AUTOMOBILE INSURANCE: HOW IMPORTANT IS IT?

Go to:  http://www.ohioinsurance.org/teachers/pdfs/Automobile_Insurance.pdf

 1.         Introduction:  You have been working for the past year to save money for your first car. Once you have a car, the next important consideration is to purchase insurance so that protection is provided in case of loss. One snowy day on your way to school you are involved in a crash. You were tailgating the car in front of you and when they applied the brakes quickly, you swerved to miss the car but couldn’t avoid hitting its rear corner. As you swerved to avoid the crash you hit a stop sign and mailbox. Fortunately, the passengers in the other car only had minor injuries. However, you received a broken arm. If you did not have insurance, how would you pay for this damage? Are you required to have auto insurance in Ohio? What types of coverage(s) will you need to be           protected?

 2.         Provide students a copy of Chapter 1 of OII’s “Ohio Insurance Facts.” Students will use the following questions to discover the basics of automobile insurance coverage:

 •   What is an insurance policy?

 •   Under Ohio law is an auto owner required to obtain auto insurance?

 •   What is required if an auto owner does not have auto insurance?

 •   What is the minimum amount of liability insurance required to satisfy Ohio’s financial responsibility law?

 •   What type of insurance will pay for medical and funeral expenses no matter who caused the accident?

 •   What type of insurance protects you against a claim for damage to another auto or other property, for an accident in which you are at fault?

 •   What type of coverage protects you against loss resulting from an injury to a passenger, for an accident in which you are at fault?

 •   What type of coverage pays for the damage to your car caused in a single car accident?

 •   What type of coverage protects the owner from loss due to a hit- and-skip accident?

 3.         Discuss the questions as time allows.