Financial Stewardship FINAL

Estate planning is designed to:

administer and distribute assets after death to beneficiaries.

A written and Legal document expressing how a persons property should be distributed after his or her death is:

Will

Which of the following best describes a situation of dying intestate?:

Dying without a valid will.

If you are married with children and pass away without a valid will, who would receive your estate?:

Spouse.

Insurance is a tool that can reduce your _________ risk

Economic

A ___________ gives the rights of survivorship to the other owner of a property

Joint tenancy

The purchase of insurance is a common form of _________ the insured by:

Risk transfer

Negligence occurs when someone:

Fails to act in a reasonable manner.

A nonforfeiture option guarantees that a policyholder will not loss the policy's:

Cash value

Joint ownership of assets is an effective substitute for a will. True / False

False

One of the key goals of the Affordable Health Care Act of 2010 is:

To reduce the number of uninsured citizens in the country.

While performing needs analysis and assessing the available resources to offset the economic needs, you would ignore:

Social Security survivor’s benefit.

During the past few decades, the percentage of our income spent on health care:

Has increased due to an aging U.S population.

Increasing the amount of deductible is the only way to bring down the cost of homeowner's insurance. True / False

False

Liquidity is important in an estate to pay for death costs and possible taxes. True / False

True

Living a healthy lifestyle is an example of loss prevention and control. True / False

True

People planning means providing sustenance and resources for fal members by anticipating their future needs. True / False

True

A trustee is the person who writes a will. True / False

False

Long-term care insurance provides protection against the cost of extended hospital stays. True / False

False

Floods are covered under most homeowner's insurance policies. True / False

False

A document that states the treatments a person wants if he/she become terminal is called a(n):

Living will.

The best way to buy automobile insurance is through a:

Insurance agent.

People under the age of 65 are covered by the Medicare health insurance plan if:

They receive monthly Social Security disability benefits.

The person setting up a trust is called the:

Grantor.

Homeowners policies does not provides protection for:

The personal property of tenants.

The choice to accept and bear the risk of loss:

Risk assumptions.

A _______ provision enables you to purchase the policy again at its expiration.

Renewable.

An insurance company assigns more complex loss cases to a:

Claim adjuster.

The principle of indemnity will prevent:

An insured from collecting more than what he or she has lost.

Which of the following leads to the breakup of an estate?:

Death related cost

Term life insurance is characterized by:

Consistent premiums for a specified period of time.

What is Dr. Olson's favorite part of money management?

Budgeting.