RISK AND INSURANCE
FINA 4358
Fall Semester 2001
     
Course Prerequisites: FINA 3344
Time of Class: 2:30 to 3:45 T Th
Course Description: The study of how life and health insurance is bought, sold, distributed, and priced, with special emphasis upon the role of life and health insurance in the overall personal financial plan..
Course Objectives: Upon completion of the course, the student should:

* Understand the objectives and basic strategies of personal financial planning.

* Be familiar with the life and health insurance products, currently available on the market, and understand how they fit into the overall personal financial plan.

* Understand the objectives and basic strategies of retirement planning and estate planning.

* Understand the role of life insurance in the continuation of a closely-held business.

* Be able to apply the concepts of life and health insurance in an overall case study of personal financial planning.
Text(s): CPCU 2: Personal Insurance and Financial Planning,, 1st Edition, Karen L. Hamilton, American Institute for CPCU, 1999. Available through Dr. Carol Jordan, labeled Text below.

CPCU 2: Personal Insurance and Financial Planning Course ,, 1st Edition, Karen L. Hamilton, American Institute for CPCU, 1999. Available through Dr. Carol Jordan, labeled Course Guide (CG) below.

Life and Health Basics, 17th Edition, Pictorial Publishing, 1999. Available through Dr. Carol Jordan.
Other Materials: Other reading material will come from internet sites, as assigned.
Grading Methods: There will be eight (8) quizzes, each of which will count as 10 percent of the final grade, and one comprehensive final, which will count as 20 percent of the final grade. If there is an excused absence, the other quiz and exam grades will be weighed proportionately more heavily.
The grading scale is as follows: A 90 -100%, B 80 - 89%, C 70 - 79%, D 60 - 69%, F 0 - 59%.

QUIZ POLICY:

Quizzes administered during the course shall be announced and there will be no make-ups. In the case of documented (on letterhead), approved absences, the other quiz or exam grades will be counted proportionately more heavily. Normally, the class will begin with a quiz on Thursday. Each unexcused absence counts as 10 points off the next quiz. An unexcused absence from a quiz also counts as zero.

TEST POLICY:

There will be a comprehensive final examination in this class. The material covered on the quizzes and in the comprehensive final exam is indicated in the course content section. The quizzes are given during regular class periods and may consist of multiple choice questions, short answer, or essay questions. See Attendance Policy. Make up exams are administered only to students who have received approval from the professor prior to the test date. The make-up exam must be taken within one week of the student's return to class. Make-ups are different from exams given in class. A grade of zero will be assigned for an exam missed due to an unexcused absence. Exams will be returned in class. Test dates will be announced at least one week prior to the exam date. Comprehensive final examination chapters will be announced.

Mid-term Grade Policy In accordance with University policy, mid-term grades will be reported for each student. Your mid-term grade will be determined by your performance on tests and quizzes administered prior to the mid-term grade due date. Since there are several major quizzes and assignments, your mid-term grade only represents a percentage of your final grade. Therefore, you have ample time to either improve your mid-term grade or let it fall significantly.
Class Procedure and Requirements: There are no social promotions! You must earn a passing grade by meeting course objectives. The approach used will be classroom lecture covering concepts and problem solving technique(s). Class participation and discussion is strongly encouraged. I believe participation is essential for this course to be interesting and for students to get the maximum benefit from the course. If you have a question, ask it! It will likely benefit us all. End-of-chapter questions and problems are assigned (in class) to assist with your comprehension of chapter materials and in your preparation for the regularly schedule quizzes. While you will not be required to hand these in, you should complete them when assigned and be prepared to discuss them during class.

The student will be expected to attend scheduled class meetings, complete reading and problem assignments prior to class.

COURSE CONTENT:

Week 1 -- August 20-24 An Introduction to Personal Financial Planning.

Readings: Chapter 1 (Text), Assignment 8 (CG). Quiz 1.

Week 2 -- August 27-31 Health Insurance Planning

Readings: Chapter 2 (Text), Assignment 9 (CG). Quiz 2.

Week 3 and 4 -- September 4-14 Life Insurance Planning

Readings: Chapter 3 (Text), Assignment 10 (CG). Quiz 3.

Week 5 and 6 -- September 17-28 Investment Planning

Chapter 4 (Text), Assignment 11 (CG). Quiz 4.

Week 7 and 8 -- October 1-12 Retirement Planning

Chapter 5 (Text), Assignment 12 (CG). Quiz 5.

Week 9 and 10 October 15-26 Estate Planning

Readings Chapter 6 (Text), Assignment 13 (CG), Course reading: pp 280-283. Quiz 6.

Week 11 and 12 October 29-November 9 Business Continuation Planning

Readings: Chapter 7 (Text), Assignment 14 (CG). Quiz 7.

Week 13 -- November 12-16 Case Study

Chapter 8 of (Text), Assignment 15 (CG). Quiz 8.

Week 14 -- Thanksgiving Week

Week 15 -- November 26-30 Life and Health Basics

Week 16 -- Final Exam Week

Use the examination from Life and Health Basics as the examination.

CLASSROOM ADMINISTRATION

Students are expected to:

1. Punctually attend all scheduled classes. Students who arrive after class begins will be counted absent. (See attendance policy.)

2. Be responsible for all instructions and assignments given in class as well as for the supporting textbook content.

3. Read the textbook material before the lecture. This leads to a better understanding of the lecture as well as the opportunity to ask questions about material(s) in the text that were unclear or that the student did not understand.

4. Not wear hats or sunglasses in the classroom.
Daily Assignment See above
Dates to Remember: First day of class: August 21
Deadline for adding course August 27
Deadline to process administrative drops August 27
Holiday September 3
Mid-term grades due October 5
Last day to drop a course October 12 without academic penalty
Last day to withdraw October 12 without academic penalty
No Class October 26
Holiday November 12
Holidays November 21 – 25
Dead day December 5
Final Examination Monday December 10 11:00 AM to 1:00 PM
Additional Services: AMERICANS WITH DISABILITIES ACT: Any student whose disabilities fall within ADA must inform the instructor at the beginning of the term of any special needs or equipment necessary to accomplish the requirements for this course. 
Attendance Policy: 1. Class Roll: Class roll will be taken each Tuesday, at the beginning of the class session. Unexcused absences will count as a 20 point penalty against following quiz grade.

2. Attendance is mandatory. If a student misses a class it is his/her responsibility to obtain all information and materials presented (including materials covered, handouts, skills learned, and homework assignments) during his/her absence. I do not repeat lectures nor perform the tutoring function for students who are absent. Each absence will make the successful completion of this course more difficult, since finance courses are cumulative in nature and days missed from class are lost knowledge. Exams will include not only the material from the assigned chapters in the text, but also from any other materials covered in class lectures.

3. Excused absences: Excused absences have the following characteristics:

a. Professor was informed prior to the absence.

b. Professor determines that the absence is excused.

c. Absence is of the following type:

1. Participation in a documented official university function that does not permit the student’s class attendance (e.g., participation in athletic events, field trips, etc.)

2. Severe illness: A hospital stay, or a doctor's excuse saying that it is impossible for student to attend class(es). Please note, this does not include scheduled medical appointments nor driving someone else to doctor.

3. Death of immediate family member (grandparent, parent, sibling, or child)

4. Appearance in court

5. Personal situations that are approved by the professor in advance of the time the student will to be absent.

d. Written documentation (on letterhead) must be provided.
Incomplete Work Policy: Any incomplete work at the end of the term will not be accepted unless the student can provide acceptable and clear documentation prior to grades being submitted to the Registrar.
Cheating Policy: If you are caught cheating, you will receive a course grade of "F".