1. The accumulation risk arises when a large number of individual risks are so situated, e.g. within a given location, that a single occurrence, such as a windstorm, may affect many or all of these risks. The occurrence may be defined in an hours clause. See ACCUMULATION CONTROL. 2. Life insurance term to reflect the increase in value and therefore subsequent benefits available under with profits policies as the life of the policy progresses and investment income accrues.
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US, MEDICAL: 1. Percentage added to insurance benefits given as a reward or incentive to the insured because of continuous renewal of the policy. This may be added as a provision in some health insurance policies. 2. Total number of services used by a patient under an insurance plan that limits costs or office visits.
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The concentration of similar risks in a particular area such that an insured event may result in several losses occurring at the same time.*******Percentage addition to Policy benefits as a reward to the insured for continuous renewal.