Insurance Terms
Glossary of terms used on this site
There are 74 entries in this glossary.| Term | Definition |
|---|---|
| Aggregate Limit |
Usually refers to liability insurance and indicates the amount of coverage that the insured has under the contract for a Broker - Insurance salesperson that searches the marketplace in the interest of clients, not insurance companies. |
| All Risks |
An insurance policy that covers all risks - except those not listed under its exclusions. |
| Anti-selection |
The tendency of individuals who believe they have a greater than average likelihood of loss to seek insurance protection to a greater extent than do those who believe they have an average or less than average likelihood of loss. |
| Assessed Value |
The value placed on property for insurance purposes |
| Assignee |
The party to whom property rights are transferred in an assignment |
| Assignment |
Is an agreement under which one party transfers some or all his ownership rights in a particular property to another party |
| Assignor |
The property owner who makes an assignment |
| Average |
If you are found to be under-insured, the insurer's liability will be limited to that proportion where the amount of cover is compared to the value at risk. This ratio is then applied to your loss. In simple terms, if you have bought only half the cover you should have, your insurers will only pay you half your assessed loss. |
| Beneficiary |
The person or party the owner of an insurance policy names to receive the policy benefits |
| Burglary Insurance |
Coverage for property damage and/or financial losses resulting from property theft where forced entry or exit is visible. The act of theft must be reported to the authorities. |
| Business Interruption |
This insurance covers a business in the event of the loss rendering the business inoperable or hindered by an event such as a fire. The policy will define the gross profit and uninsured working expenses within the policy wording, which will be subject to increased costs of working and savings. |
| Cancel |
The act, of either party to an insurance contract, of ending the contract prior to its expiration. |
| Cancellation |
Voluntary termination of an insurance policy by the insurer or the insured prior to the renewal date. |
| Claim |
A demand made by the insured, or the insured's beneficiary, for payment of the benefits as provided by the policy. |
| Claimant |
A person who makes an insurance claim. |