A derivative, sold by a financial intermediary, tailored to particular risk financing needs rather than being exchangedtraded. I-Wex OTC Weather Risk Market allows ‘open access’ enabling a company to submit all details, barring price, of the weather risk they seek to hedge. Others search the database with a view to making offers.
Insurance Encyclopedia
Over-the-counter drugs
Drugs that may be purchased without a prescription from a medical professional.
Overage
(1) Additional premium payable on a Marine Insurance Open cover or policy when the insured goods are carried on a vessel which does not come within the scope of the Institute Classification Clause, usually because it is too old. (2) The excess amount of a liquid cargo which weighs more when landed than the weight reported when shipped.
Overage insurance
Health insurance issued to an insured over the age of 65, which is the usual limit.
Overall Liquidity Ratio
Total admitted assets divided by total liabilities less conditional reserves. This ratio indicates a company’s ability to cover net liabilities with total assets. This ratio doesn’t address the quality and marketability of premium balances, affiliated investments and other un-invested assets.
Overall premium limit
Maximum amount of business a Lloyd’s member may write based on the member’s Funds at Lloyd’s (FAL). The limit is allocated to syndicates in proportions agreed between the member and the member’s agent.
Overall premium limit (OPL)
the maximum amount of premium a member may accept for an underwriting year under the rules of Lloyd’s.
Overall premium limit (or overall premium income limit) (OPL)
In relation to a member, the limit for the time being prescribed on the amount of insurance business which is to be underwritten on his behalf from time to time, such limit being expressed as the maximum permissible amount of his premium income allocable to any year of account.
Overall profit before tax
This is an organisations final result after all premium income, investment and other income, claims incurred and operating and other expenses are accounted for, but before any tax has been paid.
Overcarriage
Marine insurance term in reference to a situation where certain goods are not discharged at the destination port but are ‘overcarried’ and dis charged on the homeward voyage. This amounts to deviation and the risk ceases when the vessel sails on from the port of destination still carrying the goods.