An entity or person, other than the one in whose name coverage is written, protected against loss by an insurance policy or. A portion of the policy premium that is paid to an agent by the insurance company as compensation for the agents work. Please refer to your policy or certificate of insurance for exact definitions of terms and coverage provisions. The insurance contracts act allows an insurer to avoid a policy ab initio in situations where an insured fraudulently non. It is issued by an insurer or his representative for the first period of risk. These glossary terms and definitionsare intended to be educational and may be different from the terms and definitions in your plan. Exgratia payment any payment made by an insurance company that is outside the terms of the policy. Liability arising from extremely dangerous operations. Glossary of insurance terms navigating the insurance world can be confusing, so here are some definitions of terms and types of insurance products to help make sense of it all. The payment required for an insurance policy to remain in force. Community rating a way of pricing insurance, where every policyholder pays the same premium, regardless of health status, age or other factors. A company owned solely or in large part by one or more non insurance entities. This document is for informational purposes only and is not intended to alter or replace the insurance policy. Physical harm or disability which is the result of a specific unexpected incident caused by an outside force.
The information presented on this glossary is not an insurance policy, declarations page or endorsement. If the insured fails to maintain the amount specified in the clause usually at least 80%, the insured shares a higher proportion of the loss. Glossary of health coverage and medical terms this glossary has many commonly used terms, but isnt a full list. In order to make a well informed decision regarding your insurance needs, we have included this list of basic insurance terms and definitions for your convenience.
Glossary of insurance terms a b c d e f g h i j k l m n o p q r s t u v w xyz accident and health including two main types of business personal. Term policies provide life insurance protection without any cash value features which can increase the cost of the coverage. Its better to know some insurance terms before asking for a quotes. If your insurance company or independent agent is throwing complicated insurance terms your way, use this insurance glossary to make better sense of it all. Some employment is not considered covered employment by law. Accident enforceable and unexpected unfortunate event that may cause destruction of property, bodily injury, or death. Glossary of insurance terms michigan insurance company. There may be additional charges co insurance for additional services performed. Deductible the amount of money the policyholder must pay on a loss. Term insurance generally offers the most protection for your premium dollars. Its what you could expect to receive if you sold your car to a private buyer, and its what an insurer will base your payment on if your car is stolen or totaled. Insurance policy legal document issued to the insured setting out the terms of the contract of insurance.
Glossary of insurance terms insurance answers for life. A material circumstance in this context is the full detailed response to questions which might influence the insurers decision on whether to underwrite the risk at all, or the terms. Commercial general liability cgl insurance a broad form of liability insurance usually covering business organizations to protect them against liability claims. Below is a glossary of insurance terms for your convenience. All are extremely important but on this first page, we have tried to explain in plain english what the most important and common terms mean. Thank you for choosing to learn more about residential title insurance. Consumer glossary national association of insurance. Various rights which may be exercised under the policy contract by the policy owner. Need to pay a bill, make a change, or just get some information. Weve curated additional glossaries of insurance terms and definitions to help you better understand the often confusing legal language of insurance. Cancellation termination of an insurance policy by the company or insured before the renewal date capitation a system where an hmo pays a doctor or hospital a flat monthly fee for the care of each health plan member whether or not any services are delivered. Do you have a question about an additional property insurance claim term you would like to understand better.
A fixed amount you pay for a covered health care service after youve paid your deductible. Insurance glossary understanding common insurance terms. Agent the insurance company representative who sells policies on behalf of the insurer. Actuary a specialist in risk analysis, especially as it relates to insurance calculations such as premiums.
All lines aggregate the combining of more than one line of coverage to establish an annual maximum for the insured for all those lines. You can find some most used terms here at our insurance terms and glossary. Glossary of health insurance terms national health policy forum. Insurance policies designed to pay ransoms demanded by kidnappers. A document detailing the terms and conditions applicable to an insurance contract and constituting legal evidence of the agreement to insure. A valid and collectible policy of bodily injury liability and property damage liability insurance or bond with applicable limits at least equal to those specified in section 311 of the vehicle and traffic law. Glossary of health coverage and medical terms this glossary defines many commonly used terms, butisnt a full list. Bodily injury bodily harm, sickness, or disease, including resulting death. Exclusion a risk or item specifically not covered by a policy. Some of these terms also might not have exactly the same meaning. The contract usually includes your application, the policy, and any changes made later to.
On march 23, 2010, president obama signed the patient protection and affordable care act ppaca into. As used in property insurance, prohibits the insured from abandoning damaged property to the insurance company for. Accidental injury does not include illness or infection, except infection of a cut or wound. Different insurance providers may have varying ideas about what constitutes full coverage, but it will always include the insurance legally required by your state. Policy documents contain a number of insurance terms because they typically define the limitations of risk and liability on the insured and any exclusions of coverage. As a prospective insurance customer, some terms used by the insurance industry can be confusing. Glossary of insurance terms additional insured a person or organization not automatically included as an insured under an insurance policy that is included or added as an insured under the policy at the request of the named insured. Life insurance designed to cover the insured for a specified period of time or term. Here we have listed some of the more commonly found examples, and provide an everyday definition of their meaning. A professional trained in the mathematics of insurance and risk management, including the calculations of premiums. When only one of these perils is covered by the insurance policy, the court generally rules that the entire loss is covered.
For example, a plan may pay 90% of the charges and the insurer pay 10%. If the term warrants it, there will be an extended definition on a separate page. Auto insurance premiums are quoted for either 6 month or annual policy periods. Cessions limit the capped amount of catastropheexposed business ceded to the reinsurance contract. In medical insurance a percentage of each claim that the insured will bear. Glossary of risk management terms this is a comprehensive list of insurance terms.
