Monitoring or coverage counsel

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.

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.