Insurance, pensions and taxes
The path is primarily for ages 13–18 and adult beginners. Younger children can learn alongside a parent or teacher. Levels describe prior knowledge, not a guarantee of suitability for every age.
What you will learn
- Compare two fictional policies with identical cover: A costs ILS 600 yearly with an 800 deductible; B costs 900 with a 300 deductible. Calculate cost with no claim and with one covered loss of 2,000. No single answer suits everyone.
- Make a fictional table with event, damage, insurance type to investigate and one coverage question. Use these three examples without names, medical records or real policies.
- For two fictional insurance cards, record indemnity or fixed benefit, covered event, limit, deductible and an exclusion. Mark missing facts before deciding whether they overlap.
Practice example
How insurance works: premiums, cover and deductibles
Invented policy: ILS 60 monthly premium, a covered loss of 3,000 and a fixed deductible of 500. Assume a sufficient coverage limit and no other reductions. The insurer pays 2,500; the insured pays 500 of the loss. Premiums are a separate cost: 60 × 12 = 720 per year. If the covered loss were only 300 with a 500 deductible, no insurer payment arises under these assumptions. These are not real product prices or terms.
Compare two fictional policies with identical cover: A costs ILS 600 yearly with an 800 deductible; B costs 900 with a 300 deductible. Calculate cost with no claim and with one covered loss of 2,000. No single answer suits everyone.
Insurance types: health, life, home, motor and travel
Three imaginary cases: damage to a home’s wall differs from theft of a computer inside; the first concerns buildings and the second contents, if the event is covered. Damage to another car’s bumper is property damage, so do not assume compulsory bodily-injury cover pays for it. Medical treatment abroad requires checking travel cover for the dates and circumstances. Identifying the branch is only a starting point: conditions, exclusions and documents still matter, and claim approval is not guaranteed.
Make a fictional table with event, damage, insurance type to investigate and one coverage question. Use these three examples without names, medical records or real policies.
Recommended sequence
- How insurance works: premiums, cover and deductibles
Insurance is an agreement to pay a premium for cover against specified events. It helps manage possible losses; the terms determine when and how much is paid.
Level 4 · 5 minutes to read - Insurance types: health, life, home, motor and travel
Different insurance products address different risks. Start with what a product covers, who receives payment and on what terms, rather than relying on its name.
Level 4 · 6 minutes to read - Reading a policy and understanding overlapping cover
Reading a policy means checking covered events, exclusions, price and possible payment. Similar policies are neither automatically redundant nor a promise of double payment.
Level 4 · 6 minutes to read - How is the pension connected to companies?
Pension savings pool money intended for the long term and are invested according to the track and rules.
Level 4 · 4 minutes to read - Where do our taxes go?
A tax is a compulsory payment collected by law and helps finance public activities and services.
Level 4 · 4 minutes to read - VAT: the price before and after
Value added tax is a tax on transactions that are liable for it. In the consumer price it is usually already included.
Level 4 · 4 minutes to read - Gross, net and tax brackets
Gross is the amount before deductions; net is the amount that remains after the relevant deductions.
Level 4 · 4 minutes to read - Tax bands and credit points, step by step
Marginal tax applies to the last slice of income. Effective tax is total tax divided by income. They are different numbers.
Level 4 · 6 minutes to read - National insurance and health insurance contributions
These are compulsory payments governed by rules separate from income tax, related to the social security and health systems.
Level 4 · 4 minutes to read - Property tax (Arnona), fees and payments to the municipality
Arnona is a local tax on property, typically imposed on the holder according to rules.
Level 4 · 4 minutes to read - Excise, Customs and Purchase Tax
These are types of indirect taxes that may be included in the price of certain products.
Level 4 · 4 minutes to read - Donations and the Section 46 tax credit
A donation to an appropriately approved institution under Israeli Section 46 may give an individual a credit of 35% of the eligible donation, subject to conditions. Section 46 is a legal provision, not one universal application form.
Level 4 · 6 minutes to read - Tax on Capital Gains and Dividend
Realized capital gain is usually created on sale; a dividend is a distribution by a company to its shareholders.
Level 4 · 4 minutes to read - Tax relief from capital losses: what do you actually receive?
A tax shield is a name for potential tax savings. In investing, eligible capital losses may offset qualifying gains under tax rules. It is not repayment of the entire investment loss.
Level 4 · 6 minutes to read
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