unit 3 topic 5

Question 1

fully comprehensive insurance

Answer 1

covers if you damage your car, someone else’s car or injure someone, regardless of who is at fault

Question 2

home and contents insurance

Answer 2

home - covers the physical building from things such as floods or fire
contents - covers the items inside the house even when they are used elsewhere

Question 3

life assurance and insurance

Answer 3

assurance - an ongoing policy to pay a lump sum upon death
insurance - policy for set period of time to pay lump sum if you die in that period

Question 4

travel insurance

Answer 4

protects individuals or groups abroad

Question 5

health insurance

Answer 5

covers individuals, families or employees against medical expenses

Question 6

pet insurance

Answer 6

protects owners against all expenses e.g. sick or injured animal.

Question 7

excess

Answer 7

the amount the person has to pay towards the overall cost of an insurance claim

Question 8

3rd party insurance

Answer 8

covers damage to another persons vehicle or property or injury to someone else in an accident

Question 9

car insurance

Answer 9

it is illegal not to have this as it protects the driver, passengers and any other road users

Question 10

premiums

Answer 10

regular payments made by an individual to an insurance company for protectionc

Question 11

claim

Answer 11

formal request to policyholder to their insurance company asking for payment after a covered incident