1) Deductibles are requirements that the insured pay an initial portion of any loss.
2) Professional networking is the process of establishing and using contacts to obtain
and exchange career information.
3) As a family matures, savings and investments may exceed potential losses from
premature death and eliminate the need for life insurance.
4) When you leave an employer, you have the right to continue your health insurance
coverage for a specified period of time by paying the premiums yourself.
5) Capital improvements are costs incurred in making changes in real property that add
to its value.
6) Important factors in determining the amount received from a defined-benefit pension
plan are number of years worked in the firm and average income.
7) The premiums for newly purchased cash-value policies are always higher than those
for term policies providing the same amount of coverage.
8) A corporate bond rated AAA is a safer investment than a corporate bond rated BBB.
9) Fortuitous means unexpected both in terms of timing and magnitude.
10) Successful investors in speculative investments must always be alert to market
developments regarding their investments.
11) You may not disinherit a spouse unless that person’s right to inheritance was
voluntarily given up in a signed agreement.
12) The entire balance charged on travel and entertainment cards must be repaid within
30 days.
13) The coordination-of-benefits clause prohibits one from collecting more than 100
percent of actual losses in health-related cases.
14) Divorce could affect the creditworthiness of both partners.
15) Suggestions and recommendations regarding funeral and burial instructions, organ
donation wishes, material to be included in the obituary, contact information for
relatives and friends, and other information useful to the survivors (such as the location
of important documents) are best accomplished via a will.
16) By law, employers are not permitted to “match” all or part of their employees’
contributions, even if they wish to encourage saving for retirement.
17) Life insurance provides protection against dying too soon, and cash-value life
insurance does this best.
18) With open-ended credit, credit is extended in advance of any transaction, and the
borrower must reapply each time credit is desired.
19) The grace period is the time period between the posting date of a transaction and the
billing date.
20) Typically if your home is foreclosed you will owe any remaining debt between what
the home is sold for at auction and the amount owed on the mortgage.