The legal counsel retained by the insurance company to represent the insurer’s interest in connection with a claim. Coverage or monitoring counsel are in addition to defense counsel selected by the insureds with the consent of the insurer. Among other things, coverage and monitoring counsel will assist the insurer in evaluating any coverage issues, monitoring developments in the claim, analyzing liability and damage exposures of the insureds, providing input to defense counsel where appropriate, and negotiating any settlement in the claim.
Insurance Encyclopedia
Monoline insurer
Separately capitalised insurer that focuses wholly on one type of business, e.g. bond credit insurance. They are product speciality insurers often working on a wholesale basis.
Monoline Policy
An insurance policy covering one subject of insurance, as opposed to a combination of multiline policy.
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Any single line policy coverage.
Monopolistic state fund
Some states have their own system for providing reparations to injured employees eligible under the state’s workers compensation act. Private insurance companies may not compete. The states are North Dakota, Ohio, Washington, and Wyoming.
Monopolistic state fund (Workers Compensation)
In certain states, the law requires companies to purchase workers compensation insurance from the government. This term refers to the state-run company that exists in those states for the purpose of selling the insurance. Private insurers are prohibited from selling insurance in these states.
Monte Carlo simulation
Mathematical technique that produces numerical solutions for differential equations. It is used extensively in finance for such tasks as pricing derivatives or estimating the value at risk of a portfolio. It is also used in insurance and risk management, typically to solve problems that require the calculation of one or more statistics of a probability distribution.
Month
Period beginning on a specific date (e.g., June 15) of any calendar month and ending on a day (July 14) of the next succeeding calendar month.
Monthly administration fee (Life Insurance)
A monthly fee assessed in universal life policies that covers the company’s administrative costs.
Monthly debit ordinary (MDO) (Life Insurance)
Polices wherein the premiums are collected in a similar fashion to industrial policies, at the door each month.
Monthly debit ordinary status card (Life Insurance)
A card that indicates the monthly debit ordinary business that is still in force and has lapsed.