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20 Cards in this Set
- Front
- Back
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Risk Management |
An organized strategy for controlling financial loss from pure risks |
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Pure Risk |
A chance that a loss may occur |
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Personal Risk |
Possible losses involving income or standard of living |
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Property Risk |
Chances of loss or harm to personal or real property |
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Liability Risk |
Possibilities of loss due to error or negligence |
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Probability |
The chance that a loss may occur |
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Cash Value |
The savings accumulated in a permanent life insurance policy that you would receive if you canceled your policy |
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Insurable Interest |
Financial interest in life or property such that, if the life or property were lost or harmed, the insured would suffer financially |
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Indemnification |
Putting an insurance policyholder back in the same financial condition as before a loss occurred |
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Insurance |
A method for spreading individual risk among a large group of people to make losses more affordable for all |
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Auto Insurance |
Insurance that provides protection to owners and operators of motor vehicles |
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Renter's Insurance |
Protect renters from property and liability risks |
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Homeowner's Insurance |
Protects property owners from property and liability risks |
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Disability Insurance |
Insurance plan that makes regular payments to replace income lost when illness or injury prevents the insured from working |
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Health Insurance |
A plan for sharing the risk of financial loss resulting from an accident or illness |
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Life Insurance |
Provides funds to the beneficiaries when the insured dies |
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Permanent Life Insurance |
Life insurance that remains in effect for the insured's lifetime and builds cash value |
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Umbrella Liability Policy |
Supplements auto and property liability coverage by expanding reimbursement limits and including some risks that were excluded in the basic coverage |
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Term Life Insurance |
Life insurance policy that remains in effect for a specified period of time |
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Personal Property Floater |
Insurance coverage for the insured's movable property wherever it may be located; it protects property without regard to its location at the time of the loss |
