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.
more career and business skills information
teaching and learning business education, general money skills, personal finance,
careers, and life skills, please go to the Money
Instructor home page.