HSFPP - Module 6 - Insurance: Protect What you Have
Insurance Policy
A legal contract between an insurance company and the policyholder buying it. This contract will detail what is and isn't covered as well as conditions.
policy holder
A person buying the insurance
Appraisal
A professional opinion on the value of your property.
Riders
Additional coverage for specific items added to the policy.
Replacement Cost
Amount to replace by purchasing a new item or rebuild.
Accept Risk
You agree to take on the risk of potentially or actually losing something
Deductible
You share in the financial burden by paying a relatively small fraction of the loss before an insurance company pays a dime
Health Insurance
Helps you pay medical bills.
Insurance Settlement
If the claim is deemed valid. This is the amount as listed in the policy terms
Employer-based Health Plans
If you work for a company that offers health care benefits to workers, you may be given a choice of plans.
Claim
A formal request from the policyholder to have the insurance company make a payment for loss.
Manage Risk
Avoid, Reduce, Accept, Share it
Workers' Compensation
Combines disability and health insurance for employees who get injured on the job. It'll cover injury-related medical bills and part of your income while you're recuperating.
Liability Insurance
Comes into play when you unintentionally hurt someone or damage another person's property.
Renters' Insurance
Covers only your possessions. Your landlord's insurance would cover damage to the building.
Homeowners' Insurance
Covers your possessions inside the house, as well as damage to the house itself.
Actual Cash Value
Current Worth
Avoid Risk
Do not take on the risk at all
Fidelity Bonds
Employee dishonesty insurance you purchase. The insurer will reimburse your employer for losses caused by you. In turn, the company will take legal action against you to recover their payment.
Life Insurance
Ensures that any of your dependents can maintain their same standard of living by replacing your income or covering final expenses after you die.
Out-of-pocket Expenses
For insurance purposes, everything you pay for medical care aside from the insurance premium
Auto Insurance
It covers you in the case of a vehicle accident, a break-in, or theft. It also covers your passengers and anyone you hit with your car—even if that person is walking or on a bike.
Disability Insurance
It pays you a percentage of your total income when a health issue prevents you from working for more than six weeks.
Medicaid
Lower-income individuals, families and children, seniors, and people with disabilities may qualify for coverage through this program offered in their state.
Unemployment Insurance
Many states require employers to pay into an ......... fund. It's usually granted if you weren't fired for wrongdoing or you didn't quit.
Co-pays
Mean you pay a set dollar amount upfront for a health care service,
Co-insurance
Means you pay a set percentage of the charge.
Individual Health Plan
Private Health Plan as paid for by you or your family.
Insurance
Reimburses you for unexpected losses or damages caused by a specific set of hazards to a specific thing
Property Insurance
Replaces your personal assets when they're stolen and sometimes when they're destroyed.
Share Risk
Split the financial resources with someone else to replace or repair to cover the costs
Reduce Risk
Take action to lower the possibility of a negative impact due to the risk
Out-of-pocket Maximum
The cap for out-of-pocket expenses for the year.
Insurer
The company supplying the insurance.
Premium
The fee to pay for insurance
Coverage Limit
The maximum amount the insurer will pay for losses as described in the policy.
Policyholder
The person buying the insurance policy
Claims Adjuster
The person who investigates the request for payment due to a loss or damage.
Open Enrollment Period
The time when your employer gives you an option to sign up for insurance coverage.
Estimate
To support the claim. It is the estimate to repair or replace.
Conditions
What the insurer won't pay.