Identification should include

• defining the term risk management
• explaining the ways insurance can reduce financial risk
• distinguishing among the types, costs, and benefits of insurance coverage, including automobile, life, property, health, and professional liability
• explaining the roles of insurance in financial planning.

Process/Skill Questions:

• How can insurance reduce a person’s or business’s financial risk?
• What are advantages and disadvantages in using insurance as a risk-management strategy?
• What are some of the roles of insurance in financial planning?