Illustrate how everyone risks financial loss and how insurance shares that risk
Identify factors that impact insurance premiums and the relationship between premiums, deductibles, and coverage limits
Explain how the insurance industry uses risk pooling and math to provide insurance coverage and make a profit
Day 1 2/21/23
Required
5 points
5
Question 1
1.
What is the cost to repair an iPhone Screen?
Intro to Insurance
AppleCare+ is basically an insurance plan, and like any insurance, before you can decide if it’s a good plan to purchase, you need to understand how it works. Watch this video and answer the following questions.
Required
5 points
5
Question 2
2.
The purpose of insurance is to…
Required
3 points
3
Question 3
3.
Why is it important for insurance companies to have a large risk pool of people paying premiums?
Required
3 points
3
Question 4
4.
What role does math play in the insurance industry?
In addition to having a fixed premium, most insurance plans also have a deductible and a coverage limit. Use this infographic to answer the questions.
Required
10 points
10
Question 5
5.
Jerry has an insurance policy with a premium of $150 per month. In June, he causes an accident and receives a bill with a total cost of $6000. His deductible is $1500, and his coverage limit is $10,000.
How much money will Jerry have to pay for the accident’s bill? _______
How much total money will Jerry have to pay in the month of June? _______
Required
20 points
20
Question 6
6.
Make an assumption about the relationship between coverage limit and premium. Explain your thinking.
Required
10 points
10
Question 7
7.
After the accident, Jerry starts thinking, “Wow, that $1500 deductible is a lot to pay for all at once! Who knows when I’ll get in another accident, but I sure wish my deductible were lower!” He asks his auto insurance agent, who shows him this chart:
What is Jerry’s auto insurance agent trying to tell him? What will Jerry need to do in order to pay a lower deductible?
Required
10 points
10
Question 8
8.
Do you think Jerry should go for the lower deductible plan? Why or why not?:
How Does Insurance Work?
Required
10 points
10
Question 9
9.
Why do you think the mathematical models used by insurance companies are so complex?
Required
10 points
10
Question 10
10.
What is at stake if an insurance company’s models aren’t particularly good at predicting risk
Required
20 points
20
Question 11
11.
Provide at least two reasons why self-insurance for risks involving your car or home isn’t feasible for most Americans.
1. _______
2. _______
Day 2 2/22/23
Insurance in Your State
Your State’s Insurance Website
Use this National Association of Insurance Commissioners map to click on your state.
On the NAIC page, once you select your state, click the
button to navigate directly to the official website for your state’s insurance department. Use that website to answer the questions to the right.
Required
10 points
10
Question 12
12.
Who is in charge of your state’s insurance department?
_______
What is their title?
_______
Required
5 points
5
Question 13
13.
What is the official name of the department, agency, or office in charge of insurance regulation for your state?
Required
5 points
5
Question 14
14.
Look only at the landing page for your state’s website. What insurance-related issues are currently being prioritized in your state?
Required
10 points
10
Question 15
15.
Why might the highlighted insurance issues change seasonally or vary between states? (Look up other states on the website to see what insurance-related issues those states are concerned with.)
Required
20 points
20
Question 16
16.
Now, click around the website a bit more. After reviewing the website, what would you say are the four most useful actions you can do on your state’s website?
1._______
2._______
3._______
4._______
Health Insurance In Your State
Use the recommended links below (when provided) or do your own research to find answers to the following questions regarding health insurance coverage in your state.
Required
10 points
10
Question 17
17.
Exchanges Map Some states use the federal marketplace for residents to buy health insurance coverage, while other states have created their own marketplace. Does California use the federal or statemarketplace for health insurance purchases?
Required
10 points
10
Question 18
18.
Medicaid Map In all states, you can qualify for Medicaid, government-sponsored insurance for low-income households, if you meet eligibility based on income, household size, disability, and other factors.
With the passage of the Affordable Care Act, some states opted to expand Medicaid. Expanded Medicaid covers an even larger number of residents by generally making the threshold for qualifying based on income, set at 138% of the Federal Poverty Level. Did your state expand Medicaid?
_______
How many total people are covered by Medicaid/CHIP?
_______
By what percent did expanding Medicaid reduce the number of uninsured people in your state?
_______
Required
5 points
5
Question 19
19.
Medicare Map Medicare is another government sponsored health insurance plan that primarily covers two main groups -- retirees and people with disabilities. How many residents in your state are enrolled in Medicare?
Required
10 points
10
Question 20
20.
Do your own research! What is the average cost of health insurance in your state?
Day 3 2/23/23
Exit Ticket
Required
10 points
10
Question 21
21.
Which definition best describes an insurance premium?
Required
3 points
3
Question 22
22.
Insurance companies charge individuals different prices for coverage depending on their risk levels. Then, they collect everyone's monthly premiums and use the money to make payments when people file a claim. What is this concept called?
Required
3 points
3
Question 23
23.
Who regulates insurance companies in the United States?
Required
10 points
10
Question 24
24.
Which of the following are not true regarding insurance?