Insurance Investigation

1. Insurance Investigation

2. Why do people buy insurance? • To protect against financial loss • What if your house catches on fire? • What if a tornado destroys your home? • What if you are hurt and unable to work? • What if you are injured in an auto accident and have medical bills? • What if your car is damaged in an accident?

3. Types of insurance • Automobile • Homeowners/rental • Life • Health • Disability

4. Different types and what it covers: Automobile Insurance

5. Automobile insurance, cont.

6. Health Insurance • Medical expenses can run into very large amounts of money, so health insurance is a very wise investment. • Many people have health insurance as a benefit of their job, or they may purchase it through their employer and often add family members at additional costs • Health insurance may also be purchased individually from an insurance agent • Some children may be covered under their parent’s health insurance until they are 19 or while they are in college

7. Coverage varies greatly, depending on what the policy says • Health insurance may pay for: • Injury, illness, and disability • Routine medical expenses • Emergency situations • Surgical, dental, vision, long-term care, prescription, and other major expenditures

8. Life Insurance • Life Insurance pays a specific amount of money to the beneficiary upon the death of the insured. • People purchase life insurance to provide money for family members or dependents when a wage earner dies. • Dependent—someone who relies on someone else for financial support • Life insurance is needed if someone has a spouse, children, aging or dependent relatives or others who are counting on them for financial support. • People also purchase life insurance as a method of being prepared to pay for funeral expenses for the deceased.

9. Disability Insurance • Disability insurance pays a portion of one’s income in the event that they are unable to work, usually somewhere between 60-70% of the typical wages. • Severity of injury and length of the disability will influence the benefit amount • Some employers offer disability insurance as part of the benefits package, but more typically people purchase liability insurance

10. Homeowner’s Insurance • Homeowner’s insurance helps to replace one’s home in the event it is destroyed or damaged. It also provides liability insurance if someone is injured on the property. • The homeowner’s insurance should be enough to replace the home and belongings

11. Renter’s Insurance • Renter’s insurance pays for the replacement of belongings inside a dwelling, but not for damage to the dwelling • Renter’s insurance is very important because the landlord’s insurance policy on the dwelling typically does not pay for the replacement of the renter’s possessions.

12. Spoon Up Some Coverage Game • Students will divide into groups of four • Each group will have three spoons in the center of the table • The object of the game is to get two cards in which the situation and the insurance coverage match • A dealer will pass two cards to each player

13. The first player can draw a card from the deck, then discard one card to the next player • The second player may keep the card from player one and pass on one of their original cards OR they may pass on the discard from player one • Play continues until someone has a situation and coverage that match, then they grab a spoon

14. As soon as the first spoon is taken, players quickly take the remaining spoons. • The player that does not have a spoon is out. • The game continues, removing a spoon every round until only one winner remains. • Players who are “out” may help remaining players and they may play as a “team” until only one spoon holder remains