If You Have Good Health Insurance, You Should Probably Not

question 77

True/False

If you have good health insurance, you should probably not take out medical payments coverage on your automobile policy.

---

Definitions:

Residual Value

The estimated value that an asset will have at the end of its useful life, after it has been depreciated.

Present Value

The current value of future monetary amounts or sequences of cash inflows, factoring in a specific rate of interest.

Annuity

A monetary tool that issues a predetermined sequence of payments to someone, commonly used to generate an income for those who have retired.

Earnings Rate

The rate at which a company or investment generates income relative to a specific amount of assets, capital, or equity.