The Rantings of the barely human.
Perils added to a fire policy, such as damage by storm, tempest or flood.
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Also called special perils they add to the scope of a standard fire policy. They include: 1. Dry perils: aircraft; explosion; riot and civil commotion; malicious damage; earthquake. 2. Wet perils: storm; burst pipes; flood; sprinkler leakage. 3. Miscellaneous perils: impact; subsidence; subterranean fire; spontaneous combustion.
Extra premium charged either because the insurance is more hazardous than normal or because additional benefits are added to the policy.
An extra charge made by the insurer for improving the cover, changing the risk or extending the period of insurance, or under an adjustable policy where the record shows that the actual activity exceeded the initial estimate.
Provisions in addition to the regular insuring and benefit provisions, and to the standard uniform provisions, which define and limit the coverage. Also, often called general provisions.
The reserve held in excess of the unearned premium reserve, to allow for any expectation that the unearned premium reserve will be insufficient to cover the outstanding risk in respect of the unearned expenses.
Option in a life insurance policy in which current dividends are used as a net single premium to purchase 1-year term insurance to maintain level protection for a period up to the insured’s retirement age. This is often used with a split-dollar plan. Also called additional insurance option or fifth dividend option.
Voluntary contributions by pension scheme members to boost their eventual retirement income. Tax relief on AVCs is subject to the normal limits, but they cannot be commuted to a taxfree lump sum. AVCs are ‘in-house’, or set up as an FSAVC (free standing AVC) from a provider of the individual’s choice. See HEADROOM CHECK.
Coverage that protects any additions, alterations, and improvements a condo owner makes to his unit, for up to 10 percent of your contents limit. This coverage can be increased.
A clause applicable to certain aviation hull insurances under which the cover is automatically extended to include further aircraft owned or operated by the insured of the same type and value of the aircraft already insured.
Commonly used acronym in relation to a hospital charge description master (CDM); also called charge master.