Accelerated
Benefits
Benefits accessible in various life insurance policies ahead
of death, usually produced by long-term, catastrophic or deadly
illness. Accelerated benefits payments finished while the
insured is living are deducted from any death benefits paid
to beneficiaries. Accident
An accident is incredible going wide of the mark unexpectedly.
An unplanned event, sudden and unexpected, which occurs
suddenly and at a definite position.
Accident Frequency
The rate of the incidence of accidents, often expressed
in terms of the number of accidents over a age of time.
It is one method used for measuring the efficiency of loss
prevention services.
Accident Prevention
Avoidance of the incidence of an accident. Reduction of
its penalty if it does occur, such as control of personal
or machine performance.
Accident Year Experience
Identifies premiums and losses involving to accidents which
occurred during a 12-month period.
Actual Cash Value
Appearance of insurance that pays costs equal to the replacement
value of damaged property less depreciation amount.
Actuary
An expert in the insurance industry, usually working for
the insurance company, that can estimate how a confident
sum of money can be contributed to a pension plan, insurance,
or other associated area to fund that plan for years to
come.
Additional Insured.
A human being other than the named insured who is protected
under the terms of the contract. Regularly, added insures
are added by endorsement or referred to in the wording of
the definition of insured in the policy itself
Adhesion
This is a feature of a unilateral contract which is offered
on a take it or leave it basis. The majority insurance policies
are contracts of adhesion, because the terms are strained
up by the insurer and the insured simply adheres.
Adjuster
A person who may take steps either on behalf of the insurance
company or the insured in settling a claim. Employee adjusters
work for an insurer, independent adjusters represent the
insurance corporation on a fee basis
Admitted Assets
Assets documented and accepted by state insurance laws in
influential the solvency of insurers and reinsurers. To
build it easier to charge an insurance company’s financial
position, state legal accounting rules do not permit confident
assets to be included on the balance sheet.
Admitted Company
An insurance company endorsed and licensed to do business
in a given area or location.
Agency
An indemnity sales office which is heading for by an agent,
manager, independent agent, or company manager.
Agent
Insurance is sold by two kinds of agents, independent agents,
who are self-employed, stand for several insurance companies
and are paid on commission, and exclusive or captive agents,
who symbolize only one insurance company and are either
salaried or work on commission.
Alien Insurer
An insurer produced beneath the laws of a country other
than the United States. A U.S. company selling in other
countries is also an alien insurer.
Ambiguity
Provisions or expressions in an insurance policy which make
the sense unclear or which can be interpreted in more than
one way. The decree of law is that any ambiguity in the
strategy is construed adjacent to the insurer and in favor
of the insured.
Annual Statement
Outline of an insurers or reinsurers financial operations
for a particular year, including a balance sheet. It is
folded with the state insurance department of each authority
in which the company is licensed to carry out business.
Annuity
A life insurance invention that pays intermittent income
benefits for a specific period of time or over the course
of the annuitants lifetime. There are two basic types of
annuities, deferred and immediate. Deferred annuities allow
property to grow tax deferred over time before being converted
to payments to the annuitant. Immediate annuities allow
payments to begin within concerning a year of purchase.
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