1. Life Insurance - Identify two uses and two characteristics of term, whole life, universal life, and variable universal life insurance.  Explain when you might have a need for life insurance. What type of policy would you choose and why?

Estimate the cost for a $100,000 term (age 25), whole life policy (age 25), universal life (age 25), and variable universal life (age 25).  In addition, if you have a life insurance policy, then list the type of policy you have protecting the exposure, name of the company, premium payment, amount of coverage.

If a person dies, what sources could be available to provide income to the family?

2.?Health Insurance - Complete A or B.

A.?List the type of policy you have protecting the exposure,

name of the company, premium payment - employer/employee, deductibles, co-payments, stop-loss, and limits of coverage.

Explain a Health Maintenance Organization (HMO), a

Preferred Provider Organization (PPO), a Point of

Service (POS) Plan, a High Deductible plan and a Health Savings

Account.

B.?Identify the amounts for the underlined terms for Ball State's Health Insurance Program.

List the following:  Premiums (single and family, employer/employee payments), deductibles (single and family), co-payments, and out of pocket maximum.  Also explain a Health Maintenance Organization, Preferred Provider Organization, a Point of Service Plan, a High Deductible plan and a Health Savings Account.

3. Explain the characteristics of a 401(k) plan, a Traditional Individual Retirement Account (IRA) and the Roth IRA.  What percent or amount of your income will you contribute to a 401(k) plan?  What are the limits for a 401(k) plan and an IRA?

Annuities - explain the purpose of an annuity.  How long would it take for you annuity to double at a 6% investment gain.

4. List three mutual funds (one stock, one bond, and one money market fund).  For the stock mutual fund, identify the fund manager, returns (1 year, 5 year), top ten holdings, and the fund objective. Identify the fund manager and returns for the bond fund.  For the money market fund, identify the yield.  Allocate your retirement funds between stock, bond, and money market mutual funds.  List one Target Retirement date fund and list the asset allocation.  Will you choose a Target Retirement Date fund or choose your own asset allocation?

Final, questions 5-8. - Fall 2012??Type answers

5. Why was Social Security created?  http://www.ssa.gov - under retirement, go to calculate your benefits, quick calculator and input a birth date (must be a person at least 21) and an income amount.  Identify the amount for the retirement benefit, survivor benefit and the disability benefit.  What percent of your income will be replaced by the retirement benefit from Social Security (take the monthly retirement benefit amount multiply by 12 and divide by the income amount that you inputted)? 

How many people and how many plans does the PBGC cover? What does PBGC insure?  Identify one company and how many of their participants were covered by the PBGC.  Go to Workers and Retirees and then Maximum Monthly Guarantees.  Identify the maximum benefits in 2010 for a 65 year old.

Explain the diagram on Lloyds posted under Announcements on Blackboard.  Go to Lloyds and find out who insures through Lloyds.

6.? Homeowners

a. List the name of the policy protecting the exposure, name of the company, premium payment, deductibles, and dollar limits for each coverage.

6b.?Optional, if you do not have a homeowners policy.

Use an amount between $60,000 and $1,000,000 for the amount of coverage for A of an HO-3.  List coverages B, C, and D and calculate limits for these coverages.  List coverages E. and F. and limits for these coverages. Estimate a premium for your policy.  What endorsement would you purchase and why?  What are three exclusions to the HO-3?

a & b. What is an HO-4 Policy?  List all of the coverages in an HO-4 Policy.  Estimate the cost of an HO-4.

7.?Auto Insurance

a. List and EXPLAIN the coverages on your auto policy.  Name of the company, premium payment for each coverage, any deductibles, and dollar limits for each coverage.

7 b.?Optional, if you do not have an auto policy,

1) explain bodily injury liability per person per accident; explain bodily injury liability per accident,

2) explain property damage liability,

4) explain medical payments coverage,

5) explain uninsured motorists coverage; 6) explain underinsured motorists coverage,

7) explain uninsured motorists property damage,

8) explain physical damage collision, and

9) explain physical damage other than collision.

What limits would you choose on the first seven coverages and what deductibles would you choose on the physical damage coverages?