Types of Insurance

 

1.  Homeowner's Insurance - provides coverage for losses due to damage or destruction of a home.
 

2.  Life Insurance - provides coverage after the insured party's death, often to family member(s) left behind (beneficiary).
          a.  Term insurance: is sold for a specified time period.
          b.  Whole life insurance: provides coverage throughout the insured's life (has cash value).
 

3.  Health Insurance - pays for hospital and medical treatment.
 

4.  Disability insurance - provides a monthly income when one becomes disabled.
 

5.  Automobile Insurance - provides coverage for automobile accidents and damage to the insured's automobile.
          a. Liability - covers damages if the (insured) driver injures someone or damages someone's property in an automobile accident.
          b. Collision insurance - pays for damage to the insured automobile when it is involved in a collision.
          c. Comprehensive insurance - covers damage to the insured automobile resulting from causes other than collision (Ex. - hail).
 

6.  Title Insurance - protects a buyer of realty in the event that the seller did not have a clear title to that property.
 

7.  Social Insurance - protection of individuals against economic hazards such as unemployment, old age, or disability.
          a. Medicare - a government program of medical care for the aged.
          b. Social Security - a program of the United States government that provides retirement income, health care for the aged, and disability coverage for eligible workers and their dependants.
 

8.  Worker's Compensation Insurance - protect workers who are injured on the job.
 

9.  Malpractice Insurance - insurance purchased by physicians and hospitals to cover the cost of being sued for malpractice.
 

10. Excess Liability insurance - called an "umbrella" policy that provides liability coverage for at least $1 million. Added to a homeowner's insurance policy to cover liability for accidents on or away from insured property.
 

11. Annuity - will pay a designated amount periodically, the payments begin at a date set in the policy.

 

 

For a teaching lesson plan for this lesson see: Insurance Types Lesson Plan For teaching lessons on business and careers see:  Teaching Business Lessons and Careers

 

 

 

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