Lesson Plan for Senior Secondary 1 - Insurance - Primary And Secondary Functions Of Insurance

### Lesson Plan: Primary and Secondary Functions of Insurance **Grade Level:** Senior Secondary 1 **Subject:** Economics/Business Studies **Duration:** 60 Minutes **Topic:** Primary and Secondary Functions of Insurance --- #### **Objectives:** 1. **Identify** the primary functions of insurance. 2. **Explain** the secondary functions of insurance. 3. **Understand** the importance of insurance in risk management. 4. **Analyze** real-world applications of insurance functions. --- #### **Materials Required:** - Whiteboard and markers - Projector and computer (for presentation) - Handouts with key points - Case study examples - Quizzes or worksheets - Small group discussion prompts --- #### **Lesson Plan Outline:** ##### **Introduction (10 minutes)** 1. **Greeting and Attendance:** - Welcome the students and take attendance. 2. **Set the Context:** - Begin with a brief discussion on what students already know about insurance. - Use an engaging question: "Can anyone tell me what happens when a car gets into an accident and there's insurance involved?" --- ##### **Main Lesson Content (35 minutes)** 1. **Presentation (15 minutes):** - **Primary Functions of Insurance:** 1. **Risk Transfer:** Explain how insurance shifts the financial burden of a loss from the insured to the insurer. 2. **Pooling of Risk:** Describe how insurance companies pool risks by collecting premiums from many insured individuals to pay for the losses of a few. 3. **Providing Certainty:** Discuss how insurance provides certainty and financial protection in the face of potential future losses. 4. **Loss Prevention and Control:** Emphasize the role insurers play in loss prevention through safety programs and incentives. - **Secondary Functions of Insurance:** 1. **Capital Formation:** Explain how insurance contributes to the accumulation of capital by collecting premiums and investing them. 2. **Economic Growth:** Discuss how insurance fosters economic development by enabling businesses to operate with lower risk. 3. **Employment Generation:** Highlight how the insurance industry generates direct and indirect employment. 4. **Promotion of Savings:** Discuss how certain insurance policies encourage saving habits among policyholders. 2. **Activity (10 minutes):** - **Case Study Analysis:** - Divide the class into small groups. - Distribute a short real-world case study that involves the utilization of insurance (e.g., natural disaster recovery, health insurance case). - Ask each group to analyze the case and identify how the primary and secondary functions of insurance apply. 3. **Group Discussion (10 minutes):** - Reconvene and discuss insights from the case study analysis. - Encourage each group to share their findings. - Tie the discussion back to the lesson objectives and real-life importance. --- ##### **Conclusion (10 minutes)** 1. **Recap and Summary:** - Review the key points covered in the lesson. - Re-emphasize the importance of understanding both primary and secondary functions of insurance in everyday life and business. 2. **Q&A Session:** - Open the floor for any questions or final clarifications. 3. **Quiz/Worksheet:** - Distribute a brief quiz or worksheet to assess students' understanding. - Collect the completed quizzes/worksheets for evaluation. 4. **Assignment (Optional):** - Assign a short homework task like an essay or a report on how insurance has impacted a specific sector (e.g., healthcare, automotive, home insurance). --- #### **Assessment:** - Participation in group activities and discussions. - Performance on the quiz/worksheet. - Understanding demonstrated through questions and feedback. --- #### **Reflective Notes (Post-Lesson):** - Note down any areas where students seemed to struggle or showed particular interest. - Adjust future lessons based on the effectiveness of the activities and overall student engagement. --- This lesson plan aims to provide Senior Secondary 1 students with a comprehensive understanding of the primary and secondary functions of insurance, reinforcing concepts through discussion, real-world application, and interactive learning activities.