Chapter 34: Vehicle and Property Insurance

Comprehensive insurance

________ covers damage to a policyholders vehicle caused by things other than an auto accident.

Insurance companies

________ usually recommend that homeowners insure their home for 80 percent of its market value.

Medical payments coverage

________ is also called personal injury protection.

Rider

A(n) ________ is an addition to a policy that covers specific property or damages.

Depreciation

________ is the decline in value of an asset, such as a house, equipment, or a vehicle, because of use.

Business owners

________ can get insurance to cover the costs of damage to or loss of property.

Homeowners policies

________ do not cover loss from floods, earthquakes, landslides, acts of war, or nuclear hazards.

Liability insurance

________ protects property owners from the costs of injuries to others on their property.

Collision insurance

________ covers damage to the policyholders vehicle.

Financial responsibility law

A(n) ________ requires drivers to pay for any damages or injuries they cause in an accident.

Vehicle insurance

________ offers seven types of protection:

actual cash value

The maximum amount covered is based on the ________ of the policyholders vehicle, which is the value of the automobile when it was new minus depreciation.

insurance company

A deductible is an amount in damages a policyholder must pay before the ________ pays a claim.

Liability insurance

________ protects vehicle owners from claims of injury or property damage to others in case they are held responsible for an accident.

homeowners policy

A(n) ________ covers damage to property and personal property, additional living expenses if a home is destroyed, and liability protection.

A claim is a request for payment from an insurer for any dam

ages covered by a policy