Premium payments you make to your insurance provider to keep your coverage. The insurance council of australia, as a response to the needs of the insurance industry and with the assistance of the insurance enquiries and complaints ltd. The benefits of life insurance are numerous, but if youre new to life insurance policies, you may be unsure of where to start. Most general insurance products are annual contracts. The code is a selfregulatory form of regulation, that is, the insurance industry, not the government, is. Declaration part of a property or liability insurance policy that states the name and address of policyholder, property insured, its location and description, the policy period, premiums, and supplemental information. Webmd provides definitions of terms related to health insurance, the affordable care act and medicare. Request by an insured for the insurance company to cover an incurred loss. The insurance contracts act allows an insurer to avoid a policy ab initio in situations where an insured fraudulently non. If available, some optional coverages and benefits might be offered at an additional charge. Browse and search thousands of insurance abbreviations and acronyms in our comprehensive reference resource. Insurance glossary insurance terms clarified in simple.
Insurance a formal social device for reducing risk by transferring the risks of several individual entities to an insurer. Learn vocabulary, terms, and more with flashcards, games, and other study tools. Insurance pdf types of insurance, scope of insurance. Defining the basics at preferred mutual insurance company, we believe in giving you the tools and resources you need to make confident decisions and live assured. On march 23, 2010, president obama signed the patient protection and affordable care act ppaca into law. A percentage of services paid by the subscriber after the deductible is satisfied. An insurance claim will mean a fortuitous event covered by the insurance, as indicated in more detail in the insurance contract or insurance conditions, which occurs during the insurance term and, on the basis of which the insurer must. Initial terms the relationship between the insurer, the policyholder and the insured in relation to the machinery. Policies issued at a higher rate than standard due to impairment of the insured.
Glossary of healthcare terms health insurance and reform. Terminologies used in insurance and their meanings terms. The insurer agrees, for a consideration, to assume, to a specified extent, the losses suffered by the insured. These often take the form of glossaries, or lists of specialized terms relating to a special subject in this case, insurance with accompanying definitions. Insurer the party who pays for losses in an insurance arrangement. Iec, developed the general insurance code of practice the code. Compare plans side by side, get health insurance quotes, apply online and find affordable health insurance today.
General insurance common general insurance terms you should be aware of here are some of the terms commonly used in case of general insurance. Life insurance resource center glossary of life insurance terms agent an insurance company representative licensed by the state who solicits and negotiates contracts of insurance, and provides service to the policyholder for the insurer. Insurance concerned with the insiders legal liability for injuries to others or damage to other persons property. 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. Insurance company that actually underwrites and issues the insurance policy.
The insurance contracts act allows an insurer to avoid a policy ab initio in situations where an insured fraudulently non disclosed or fraudulently misrepresented information when applying for insurance. Read all about common general insurance terms you should be aware of at securenow insuropedia one of the leading sources for general insurance and other insurance related information. Insurance policy legal document issued to the insured setting out the terms of the contract of insurance. The term refers to the fact that the company carries or assumes certain risks for the policyholder. Glossary of health coverage and medical terms this glossary defines many commonly used terms, butisnt a full list. The annual cycle in which a health insurance plan operates. The tangible assets are susceptible to damages and a need to protect the economic value of.
Insurance definitions, dictionary, glossary and terms. Web most states require that excess line insurers submit financial information, articles of incorporation, a list. All members of the insurance council of australia must adhere to the code. Basic insurance terminology global education office the. Columbus life insurance company naic code 99937, cincinnati, ohio, is licensed in the district of columbia and all states except new york. Insurance insurance is a contract in which an insurance company promises to compensate an insured. Abbreviations are commonly asked in ibps and other banking exams.
The natural person or legal entity applying for and. General insurance definitions clark county, washington. Insurance contracts that do not come under the ambit of life insurance are called general insurance. Insurance claim, insurance indemnification, deductible 1. Agent the insurance company representative who sells policies on behalf of the insurer. Bodily injury as defined in many liability policies, any physical injury to a person, including sickness, disease, and death. General liability insurance insurance designed to protect business owners and operators from a wide variety of liability exposures. Am best, standard and poors, and moodys are three wellknown rating services. Gatekeeper under some health insurance arrangements, a gatekeeper is responsible for the administration of the patients treatment. Unlike life insurance policies, the tenure of general insurance policies is normally not that of a lifetime. Definition of insurance contract, general in insurance. Glossary of common auto insurance terms helpinsure.
Provider healthcare provider a hospital, facility, physician or other licensed healthcare professional. Below are definitions for some of the more commonly used terms and how. Renewable term insurance insurance that is renewable for a limited number of successive terms by the policyholder and is not contingent upon medical examination. Basic insurance terminology this basic insurance terminology guide below should help you better comprehend your health insurance policy.
