Insurance Flashcards
What is insurance?
Insurance is a financial vehicle that help spread risk by taking a risk from an individual and spreading that risk around a community
What are the steps of insurance?
- The broker looks or pays someone to look at the thing they want to invest in and determines how much it’s worth.
- The broker assesses the risk.
- The underwriter determines how many risks to include or to remove.
- If a risk occurs, the client will contact the insurance company and they will determine the amount of compensation. The client will receive.
Types of home insurance
Home insurance- tobi is at home against damage and destruction to the building from various courses such a storms, fires
Home contents insurance - provides compensation if your homes contents such as furniture are stolen or damaged
What is life insurance?
Life insurance- the most common form of life insurance is term insurance. This policy covers a person for a set time. If the person dies within this timespan insurance company will pay the specified amount to the next of kin or the nominated person.
What is sickness and accident insurance?
Usually taken out by self-employed people who are not covered by workers compensation and do not receive pay for sick leave. He provides cover if a person cannot work and thus receive their normal income.
What is health insurance?
People in Australia may take out additional private health insurance cover to provide special benefits such as orthodontic expenses.
What is compulsory third-party insurance?
It’s compensation for any third-party is that I injured or killed if a vehicle is involved in an accident. it is compulsory
What is third-party property insurance?
It’s generally does not cover any damage to your own car, but covers the cost if your car crashes into another car
What is third party, property fire and theft insurance?
Damage to other people’s property that is caused by your car and damaged your car that is caused by fire and theft
What is comprehensive insurance?
It will usually cover your vehicle for repairs resulting from accidental damage by affect, hail and third-party damages regardless of fault
How is the price of insurance decided?
The more you are at risk, Ichi, history of health, problems or accidents. You were charged a higher price for insurance, as you’re more of a chance of using the insurance than others
