Put Your Life Insurance Knowledge to the Test with Health I.Q.
If you’re like many Americans, your life insurance knowledge likely includes the fact that life insurance is a safety net. You understand, in other words, that it helps protect your loved ones from financial hardship if the unthinkable should happen to you.
If you’re a small-business owner, your life insurance knowledge may even include the understanding that life insurance is especially important for you and your family.
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But how much do you actually know about life insurance? Seven out of 10 Americans quizzed by the Life Insurance and Market Research Association, or LIMRA, failed a 10-question basic life insurance knowledge test. This lack of understanding may explain why 37.5 million Americans have no life insurance. As a matter of fact, Americans are under-insured in this category by roughly $12 trillion.
Test Your Knowledge
You can test your own life insurance knowledge with Health I.Q.’s Life Insurance Policy Basics quiz. The multiple-choice format makes answering each question easy. Simply make your best guess and read the feedback you receive carefully.
The website will either congratulate you on your knowledge or you’ll get to improve your life insurance knowledge. Either way, it’s a win for you. The Health I.Q. site will also tell you how many other Americans got each question right or wrong. In this way, you can see how your knowledge compares with that of others.
If you get a high score, well done. Hopefully, you also have the best policy for your family. If there’s room for improvement, you won’t find a better time to start learning more than right now.
Do your research. Then use the Elite points you earned from the quiz to secure a great discount rate on a comprehensive Health I.Q. life insurance policy.
A Brief History of Life Insurance
To help you bone up for your life insurance knowledge test, we’ve come up with a brief history of life insurance.
The earliest known form of life insurance appeared in about 100 BC, when a Roman military leader established a burial club among his troops. Members of the club paid for funeral expenses of other members who died unexpectedly.
After the fall of Rome, the practice disappeared for several centuries. It reemerged in fledgling form in the late seventeenth century among aficionados of Edward Lloyd’s Coffee House in London. Eventually, a small group of professional underwriters among this group established Lloyd’s of London.
The concept migrated to the American colonies during the eighteenth century. There it materialized as a fund for Presbyterian ministers to benefit their wives and children. The life insurance industry waxed and waned in concert with economic booms and busts in the United States over the next century, peaking during the boom years of post-World War II. During the 1970’s, 72 percent of adult Americans were covered by some type of life insurance policy.
More recently, however, the life insurance industry has fallen on leaner times. In 2010, for instance, less than half of American households had any life insurance coverage at all.