General Financial Literacy


Standard 5: Students will understand general consumer safeguards and methods of risk management.

Teaching Tips Objective 1 Objective 2 All Standards

Printable Version (pdf)
This guide is intended to help teachers gain a clear understanding of the General Financial Literacy standards and objectives.

Background Knowledge Quizzes Terms Attention Getters

Standard 5
Students will understand general consumer safeguards and methods of risk management.

Objective 1 
Students will understand the role of government in protecting the consumer.

  • Explain the purposes and features of consumer protection laws.
  • Identify federal and state entities that exist to protect consumers from forms of fraud and abuse.

Objective 2 
Discuss the purposes of insurance/risk management.

  • Define common insurance options and their purposes, such as automobile, health, home owner/renter, whole/term life, long-term care and disability.
  • Define terms of a basic insurance policy, such as contract, limits of coverage, deductible, premium, grace period, and lifetime limit.
  • Discuss insurance needs at different stages of life.
  • Understand identification and designation of beneficiaries.

Background Knowledge: 

 

Quizzes:

Terms: 

Attention Getters/Hooks: 

Objective 1: Students will understand the role of government in protecting the consumer.
  • Explain the purposes and features of consumer protection laws.
  • Identify federal and state entities that exist to protect consumers from forms of fraud and abuse.
Objective 2: Discuss the purposes of insurance/risk management.
  • Define common insurance options and their purposes, such as automobile, health, home owner/renter, whole/term life, long-term care and disability.
  • Define terms of a basic insurance policy, such as contract, limits of coverage, deductible, premium, grace period, and lifetime limit.
  • Discuss insurance needs at different stages of life.
  • Understand identification and designation of beneficiaries.

TEACHING SUGGESTIONS: (Note: The following are simply suggestions or ideas to help you in teaching the General Financial Literacy class.  You WILL need to supplement these suggestions with additional resources based on your teaching style and your students’ learning styles).

ENGAGE To introduce the topic of IDENTITY THEFT, have students empty their wallets, purses, bags, etc., on their desks.  Have them find all information that tells something about who they are (their identity).  Allow students time to share with a partner what they found and their reaction to the realization of how easily their identity could be stolen.  Discuss ways they think this information can be used fraudulently.
Have students close their eyes for a moment. Tell them to imagine the following scene: It's the big day! You arrive at your state motor vehicle office, several forms of identification in hand, ready to get your driver's license. The official tells you that a driver's license has already been issued to a person with your name and Social Security number, so you cannot get one. Have students open their eyes and ask: How are you feeling? (upset, depressed, scared, angry, disappointed, confused).  Tell students that today you will explore the problem called identity theft.
Respond to J Ruben Clark quote (see slides 18-19 (ppt)). How do you feel about debt?  Are your feelings always the same towards debt?  Why?
EXPLAIN View Identity Theft & Consumer Protection PPT.
Scams and Schemes PPT. **See discussion prompts in Notes View.
View How Identity Theft Works video (2:13) As a class, discuss different aspects of identity theft that are concerning for students.
Distribute Money Talks – Privacy Please (pdf). Use it in class as needed.
Show Deter, Detect, Defend video (8:00). While watching the video, have students identify four ways to deter identity theft, three ways to detect it, and ways to defend it.
Review Identity Smart:  A Guide for Consumers to Help Protect Against Identity Theft (pdf).
Familiarize students with the background of Ponzi Schemes by viewing the Ponzi Schemes video (11:42).  Discuss the video content and clarify.
EXPLORE Locate items students are interested in purchasing in consumer publications (Consumer Report, Consumer Research, Changing Times, or Money).  Have students complete the Consumer Research worksheet (pdf), and summarize the information and their decision.
EXPAND Research the history of the Social Security number including:  Who got the first card?   Whose SSN was most stolen (hint- wallet maker)?  How is your SSN determined?   Why do you get a SSN before your first birthday and when was that procedure started? (Note: Years ago, individuals only got a SSN when they started to work.)
Debate! Using two groups of students, one representing business interests and one representing consumer interests, debate the changes they would like to see in protecting personal identifying information from identity theft.  Remember, the business side is also concerned about the cost of change.
EVALUATE Standard 3 Objective 4 Quiz (doc)
Key (pdf)
Respond to scenario prompts (See slides 7-10 (ppt))