1. Private indemnity insurance plan or managed care plan that is set up as a separate business unit within another larger organization (e.g., life insurance company, fidelity line, HMO, PPO). The LOB makes a distinction between the managed care plans from the free-standing company or one set up as a subsidiary. 2. Refers to a distinctive type of program within a health plan such as Medicaid. 3. Different types of health plans offered by a large insurance company or insurance broker as a product line.
Insurance Encyclopedia
Line of credit
A method of risk financing involving the agreement of a bank to provide finance to fund losses as they occur. Contingency funds arranged in this way may reduce a firm’s borrowing capacity and restrict its investment potential but may be advantageous for firms with a good credit rating. The lender charges for guaranteeing the standby line of credit. If not used there will be no additional charge. See CONTINGENT CAPITAL.
Line of Insurance
(i) Particular type of Insurance, such as the liability “line.” (ii) All types of Insurance written for a property owner, such as all lines for ABC Manufacturing. (iii) Amount of Insurance on a given property, such as a Rs. 10,00,000 line on XYZ manufacturing’s building. (iv) Gross line-total amount of Insurance accepted by an insure on individual risk, including the amount Reinsured. (v) Net Line: amount of coverage retained by the Ceding Insurer on an individual risk in a surplus Reinsurance treaty or the maximum amount of loss on a particular risk to which an Insurer will expose itself without Reinsurance.
Line Sheet
A schedule showing the limits of liability to be written by an insurer for different classes of risks This kind of guide is also used by a ceding company to define the limits of liability it will assume on various types of exposures.
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A schedule used as a guide that helps ceding companies to determine the limit of liability they will undertake on different kinds of risks. This schedule lists the liability limits to be written by insurers for different risks.
Line Sheet (also known as Line Guide)
A schedule included in a reinsurance treaty contract showing the limits of liability to be written by a ceding company for different classes of risk and (usually) also showing the amount of each respective limit (stated as a number of “lines”) which can be ceded to proportional reinsurance treaties.
Line Slip
A facility under which the underwriters delegate authority to accept a pre-determined share of certain coinsured risks on their behalf. The authority may be exercised by the leading underwriter on behalf of the following underwriters; or it may extend to the broker or some other agent being authorized to act for all the underwriters.
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UK: Arrangement whereby underwriters or companies and a broker agree, for a specified type of risk, that the broker only needs to approach the leading and second underwriter who accept or reject each risk on behalf of all the underwriters concerned in their agreed proportions. This is used when a broker places a large number of similar risks with the same group of underwriters.
Line slip (Health Insurance)
A document written by a broker that describes a prospective risk. The document is given to underwriters, who then decide what fraction of the risk they are willing to insure.
Line stamp
A Stamp impressed by a Lloyd’s underwriter on a slip and bearing his syndicate’s pseudonym and number.
Liner allowances
See: OVERTIME; TEMPORARY REPAIRS.
Liners
Ships that ply on a regular scheduled service between groups of ports. The ships of a liner Company are common carriers, offering cargo space require them. A liner Company is generally engaged on trade routes where volume of cargo or passenger traffic is available.