There are however, a few products which have a long term. Read on to understand what terms like copayment, coverage and deductible mean. It is a contract between two people or companies wherein one of the persons agrees to cover the risk of the former and promises to compensate him in the case of any loss. Ab initio a term used to describe avoidance of a contract from its inception or its beginning. Glossary of commercial insurance terms commercial insurance is divided into two main categories. Glossary of life insurance terms department of financial. An approval from an insurance company for a certain service being provided. Dictionary of insurance terms a absolute liability.
This term may be used to describe ancillary products purchased in conjunction with a medical insurance plan. Our terms of business for general insurance this agreement is issued on behalf of graybrook insurance brokers ltd and supersedes all previous terms you may have received from us. The term property insurance includes many lines of available insurance. Insureris the company which accepts risks after receiving premiums and pays claims. A glossary of car insurance terms compare the market. This overall liability limit is extended to temporary locations such as trade shows, festivals, etc. The agreement is a contract also known as an insurance policy. Insurance pdf types of insurance, scope of insurance,classification hello friends welcome to. Once you find a policy that fits your needs, you can begin coverage in less than 24 hours. A group of health care providers who give coordinated care, chronic disease management, and thereby improve the quality of patient care. Event which causes a loss of extraordinary magnitude, such as a hurricane or tornado. Unit b2601, boomerang, chandivali farm road, near chandivali studio, andheri east, mumbai 400072 licence no.
Insurance economic device whereby the individual or business pays a cost premium in exchange for protection against financial loss. Glossary of health insurance terms december 12, 2008 experimental or investigational services. A flood, earthquake or other non preventable accident resulting from natural causes that occur without any human intervention. Glossary of insurance terms that are good to know here is an insurance glossary or list of travel insurance terms that you need to know when searching for a policy. Binder an oral or written agreement to provide temporary insurance coverage until a form written policy is issued. Life insurance helps you protect your loved ones should you pass on unexpectedly.
Aug 10, 2010 defining general insurance general insurance or nonlife insurance policies, including automobile and homeowners policies, provide payments depending on the loss from a particular financial event. Either a specified dollar amount, a percentage of the claim amount, or a specified. Property insurance provides coverage for property that is stolen, damaged, or destroyed by a covered peril. A permanent life insurance policy designed to cover immediate expenses related to the policyholders death, such as the cost of the funeral or medical bills. A description of the healthcare services and supplies that a health insurance company covers for members of a specific health insurance plan. An independent agent represents more than one company. If you have any questions about the use or meaning of a term or expression in any particular product or literature, you. Limited product liability coverage is included as well in certain circumstances. 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. Also, an organization that sells and services insurance policies to consumers. Glossary of medical insurance terminology page 1 annual deductible is the amount you must pay each year for medical and mental health expenses before your medical plan begins to pay benefits. In a wider context casualty insurance may cover all nonlife insurances. This glossary is intended as a general aid to help you understand some of the commonly occurring phrases and jargon used in the insurance world.
While these terms can be confusing, the better you understand them, the better you will be prepared to successfully gain coverage and access to the treatments that are right for you. Insurance glossary insurance terms and definitions from union general. Thankfully, there are resources to help consumers navigate the maze of unfamiliar terms. These definitions represent a common or general insurance andor legal use of the term. Life insurance, home insurance, or travel insurance each policy has its own set of unique terminology. Some words and phrases may be defined differently by other individuals or organizations. Terminology can often be baffling, and the last thing you want is to miss something important in your policy wording. Complete insureons free online application to compare quotes from top u. Chapter iii overview of general insurance business in india problems, challenges, prospects etc. The cost of repairing or replacing damaged property with property of the same kind and quality, less depreciation i. The replacement cost of the item minus depreciation. While purchasing an insurance policy is the firststep to protecting yourself and your property against potential. Glossary of business insurance terms for small businesses.
Chapter iii overview of general insurance business in india. Life insurance terminology you should know life insurance is a type of insurance, or risk protection, that provides payment to a designated beneficiary after the policyholders death. Independent agents in our network believe that knowledge is power, and they are dedicated to not only providing consumers with competitive rates and coverage, but education and answers as well business terminology shouldnt be reserved for insurance agents. These glossary terms and definitionsare intended to be educational and may be different from the terms and definitions in your plan.
Insurance is a contract, represented by a policy, in which an individual or entity receives financial protection or reimbursement against losses from an insurance company. Health insurance glossary health insurance definitions. Insurance terminology north american training group. Consumer glossary national association of insurance. Generalinsurancedefinitions institute and faculty of. Agent a person or a group of people selling insurance on behalf of an insurance company. Glossary of health coverage and medical terms page 1 of 4 this glossary has many commonly used terms, but isnt a full list. Business liability general liability coverage should there be an accidental third party bodily injury or damage to property on the premises. General terms and conditions of general and product liability insurance effective from 01. Insuranceinsurance is a contract in which an insurance company promises to compensate an insured. Insurance glossary india a to z terms of insurance.
