Health insurance covers medical care. Without it a single serious illness can cost more than a house.
Step 1: Let's Learn
Read it, or press Listen and follow the words.
Auto insurance
Auto policies combine liability, which covers damage you cause others, with optional coverage for your own vehicle.
Liability is the critical part
Damage to your own car is capped by the car value. Damage you cause others has no such ceiling.
Home and renter insurance
Home insurance covers the building; renter insurance covers your belongings. Renter policies are usually inexpensive.
Life insurance
Life insurance replaces income for people who depend on you. Someone with no dependants usually does not need it.
Disability insurance
Disability cover replaces income if you cannot work. It is more likely to be used than life insurance and is frequently overlooked.
The main categories
Health, motor, home or renters, life, and disability. Each covers a distinct risk, and some are legally required while others are optional. Knowing what each actually covers is more useful than knowing the names.
Liability is the large exposure
Liability cover pays for harm caused to others, and the potential amounts far exceed the value of the property involved. It is usually the most important component of a motor or home policy.
Renters cover is often overlooked
A landlord's policy covers the building, not a tenant's possessions or liability. Renters insurance is typically inexpensive relative to what it covers, and its absence is a common gap.
Read what is excluded
Policies define coverage by listing exclusions and limits. Flood damage, specific valuables and particular causes are frequently excluded. The exclusions determine what a policy is actually worth.
Step 2: Try It Yourself
Tap and try it out.
Health
Auto
Renter
Health has the most. It has 3400 more than Renter.
Step 3: Watch an Example
One step at a time.
Watch Rosa Decide on Life Insurance
Rosa is 22, single, with no children and no debts anyone else would inherit.
- Step 1
Life insurance replaces income for people who depend on it.
Step 4: Your Turn
Practice makes it stick.
The Premium
Problem 1 of 2
Renter insurance at $200 a year for 5 years. Total in dollars?
dollars
The Coverage
Problem 2 of 2
Which insurance covers damage you cause to others? 1 liability, 2 collision.
Which Policy
1 of 8
Which covers your belongings as a tenant? 1 renter, 2 home.
2 of 8
Which replaces income if you cannot work? 1 life, 2 disability.
3 of 8
Health insurance at $300 a month. Annual premium in dollars?
4 of 8
Auto at $100 a month. Annual premium in dollars?
5 of 8
Does someone with no dependants usually need life insurance? 1 yes, 0 no.
6 of 8
Which auto coverage has no ceiling on the loss? 1 liability, 2 collision.
7 of 8
Match each insurance type with what it protects.
Tap a card on the left to start.
8 of 8
Renter insurance at $18 a month. Annual premium in dollars?
Step 5: Quick Check
Show what you know.
Question 1 of 2
Health insurance at $250 a month. Annual premium in dollars?
Question 2 of 2
Why is liability the critical part of an auto policy?
What You Learned
- Health, auto liability and renter or home cover are the essentials.
- Liability matters most, because the loss it covers has no ceiling.
- Life insurance protects dependants; disability protects your own income.