Landslip

Property insurance peril held to mean a rapid downward movement under the influence of gravity of a mass or rock or earth on a slope. The word rapid may in some cases give way to the concept of the ‘slow accident. Pressure built up over time before pushing over a wall may be landslip (Ombudsman view). Landslip is insured as an additional peril alongside subsidence and heave. In all forms of cover, normal land settlement and coastal erosion are excluded together with damage to boundary walls, gates and fences unless the buildings are damaged at the same time.
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The sliding down of a mass of land.

Lapse

A lapse is a gap in coverage, either because a policy expired and an insured did not renew the policy or the insured failed to make a premium payment and coverage was terminated. If other coverage is not obtained to immediately take effect, there is a gap in coverage during which there is no insurance for any losses. In automobile insurance, this may result in the insured being penalized by the Department of Motor Vehicles for having no insurance coverage, even if the lapse is for only one day.
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MEDICAL,USA: Expiration of an insurance policy because of nonpayment of the premium when it is due. Also referred to as lapsed policy .
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The cancellation of a policy due to the non-payment of the premium due.
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The expiration of forfeiture of an Insurance Policy by non-payment of due premium.
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US: The termination or discontinuance of an insurance policy due to nonpayment of a premium.

Lapse Rate

Usually defined as the ratio of the number of lapses in a defined period to the corresponding number of renewal invitations, but could be another ratio associated with lapses.

Lapse ratio

The percentage of policies, in force at the beginning of the year, that lapse by non-renewal, surrender or cancellation during the year. Insurers who have to constantly replace lapsed policies have relatively high acquisition costs. Life companies use the ratio as an indicator of marketing performance. The converse is persistency.
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The ratio of the number of life insurance policies that lapsed within a given period to the number in force at the beginning of that period.

Lapse/lapses risk

A policy lapses when it is not renewed for a further term. Revival of lapsed life policies may occur under a non-forfeiture clause.The lapses risk in life business means a lower level of recovery of fixed costs. Where up-front commission is paid it becomes more difficult to recover.