Insurance brokers are licensed by the province in which they operate and required to follow a strict code of conduct. The different forms of general insurance are fire, marine, motor, accident and other miscellaneous nonlife insurance. General insurance terms and conditions for travel insurance. The legal principle that allows an individual or organization to represent another individual or organization. The usual term lasts for the duration of a particular economic activity or for a given period of time. Insuredthe term insured refers to the person who has taken insurance against various risks and who pays a premium. General insurance typically comprises any insurance that is not determined to be life insurance. They also may be used in a different context where the definition shown may not be applicable to insurance. General insurance conditions gic of europ assistance switzerland insurance ltd 15 i common provisions for all insurance components 15 ii special provisions for the individual insurance components 18 a. 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. The definitions are based on various insurance references. Health insurance glossary health insurance definitions and. Glossary of healthcare terms health insurance and reform accountable care organization aco.
Canadian glossary of insurance terms first foundation. A mandatory provision that gives the policyholder a period of time to pay the. Accidental death coverage accidental death coverage is sometimes a part of your auto insurance policys personal injury protection pip or may be offered as a separate accidental death and dismemberment program. Insurer is the company which accepts risks after receiving premiums and pays claims. Refers to the financial strength of an insurance company. To gain insight into your companys insurance policy, its helpful to have a grasp of basic business insurance terms. Grace period the length of time usually 31 days after a premium is due and unpaid during which the policy, including all riders, remains in force. Key terms for understanding car insurance nerdwallet. An agent can be independent agent who represents at least two insurance companies or a direct writer who represents and sells policies for one company only.
Broad form coverage coverage for causes of loss due to falling objects trees or other objects that may fall onto a structure, sudden and accidental. To make things easier, weve compiled an easytoscan glossary of the most frequently used car insurance terms. Most of indian companies are undertaken by the government of india. Understanding insurance terminology 101 insurance terminology 101.
Coverages and benefits listed below may not be available in your state. Insurance glossary insurance terms and definitions from general insurance. Lesson 18 insurance national institute of open schooling. 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. Foreign insurance companies are in hurry to eat the cake of insurance business in india.
Shortterm insurance a type of health insurance that covers certain services for a set time period 6 months or less. Life insurance and annuity products are not bank products, are not a deposit, are not insured by the fdic, nor any other federal entity, have no bank guarantee and may lose value. An event or occurrence which is unforeseen and unintended. 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 insurance business encompasses a daunting array of industry jargon. Understanding business insurance terminology trusted choice. Includes insurance against loss through damage or legal liability for damage, to property caused by the use of teams or vehicles other than ships, boats, or railroad rolling stock, whether by accident or collision or by explosion of engine, tank, boiler, pipe, or tire of the vehicle, and insurance against the theft of the whole or part of such. Common general insurance terms you should be aware of securenow. Life insurance terminology you should know aig direct. Liability for damages even though fault or negligence cannot be proven.
The insurance institute of canada is a nonprofit professional education and career development resource for canadian property and casualty insurers. The general insurance code of practice is a voluntary code that sets minimum standards for the way in which consumers can expect their insurer to behave from the start of a policy to claim time. As a useful guide to insurance vocabulary, it will help you understand your coverage or benefits plan page. Box 149104, austin, tx 78714 5126766000 1 8005784677. When making decisions about health coverage, consumers should know the specific meanings of terms used to discuss health insurance. But now many private companies have enter in this field. Insured the policyholder protected in case of a loss or claim. The percent for example, 40% you pay of the allowed amount for covered health care services to providers who do not contract with your health insurance or plan. General insurance such as principles of utmost good faiths material fact principle of insurable insures and principle of indemnity.
This is a short list of key insurance terms, listed in alphabetical order. General insurance definition and meaning collins english. Insurance is complicated, but getting insured is easy. You can find more terms in the the insurance bureau of. Deductible the amount of loss paid by the policyholder. Limits of liability the maximum amount an insurance company agrees to pay in the event of a covered loss. Final expense life insurance policies are typically guaranteed issue, never expire, and are level premium.
Renters insurance liability coverage for contents within a renters residence. Life insurance insurance in which the risk insured against is the death of a particular person, the insured, upon whose death, while the policy is in force, the insurance company agrees to pay a stated sum or income to the beneficiary. Conventional indemnity plan an indemnity that allows the participant the choice of any provider without effect on reimbursement. Insurance is a very important topic mba, bcom,mcom and other finance related degrees. Many of the terms you encounter when dealing with health insurance are not familiar. General insurance comprises of insurance of property against fire, burglary etc, personal insurance such as accident and health insurance, and liability insurance which covers legal liabilities.
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