Lý thuyết tài chính - Protecting your property

PFIN4Protecting Your Property10Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. GITMAN/ JOEHNK/ BILLINGSLEY2Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Discuss the importance and basic principles of property insurance, including types of exposure, indemnity, and co-insuranceIdentify types of coverage provided by home owner’s insuranceSelect the right home owner’s insurance policy for your needsAnalyze the coverage in a personal automobile policy (PAP) and choose the most cost-effective policyLEARNING OUTCOMESPFIN4 | CH103Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Describe the other types of property and liability insuranceChoose a property and liability insurance agent and company, and settle claimsLEARNING OUTCOMES (continued)PFIN4 | CH10Basic Principles of Property Insurance4Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Property insuranceProtects real and personal property from losses caused by various perilsLiability insuranceProtects against financial consequences from the insured’s responsibility for property lossPFIN4 | CH10Types of Exposure5Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Exposure to property lossProperty insurance contracts define:Property covered Perils: Cause of lossProperty inventoryIdentifying perilsLiability Negligence: Failing to act in a reasonable mannerPFIN4 | CH10Principle of Indemnity6Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10States that an insured may not be compensated with an amount exceeding the insured’s economic lawsActual cash value: Value assigned to an insured property determined by subtracting the amount of physical depreciation from its replacement costRight of Subrogation: Insurer’s right to request reimbursement from person who caused the loss or that person’s insurerPrinciple of Indemnity7Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Other insurance clause States that if a person has more than one insurance policy on a property, each company is liable for only a prorated amount of the lossExhibit 10.28Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. MKTG4 | CH10A Guide to Home Owner’s PoliciesProperty and Liability Insurance Policies9Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Comprehensive policyCovers all perils unless they are specifically excluded Named peril policyIndividually names the perils coveredPerils Covered10Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Section IPerils against which the home and its contents are insuredSection IIIncludes a coverage called comprehensive personal liability Offers protection against personal liability resulting from negligence Provides limited amount of medical coverageFactors Affecting Home Insurance Costs11Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Type of structureLocation of homeCredit scoreOther factors Property Covered12Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Home owner’s policy offers property protection under Section I for:Dwelling unitAccompanying structuresPersonal property of home owners and their familiesPersonal Property Floater (PPF)13Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Provides blanket or scheduled coverage of expensive personal property not adequately covered in a home owner’s policyRenter’s Insurance14Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Form HO-4Covers contents of a house but not the structure itself Form HO-6 Required by the owners of condominium unitsIncludes a minimum of $1000 in protection for any building alterations paid for by the policy holderCoverage15Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Types of losses coveredDirect loss of propertyIndirect loss occurring due to loss of damaged propertyAdditional expenses resulting from direct and indirect losses Section IDamage of the house by an insured peril leads to the insurer paying reasonable living expensesCoverage16Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Section IIHome owner’s policy covers:Cost of defending the insured Reasonable expenses incurred by an insured in helping the insurance company’s defensePayment of court costsCoverage17Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Persons coveredPersons named in the policy and members of their families residing in the houseGuests of the insured with limited coverageLocations coveredExtended worldwide when off premises temporarilyFactors Influencing Insurance Payment Amount for a Loss18Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Replacement costAmount necessary to repair, rebuild or replace an asset at current pricesPolicy limitsDeductiblesPersonal Automobile Policy (PAP)19Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Designed to be easily understood by the typical insurance purchaserLiability coverageBodily injury liability losses: Protects the insured against claims made for bodily injuryProperty damage liability losses: Protects the insured against claims made for damage to property Medical payments coveragePersonal Automobile Policy (PAP)20Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Uninsured motorists coverage: Serves the victims of accidents injured by uninsured, underinsured, or hit-and-run motoristsUnderinsured motorists coverage: Covers damages in accidents involving liable underinsured motoristPersonal Automobile Policy (PAP)21Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Coverage for damage to the vehicleCollision insurance: Pays for collision damage to an insured automobileComprehensive automobile insurance: Protects against loss to an insured automobile caused by any peril other than collisionFactors Affecting Automobile Insurance Premiums22Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Rating territoryAmount of use the automobile receives Personal characteristics of the driverType of automobileInsured’s driving recordFinancial Responsibility Laws23Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Require motorists to:Buy a specified minimum amount of automobile liability insuranceProvide other proof of comparable financial responsibilityOther Property and Liability Insurance24Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Supplemental property insurance coverageEarthquake insuranceFlood insuranceOther forms of transportation insurancePersonal liability umbrella policyProvides excess liability coverage and additional coverage for home owner’s and automobile insuranceProperty and Liability Insurance Agents25Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Captive agent: Represents a single insurance company and is its employeeIndependent agent: Places coverage with any company with which he or she has an agency relationshipSelecting an agent involves questions to be asked about the company’s:Financial soundnessClaims-settlement practicesGeographic range of operationsFirst Steps Following an Accident26Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Record contact details of all witnesses, drivers, occupants, and injured partiesRecord license numbers of the automobile involvedNotify law enforcement officers and insurance agentSteps in Claim Settlement27Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Notice to insurance companyInvestigationProof of lossClaims Adjustment28Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. PFIN4 | CH10Insurance company will assign a claims adjustor if the loss is complexClaims adjustor: Insurance specialist who works for the insurance company or for an adjustment bureau29Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Property insuranceLiability insurancePerilNegligencePrinciple of indemnityActual cash valueRight of subrogationCo-insuranceComprehensive policyNamed peril policyKEY TERMSPersonal property floater (PPF)Replacement costPersonal automobile policy (PAP)Bodily injury liability lossesProperty damage liability lossesUninsured motorists coveragePFIN4 | CH1030Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Underinsured motorists coverageCollision insuranceComprehensive automobile insuranceNo-fault automobile insuranceFinancial responsibility lawsPersonal liability umbrella policyCaptive agentKEY TERMSIndependent agentClaims adjustorPFIN4 | CH1031Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. SUMMARYProperty insurance covers against losses of real and personal property caused by calamitiesComprehensive policies cover all perils but only individual perils are covered in named peril policiesHome owners can choose HO-1, HO- 2, HO-3, HO-5, or HO-8 to suit their needsTypes of automobile insurancePersonal automobile policy, collision insurance, and comprehensive automobile insurance PFIN4 | CH1032Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. SUMMARYOther property and liability insuranceSupplemental property insurance coveragePersonal liability umbrella policySteps to claim settlementProvide notice to the insurance companyInvestigation by company personnelProvide proof of lossPFIN4 | CH10