Unit 5 Vocab

2. The maximum amount you're allowed to borrow on a credit line.
5. The potential for loss or negative outcomes.
7. Insurance reduces financial risk from medical costs.
8. The amount you pay out-of-pocket before insurance kicks in.
10. A record of your borrowing and repayment history.
11. Insurance protects homes, businesses, and belongings.
16. Choosing to take on the risk yourself.
17. A request to an insurer for payment after a covered loss.
19. Insurance provides financial support to beneficiaries after death.
20. The cost of borrowing money.
21. A way to protect against financial loss by paying premiums to a company.

1. Helps cover losses from stolen personal or financial information.
3. The smallest payment you can make without being “in trouble” with your lender.
4. Insurance protects against lost income if you can’t work.
6. Borrowed money you agree to pay back later with terms and interest.
9. Steps taken to lower the chance of loss.
10. The specific protections and limits in an insurance policy.
12. Moving risk to someone else, often through insurance.
13. The amount paid for an insurance policy.
14. How much risk a person is comfortable taking.
15. A number that shows how risky you are as a borrower.
18. Insurance covers damage or injury you cause to others.