A legal document defining circumstances under which the insurer will pay, and the amount to be paid. Also see Insurance policy.
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US: An insurance policy, cover note, certificate, or any other detailed evidence of coverage, including policy jackets, endorsements, audits, evidence of cancellation, and coverage parts.
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Determines what insurance coverage is in place and determines the legal framework under which the content of an insurance policy is enforced.
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Insurance is a contract by which one party in consideration of a price paid to him adequate to the risk becomes a security to the other that he shall not suffer loss, damage or prejudice by the happening of the perils, specified to certain things to which he may be exposed.”
Insurance Encyclopedia
Insurance Crime Prevention Bureau (I.C.P.B.)
An organization supported by property and casualty insurers that investigates fraudulent insurance claims and provides a deterrent to such losses. Loss prevention information is maintained by the Bureau for use by member insurers, independent claims adjusters, and government authorities across the country.
Insurance Density
Insurance density is defined as the ratio of premium underwritten in a given year, to the total population (measured in US Dollars for convenience). It thus represents premium per head of population.
Insurance department
A department charged administrating the laws that govern the insurance business. This also includes licensing, examining, and regulating insurance professionals. In the United States, this is a government bureau, or a division of another government bureau. In Canada, this is done by the federal government.
Insurance Desirable
Insurance that covers potential losses that would be financially serious but would not threaten the firm’s survival.
Insurance Directives
Three generations of both life and non-life directives The first directives paved the way for any insurer authorised in any Member State to set up a branch, agency or establishment in any other EC state, without restriction by the host, subject only to the host’s regulatory requirements, now largely harmonised. The second generation created free movement of insurance services within the EC by abolition of restrictions to sell across national boundaries. The third generation completed the move towards a single insurance market by abolishing the right of a host nation to insist upon authorising insurers established in other Member States. Authorisation in one state became a Single European Licence, allowing an insurer, without authorisation from any other state: (a) to establish elsewhere; and (b) to sell into other states from establishments outside those states. Post-authorisation regulation is carried out by the insurer’s home state to complete the twin aims of single licence and home country control. See FOURTH MOTOR INSURANCE DIRECTIVE.
Insurance Entities
Any corporate body or individual which is operating as an insurer, reinsurer or insurance intermediary and which is subject to Insurance/IRDA regulations.
Insurance Essential
Insurance that is either compulsory or covers potential losses that would threaten the continued survival of the firm.
Insurance examiner
The representative of a state insurance department assigned to participate in the official audit and examination of the affairs of an insurance company.
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The individual who administers the examining and auditing of insurers. This person is considered a representative of the state’s insurance department.
Insurance exchange
See: Reciprocal exchange.
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(i) Operating through an attorney- in- fact, the members of an Insurance exchange share in the exchange’s profits and losses in proportion to the amount of Insurance each member purchases from the exchange (Also known as a reciprocal exchange),(ii) Market place, such as Lloyd’s of London or insurance exchanges operating in several states of USA where underwriters, Agents and brokers gather to negotiate Insurance and Reinsurance.