Welcome COUNTRY Financial® proudly provides financial literacy

Welcome COUNTRY Financial proudly provides financial literacy education to your classroom. Financial literacy is important, no matter how old you are and no matter your goals. Understanding money allows you to make more informed choices and to be better able to pursue your dreams. Congratulations on taking this first step in becoming more financially savvy. Sponsored by

Financial Foundations Risk Management A Financial Beginnings Financial Education Program 2015 Financial Beginnings

Match the star with the body part and insured amount Famous Person Body Part Amount Insured America Ferrara Legs 27,000,000 Gene Simmons Taste Buds 1,000,000 David Beckham Voice 10,000,000 Troy Polamalu Smile 1,600,000 Bruce Springsteen Teeth 30,000,000 Angela Mount Hair 195,000,000 Julia Roberts Whole Body 31,200,000 Daniel Craig Tongue 9,500,000 Jennifer Lopez Behind 1,000,000

Answers Famous Person Body Part Amount Insured America Ferrara Teeth 10,000,000 Gene Simmons Tongue 1,000,000 David Beckham Legs 195,000,000 Troy Polamalu Hair 1,000,000 Bruce Springsteen Voice 31,200,000 Angela Mount Taste Buds 16,000,000 Julia Roberts Smile 30,000,000 Daniel Craig Whole Body 9,500,000 Jennifer Lopez Behind 27,000,000

But we’re not stars! Don’t worry there are other policies you might interested in like . Kidnapping Insurance Chicken Insurance Fantasy Football Insurance Cold Feet Insurance Bed Bug Insurance Multiple Birth Insurance

Why are we here today? We will: Understand what insurance is, why you need it and how it works. Learn what insurance premiums are and how they are determined. Know what liability coverage is and how it applies to auto and renters/homeowners insurance policies. Be able to explain types of insurance and when they apply to real life. Understand insurance contracts and the major decisions that have to be made when purchasing policies.

Drag picture to placeholder or click icon to add What is risk? How do we manage risk?

Calculating possible loss Do I get collision coverage on my car? Worst case- Value of the car Do I get health insurance? Worst case- Can’t determine amount

But how likely is it? That you’ll die in a Car accident 1 in 84 Plane crash 1 in 5,051 Shark attack 1 in 60,453 Train crash 1 in 156,169

Weighing the risk Insura nce Piece of mind Premium Risk Your acceptanc e Likelihood of loss Maximum exposure

Auto Disability Life Comm on types of insura nce Health Homeown ers Renters

Some of the basics Pooling money together incase of loss Risk Pooling Insurance Policy Contract between you and the insurance company The amount you pay for insurance Premium Liability Coverage to protect others for damage you cause to them

Auto Insurance How many of you drive? Do you pay for your own insurance? Are you willing to share how much?

Drag picture to placeholder or click icon to add Why do we need auto insurance?

Even a minor accident can add up to a lot Your car Other car(s) Medical bills Lost wages Pain and suffering Prosecution Legal fees & fines

We are legally required to have it if we drive! Bodily injury per person General Liability Bodily injury per accident Property damage

Breakdown of an Auto Policy Required by Law General Liability Required/ Optional Optional Collision Underinsure d motorist Comprehen sive Uninsured Motorist Personal Injury Protection (PIP) Gap insurance Rental car Roadside assistance

How do I get my car fixed? Comprehensive Chipped windshield Stolen Break in Hitting an animal Collision Even if not your car If someone else is driving your car Higher Deductibl e Lower payment

Not covered: Intentional damage Do not have owners permission Regular use of a borrowed car A car you own but do not have insured Carrying passengers for a fee Racing

What determines your premium? Age Credit Garage Gender Premi um Zip code Vehicle Type Tickets Accide nts

What to do if you get into an accident? Help injured Call police if appropriate Move car Get police report Get contact information File a claim if needed Take pictures Keep records Contact agent Get treatment if needed Do not admit fault File with DMV

Let’s put this into play

How much money is everything in your room worth? See page 7 of the Resource Guide

2 out of 3 renters do not have renters insurance Costs about 10-15 a month Covers: Personal property coverage Liability coverage Additional living expenses Optional: Flood insurance Personal articles floater

How much will I get for my belongings? Actual Cash Value 50 Replacement Cost 1000

How does the insurance company know I had the laptop? Take photos Make a video List the brand, model number and serial number Store proof in safe place

Back to liability What if your dog bites the mailman? Or you burn down the kitchen? Or someone trips walking down your stairs?

Why health insurance? It is the law Medical bills largest cause of bankruptcy No cap to exposure

Life insurance: Need it or not? Need it! You have children Probably not Single- no kids You’re married and rely on income Married and don’t rely on income You own a business Married but not employed Your estate is over tax threshold You’re retired

How much life insurance? Needs Approach Debts Education Burial Earnings Multiplier Annual income * # of Years

Disability coverage You are more likely to file a claim with disability insurance while you are working than life insurance.

Ensure you have appropriate car insurance Know when you will need life insurance Takeawa ys Maintain health insurance Be sure to always have renters/homeow ners insurance

Got it? Do you: Understand what insurance is, why you need it and how it works? Understand what insurance premiums are and how they are determined? Know what liability coverage is and how it applies to auto and renters/homeowners insurance policies? Can you explain the different types of insurance and when they apply to real life? Understand insurance contracts and the major decisions that have to be made when purchasing policies?