A further premium payable by the insured as a result of policy amendment that may have increased the risk or changed the policy conditions or sum insured.
One who investigates and assesses claims on behalf of insurers (claims adjuster or loss adjuster).
The non-renewal of a policy for any reason.
The insurer's maximum liability under an insurance, which may be expressed 'per accident', 'per event', 'per occurrence', 'per annum', etc
Another term for a claim.
Independent qualified loss adjusters are used by Insurers for their experience and expertise necessary to carry out detailed investigations of complex and large losses. It is his task to negotiate a settlement which is within the terms of the policy and equitable to both insured and insurer. Should he himself not be an expert in a particular discipline which is necessary or desirable to pursue his negotiations, he will consult or employ such an expert.
A warranty in a business interruption insurance policy stipulating that for the interruption insurance to become effective there must be a policy in force in respect of the material damage and a claim paid or admitted thereunder for such damage caused by an insured peril.
Any fact which would influence the insurer in accepting or declining a risk or in fixing the premium or terms and conditions of the contract is material and must be disclosed by a proposer, or by the insurer to the insured.
Perhaps the most common form of tort. In Blyth v Birmingham Waterworks Co. (1856) it was defined as 'the omission to do something which a reasonable man guided by those considerations which ordinarily regulate the conduct of human affairs would do, or doing something which a prudent and reasonable man would not do”. Gives rise to civil liability.
A rebate of premium given to an insured person by an insurer where no claims have been made by that insured. Very common in motor insurance.
The liability of a carrier to passengers.
A contingency, of fortuitous happening, which may be covered or excluded by a policy of insurance.
The period during which the insurer can incur liability under the terms of the policy.
Term used to describe contracts of insurance providing continuing benefits in the event of prolonged illness of disability.
Insurance for fixed benefits in the event of death or loss of limbs or sight by accident and/or disablement by accident or sickness. Accident and sickness may be insured together or separately.
A document detailing the terms and conditions applicable to an insurance contract and constituting legal evidence of the agreement to insure. It is issued by an insurer or his representative for the first period of risk. On renewal a new policy may well not be issued although the same conditions would apply, and the current wording would be evidence by the renewal receipt.
The person in whose name the policy is issued. (See also insured and assured).
The consideration paid for a contract of insurance.
These policies cover the insured's legal liability for bodily injury to persons, or loss of or damage to property caused by defects in goods (including containers) sold, supplied, erected, installed, repaired, treated, manufactured, and/or tested by the insured.
This policy protects a professional against legal liability towards third parties for injury, loss, or damage, arising from his/her own professional negligence or that of his/her employees.
A form sent by an insurer to a person requiring insurance so as to obtain sufficient information to allow the insurer to decide whether or not to accept a risk and what conditions to apply if it is accepted. This forms the basis of the contract of insurance.
Making good. Where insured property is damaged, it is usual for settlement to be effected through the payment of a sum of money, but a policy may give either the insured or insurer the option to restore or rebuild instead.
The process of continuing an insurance from one period of risk to a succeeding one.
The peril insured against or an individual exposure.
The identification, measurement and economic control of risks that threaten the assets and earnings of a business or other enterprise.
A recovery of all or part of the value of an insured item on which a claim has been paid. The insurer will normally dispose of the item and apply the proceeds to reduce the cost of the claim.
The part of a policy containing information peculiar to that particular risk. The greater part of a policy is likely to be identical for all risks within a class of business covered by the same insurer.
An alternative to a completed proposal form. A statement provided by the insurer clarifying the basis on which insurance is accepted and what conditions apply.
Presently the most important source of law is statute law, otherwise known as Acts of Parliament; which may create entirely new law, over-rule, modify, or extend existing principles of common law and equity, and repeal or modify existing Statute law.
Phrase used by an insurer to signify provisional acceptance of an insurance pending inspection by a surveyor whose report is necessary to determine the rate and conditions applicable.
The maximum amount payable in the event of a claim under contract of insurance.
A person claiming against an insured. In insurance terminology the first party is the insurer and the second party is the insured.
Liability of the insured to persons who are not parties to the contract of insurance and are not employees of the insured.
A person who reviews and sets guidelines for accepting business on behalf of an insurer.
Insurance contracts are contracts of utmost good faith (uberrima fides), which means that both parties to the contract have a duty to disclose, clearly and accurately, all material facts relating to the proposed insurance. Any breach of this duty by the proposer may entitle the insurer to repudiate liability.
A very strict condition in a policy imposed by an insurer. A breach entitles the insurer to deny liability.
This is the amount deducted from claims payments to allow for any depreciation in the property insured which is caused by its usage