Direct loss a loss which is a direct consequence of a peril. Glossary of insurance terms the az for insurance practitioners terms generally associated with reinsurance ab initio a term used to describe avoidance of a contract from its inception or its beginning. The discontinuance of an insurance policy before its normal expiration date, either by the insured or the company. Glossary of insurance terms actuary a professional trained in the mathematics of insurance and risk management, including the calculations of premiums, policy reserves and other values. Glossary of insurance terms university health services.
Glossary of health insurance terms december 12, 2008 experimental or investigational services. The defined terms and coverage provisions in your policy or certificate of insurance, such as reasonable and customary, may be different from the general information provided below, and the policy or certificate language will prevail. Also see the health and life insurance glossary, property and casualty insurance glossary, small business insurance glossary and terminologies used in. Insurance policies are full of technical phrases, and jargon. Nicb insurance acronym, organization and term list index. The insurer agrees, for a consideration, to assume, to a specified extent, the losses suffered by the insured.
Glossary of health coverage and medical terms page 1 of 4 this glossary has many commonly used terms, but isnt a full list. A clause contained in most property insurance policies to encourage policy holders to carry a reasonable amount of insurance. Additionally, this information is not intended to fully set out your or our. Insurance a formal social device for reducing risk by transferring the risks of several individual entities to an insurer. Childrens health insurance program chip an insurance program jointly funded by a state and the federal government that provides health insurance to lowincome children and, in some states, pregnant women in families who earn too much income to qualify for medicaid but who cannot afford to purchase private health insurance coverage.
Term definition cession the amount of insurance risk transferred to a reinsurer by a ceding company. Insurance terms used in the area of residential title insurance. A statistician who computes insurance risks and premiums. Property damage liability coverage part of a standard auto insurance policy that covers you, up to the policy limit, for losses that result when you damage or destroy someone elses personal property. With just a few clicks you can access the geico insurance agency partner your boat insurance policy is with to find your policy service options and contact information. Compiled from the academys five insurance and risk management book plus many other sources, this extensive glossary defines, describes and details 282 insurance and risk management terms and concepts from a posteriori data to zone of danger. An insurance contract is the legal agreement with your insurance company that sets out the terms of your coverage. Definitions of health insurance terms in february 2002, the federal governments interdepartmental committee on employmentbased health insurance surveys approved the following set of definitions for use in federal surveys collecting employerbased health insurance data. In nevada, unemployment insurance is funded entirely by a payroll tax on employers.
Accelerated death benefits an insurance policy with an accelerated death benefits provision will pay under certain conditions all or part of the policy death benefits while the policyholder is still alive. An independent agent represents more than one company. Well be happy to answer your question with no obligation and add it to our glossary of property insurance claim terms. Additionally, this informational sheet is not intended to fully set out your rights and obligations or the rights and obligations of the insurance company.
The essential glossary of group benefits words and terms. Actual cash value is the fair market value of your vehicle. Webmd provides definitions of terms related to health insurance, the affordable care act and medicare. Insurance terminology north american training group. Insurance terms and glossary learn some most used terms. The definitions in this glossary are developed by the naic research and actuarial department staff based on various insurance references. This is the first amount of any insurance claim that the customer agrees to pay as part of the policy conditions the insurer pays the rest. This page provides a glossary of insurance terms and definitions that are commonly used in the insurance business. The amount that an insured person must pay upfront at the time of service for a covered benefit. The term property insurance includes many lines of available insurance. National insurance crime bureau october 12, 2015 1 nicb insurance acronym, organization and term list the following is a list of insurance related acronyms, organizations, and terms that may be encountered during an investigation. Submit your question to a tutwiler public adjuster now.
The percentage of costs of a covered health care service you pay after youve paid your deductible. Glossary of insurance terms npbagus00348 expiry january 2022 coinsurance. There is no deduction from the employees wages for this insurance. We at the rains agency know the language used by the insurance industry can be confusing. A period of time in which you pay higher cost sharing for prescription drugs until you. An insurance purchased by a company or organization on key employees and naming the company as beneficiary. A company owned solely or in large part by one or more non insurance entities for the primary purpose of providing insurance. Insurance holding company system consists of two or more affiliated persons, one or more of which is an insurer.
Texas department of insurance glossary of common insurance terms. The essential glossary of group benefits terminology. Declaration part of the insurance policy that identifies the named insured, policy period and limit of insurance. Property insurance provides coverage for property that is stolen, damaged, or destroyed by a covered peril. Nov 01, 2017 when it comes to choosing the best automobile insurance, knowing industry terms and language gives you a good head start. This information is provided for general informational purposes only and does not alter or replace any insurance policy issued by us. Title insurance provides coverage for losses that occur when a land title is not free and clear of defects e. Glossary of insurance terms pennsylvania dental association.
We want to make sure that you clearly understand your options and know precisely what youre paying for. These glossary terms and definitionsare intended to be educational and may be different from the terms and definitions in your plan or health insurance policy. Irmi update provides thoughtprovoking industry commentary every other week, including links to articles from industry experts. The maximum dollar amount a benefits plan will pay for a procedure. These conditions include proof that the policyholder is terminally ill with a life expectancy of less than 12 months, has a specified lifethreatening disease or is in a longterm. Insurance an economic device transferring risk from an individual to a company and reducing the uncertainty of risk via pooling. A percentage of the cost of services that the insured person have to pay. Our insurance terms glossary is divided alphabetically by insurance terms in a quick reference guide to assist understanding the language commonly used by insurance companies. Glossary of commercial insurance terms commercial insurance is divided into two main categories. Glossary of insurance terms national insurance brokers association.