURANCE Premium 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

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

6. HOME INSURANCE COVERAGE

7. HOME OWNERS INSURANCE Protects you against loss from: Fire Theft Other hazards

8. 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

9. 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.

10. 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 $300-500 per year.

11. 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

12. 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

13. 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. Liability

14. HEALTH INSURANCE

15. 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)

16. 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

17. HEALTH INSURANCE CAN BE PROVIDED BY:  Employer  Individual  Government  https://www.healthcare.gov/ https://www.healthcare.gov/

18. LIFE INSURANCE

19. 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

20. Life Smart Packet – page 11 1. Go to www.esurance.comwww.esurance.com 2. Under ‘Insurance Product’ select Health, enter your zip code and select go 3. Under ‘Insurance Type’ select Short Term, your gender, your birthdate minus 5 years and select get a quote DO NOT GIVE YOUR EMAIL ADDRESS!!! 4. Review the search results and select 2 companies

21. Fire Safety Game https://www.travelers.com/personal-insurance/home- insurance/safety-games/firegame.html Go to the above website to learn about fire safety in the home. Your goal is to identify all of the fire hazards in the home. After each level, read the hazard descriptions to learn about how to prevent house fires. Good luck!

22. IDENTIFY THE TYPE OF INSURANCE THAT WOULD BEST COVER EACH EVENT 1.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.

23. 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.