Insurance 101
Having trouble keeping track of all the different types of insurance? Review these quick definitions:
• Auto: This is designed to protect your vehicle and you as a driver. There are many different plans, some of which include paying for repairs to another driver’s vehicle if you are in an accident. Depending on the value of your car, you may also want collision insurance, which covers certain costs if your vehicle is damaged.
• Homeowners: Designed to protect your home and property, it covers the costs of damage in cases such as theft and fire.
• Health: This helps pay medical bills, and can include things like prescriptions or coverage for major medical costs. All plans are different and there are lots of options, so make sure you know what you’re getting before purchasing a plan.
• Life: Life insurance provides financial protection and income replacement in the case of death. A sum of money is given to a designated person, also known as a beneficiary, upon the death of the person holding the insurance policy.
• Personal Property: It’s not just your health or car that need insurance; your personal belongings do too. This coverage allows you to insure important and expensive items, like a wedding ring or antique painting.
• Travel: Travel insurance ensures you have access to quality medical care anywhere you go. Some international policies even include the option of being airlifted out of the country if you get extremely sick.
Using the type of insurance you have been assigned, research two different insurance policies you feel could work for your situation. Then fill in features of those two policies in the table below. Use the website below to conduct your search.
What type of insurance have you been assigned to research?
Auto Insurance
After researching insurance policies, record the two options you think would work best for your scenario here.
GEICO and State Farm
Record the specific features of the two policies you have chosen below.
OPTION A OPTION B
Name of company GEICO State Farm
Deductible $0 - $1500 Customer makes choices
Co-pay None None
Premium Reductions in cost Lower by $489 per year
What are the benefits
and disadvantages? Wide variety of plans Great numbers
(e.g., high deductible, Mixed reviews May stop serving an
lots of coverage, etc.) area
Which of the two plans would be the best choice for your circumstances and why?
GEICO would be the best choice for my circumstances because it offers more for my situation.
When There’s a Will, There’s a Way
Part One
A will ensures that your wishes are carried out and your assets protected after you are no longer able to carry out and protect them yourself. Working with your group, research the important components of a will. What does a will actually do? Do you have to be a certain age to create one? Can you make one when you are in ill health? Write a list of the important elements you discover.
The important aspects of a will are:
• Who gets your belongings after death
• No specific age
• Can be changed
• You can make one when you’re sick
• Basic part of an estate plan
• Be careful when creating one
• Meet with your lawyer
Part Two
Imagine you are going to create a will that outlines the distribution of the following assets:
1. Laptop 6. Movie collection
2. Smartphone 7. Jewelry or watches
3. Car 8. Clothing
4. CD collection 9. Video game console
5. Favorite book 10. Digital camera
Who should receive your assets? Use the space below to designate who would get each of the assets listed above and why?
1. Spouse
2. Daughter
3. Spouse
4. Children
5. Children
6. Children
7. Daughter/Spouse
8. Children
9. Son
10. Spouse
2. Who will be the executor of your estate? That is, who will be the person that is responsible for making sure your wishes are carried out and your assets distributed, as you want? Why did you choose that person?
My spouse will be the executor of my estate because I would trust him enough to carry out my wishes.
3. Why do you think it is important to create a will?
I think it’s important to create a will because if you die and you have no will, no one would know where all of your things would go and there would be major issues.
Having trouble keeping track of all the different types of insurance? Review these quick definitions:
• Auto: This is designed to protect your vehicle and you as a driver. There are many different plans, some of which include paying for repairs to another driver’s vehicle if you are in an accident. Depending on the value of your car, you may also want collision insurance, which covers certain costs if your vehicle is damaged.
• Homeowners: Designed to protect your home and property, it covers the costs of damage in cases such as theft and fire.
• Health: This helps pay medical bills, and can include things like prescriptions or coverage for major medical costs. All plans are different and there are lots of options, so make sure you know what you’re getting before purchasing a plan.
• Life: Life insurance provides financial protection and income replacement in the case of death. A sum of money is given to a designated person, also known as a beneficiary, upon the death of the person holding the insurance policy.
• Personal Property: It’s not just your health or car that need insurance; your personal belongings do too. This coverage allows you to insure important and expensive items, like a wedding ring or antique painting.
• Travel: Travel insurance ensures you have access to quality medical care anywhere you go. Some international policies even include the option of being airlifted out of the country if you get extremely sick.
Using the type of insurance you have been assigned, research two different insurance policies you feel could work for your situation. Then fill in features of those two policies in the table below. Use the website below to conduct your search.
What type of insurance have you been assigned to research?
Auto Insurance
After researching insurance policies, record the two options you think would work best for your scenario here.
GEICO and State Farm
Record the specific features of the two policies you have chosen below.
OPTION A OPTION B
Name of company GEICO State Farm
Deductible $0 - $1500 Customer makes choices
Co-pay None None
Premium Reductions in cost Lower by $489 per year
What are the benefits
and disadvantages? Wide variety of plans Great numbers
(e.g., high deductible, Mixed reviews May stop serving an
lots of coverage, etc.) area
Which of the two plans would be the best choice for your circumstances and why?
GEICO would be the best choice for my circumstances because it offers more for my situation.
When There’s a Will, There’s a Way
Part One
A will ensures that your wishes are carried out and your assets protected after you are no longer able to carry out and protect them yourself. Working with your group, research the important components of a will. What does a will actually do? Do you have to be a certain age to create one? Can you make one when you are in ill health? Write a list of the important elements you discover.
The important aspects of a will are:
• Who gets your belongings after death
• No specific age
• Can be changed
• You can make one when you’re sick
• Basic part of an estate plan
• Be careful when creating one
• Meet with your lawyer
Part Two
Imagine you are going to create a will that outlines the distribution of the following assets:
1. Laptop 6. Movie collection
2. Smartphone 7. Jewelry or watches
3. Car 8. Clothing
4. CD collection 9. Video game console
5. Favorite book 10. Digital camera
Who should receive your assets? Use the space below to designate who would get each of the assets listed above and why?
1. Spouse
2. Daughter
3. Spouse
4. Children
5. Children
6. Children
7. Daughter/Spouse
8. Children
9. Son
10. Spouse
2. Who will be the executor of your estate? That is, who will be the person that is responsible for making sure your wishes are carried out and your assets distributed, as you want? Why did you choose that person?
My spouse will be the executor of my estate because I would trust him enough to carry out my wishes.
3. Why do you think it is important to create a will?
I think it’s important to create a will because if you die and you have no will, no one would know where all of your things would go and there would be major issues.