_ Direct Your Learning jerview of Personal Insurance fe fee cc ‘After ieaming the content ofthis chapter, you shouldbe abl to: Analyze the property loss exposures that individuals and families might face in regard to each of the following: © The property exposed to loss * The causes of loss affecting property © The financial consequences of property losses BE Analyze the liability loss exposures that individuals and families might face in regard to each of the following: © The possibility of a claim for money damages * The financial consequences of liability losses ® Describe how individuals and families can use each of the following: ‘© Steps in the risk management process + Insurance as a risk management technique * Other techniques to teat their loss exposuresDevelop Your Perspective What are the main topics covered in the chapter?” We all face personal lass exposures. This chapter identifies those personal loss ‘exposures and describes how the exposures can be addressed by various risk ‘management techniques, including insurance. An overview is provided of the personal insurance policies that are addressed in depth in the remaining chapters of the texe Eraluate the role that personal insurance plays n protecting individuals and families, * How would sociery change if personal insurance were not available? ‘Why is itimportant to lear about these topics? Personal insurance policies address the loss exposures faced by individuals and families. Howeves, insurance might not be the only method of effectively addressing such loss exposures. Risk management involves identifying and addressing loss exposures using a vatiety of techniques. ‘Assess the fire loss exposure for homeowners. * Although insurance is an excellent risk management technique for auddressing this exposure, whee additional techniques might be applied to reduce homeowners insurance Premiums or lower the chance of loss? | ‘How can youl use what you will learn? Examine your ov loss exposures: * What risk management techniques are you already applying to address | exposures? | * What additional risk management techniques might you consider applying?