Untitled Quiz

Credit issued for a short period, typically 30 days or less, often used for immediate purchases at retail stores.

Credit provided for specific purchases, repaid over a longer period (e.g., a few years), with regular payments of interest and principal.

Credit like credit cards, allowing borrowing up to a set limit (e.g., $1000), with flexible repayment and interest charges.

Credit allows individuals to avoid delaying large purchases until they save enough money. It also eliminates the need for carrying cash or writing checks.

Credit can lead to excessive spending, resulting in a large accumulation of debt, potentially creating financial problems.

Credit cards can encourage more impulsive purchases due to a feeling of less financial burden, leading to larger spending.

Credit card users may only pay the minimum amount each month, leading to a gradual accumulation of debt that can become overwhelming.

The main disadvantages of using credit are the potential for excessive spending and the accumulation of debt, which can lead to financial difficulties.

A family formed when a divorced spouse with children remarries, and the new spouse also has children. Additional children may be born after the remarriage.

Both family heads in a blended family need substantial life insurance coverage.

A family consisting of one parent raising children alone.

Single parents require significant life insurance to protect their children's financial security in case of their death.

A household where both spouses contribute financially.

Both income earners in a two-income family with children need substantial life insurance to safeguard the family's financial stability in case of one spouse's death.

A family where a son or daughter provides financial support or care to both their children and their aging parents.

The working spouse in a sandwiched family needs a substantial amount of life insurance to ensure continued financial support for the family.

A type of life insurance that provides coverage for your entire life, with premiums typically paid until death.

The payments you make for your life insurance policy. The true cost of insurance is the premiums minus any benefits you get back, like cash value or dividends.

The accumulated savings component of a cash-value life insurance policy that you can withdraw or borrow against.

Payments made by some life insurance companies to policyholders, usually based on the company's profits.

A method for calculating the cost of life insurance that adds premiums paid and subtracts dividends and cash value received at the end of the policy period.

A more accurate method for calculating the cost of life insurance that considers the time value of money.

A clause in a life insurance policy stating that the policy and any attached documents represent the complete agreement between the insurer and policyholder.

A type of life insurance that was traditionally sold through agents who visited policyholders at home.

In any accident, prioritize the safety of everyone involved. Focus on immediate needs like checking for injuries and ensuring the scene is protected from further harm.

Take photos of the accident scene, including vehicles and license plates. This documentation is vital for providing evidence in potentially needed legal claims.

If possible, move your vehicle off the road to avoid additional accidents. If unable to move, stay in your vehicle and wait for investigators.

When authorities arrive, allow them to manage the situation. Gather their names and information for future reference.

Share your details (name, address, phone number, insurance information, license details, etc.) with the other driver and vice versa.

These laws require vehicle owners to prove they can cover damages caused in accidents, usually through insurance, bonds, or deposits.

Regulations requiring vehicle owners to carry specific minimum insurance coverage to protect themselves and others in case of accidents.

Methods for resolving disputes outside traditional court proceedings, like mediation or arbitration, often used for accident claims.

Selecting a life insurance company requires careful consideration of several factors to ensure you find affordable coverage that meets your needs.

The financial stability of an insurance company is crucial, indicating its ability to pay claims when needed. It provides peace of mind for beneficiaries.

The Claim Settlement Ratio reflects how effectively an insurance company handles claims. A higher CSR means they have a good track record of paying claims.

Customer satisfaction ratings provide insight into how satisfied policyholders are with an insurance company's services.

Licensing and regulation are essential for choosing a reliable life insurance company. They ensure the company meets legal standards and provides adequate protection.

Comparing premium rates among different insurers is vital to find affordable coverage. Use online tools and calculators to estimate premiums based on your age, health, and desired coverage amount.

The Personal Auto Policy (PAP) outlines key provisions and changes for personal auto insurance, including exclusions for car-sharing platforms like Uber or Lyft.

The PAP is a significant component of personal risk management programs, ensuring your vehicle and potential liabilities are covered in various situations.

A clause in an insurance policy that helps resolve disputes about the amount of physical damage to a vehicle.

The process involves both the insurer and insured selecting an independent appraiser. If they can't agree, they choose an umpire to make the final decision. Two out of three parties (the two appraisers and the umpire) decide, and their decision is binding.

Both the insurer and insured pay for their own appraiser, and the umpire's expenses are shared equally.

No, agreeing to the appraisal process doesn't mean you lose other rights under your insurance policy.

If vehicles are drivable after an accident, move them off the road to prevent further accidents.

Use flares or cones and turn on hazard lights to make your vehicle visible after an accident.

Exchange names, contact info, and insurance details with the other driver.

Remain calm after an accident, gather information, and contact the proper authorities (like MMDA, traffic enforcement) for guidance.