Title: Distinguish among the types, costs, and benefits of property insurance.
Course: Economics and Personal Finance (19262-I) > Section: Demonstrating Knowledge of the Role of Insurance in Risk Management

Distinguishing among the types, costs, and benefits of property insurance coverage should include

- an explanation of the function of property coverage (i.e., protecting a person from losses due to damage, theft, and liability)
- a description of the wide variety of coverage available from basic to broad (e.g., basic coverage, broad form, special form, renter, comprehensive, condominium owner)
- an explanation of the purpose of insurance floaters (i.e., providing for personal property when value exceeds standard amounts)
- an explanation of the purpose of endorsements (i.e., providing extended coverage for disasters or events not covered in a basic insurance policy)
- an explanation of the disadvantages of under-insuring and over-insuring
- an explanation of an umbrella policy.

It should also include comparing the costs and benefits of additional coverage and using a decision model to compare policies offered by different companies.