The legal name for the earnings cap.
Insurance Encyclopedia
Perpetual insurance
Fire insurance method under which the insured pays a deposit in a lump sum or in instalments based on a percentage of the value of the property at risk. The insurer invests the sum paid in order to accrue interest from which claims will be paid. The insured can end the arrangement by withdrawing his deposit.
***
Property Insurance (usually covering Fire and extended coverage perils) under which the insured, rather than paying periodic premiums, deposits a sum large enough that the investment earnings on this deposit can pay insured losses plus the insurer’s operating expenses. This deposit and its investment earnings, minus loss payments and Underwriting expenses, is held in the insured’s name. The insured is entitled to the balance of this account upon withdrawing from the perpetual Insurance arrangement.
Persistency
MEDICAL,USA: 1. Percentage of insurance policies that remain in force. 2. Percentage of insurance policies that have not lapsed. 3. Retention of business occurring when an insurance policy remains in force because of continued payment of the policy’s premiums.
***
A measure of the length of time for which a policy remains on the books before it is lapsed by the insured.
***
US: A term used to refer to the length of time insurance remains continuously in force.
***
UK: The renewal quality of insurance policies, particularly life policies. High persistency means that a high proportion of policies stay in force until the end of the policy term. Low persistency means a high percentage of lapses.
Persistency (Life Insurance)
A factor important in underwriting; this term refers to the chance of the insurer’s business not lapsing or being replaced by another insurer’s coverage.
Persistency fee
Dollar amount paid above standard insurance commissions as long as a policy remains in force.
Person assured (or insured)
the policyholder or person effecting a policy (not necessarily the same person as the life assured or the beneficiary).
Person guaranteed
The person, also called the principal, whose fidelity or undertaking is the subject of a fidelity guarantee or a bond.
Person served
In the Medicare program, enrollee to whom Medicare pays benefits for covered medical services if there are expenses beyond the deductible amount.
Personal abuse
When another person intentionally causes another individual mental or physical harm or pain.
Personal Accident
An accident is essentially unexpected, not intended or designed. Certain voluntary acts which results in bodily injury are included, as for example, where a person in order to escape from a building jumps from an upper window and is injured by his fall.Fortuitous occurrence caused by external visible and violent means is considered as an accident. Any person meeting with accident has to suffer (the consequences of the accident) and the result of an accident may widely vary from simple injury to death.Question often arise whether events like suicide, murder, frostbite, snakebite, animal bite, insecticide, drowning etc., can be regarded as accidents. Applying the various tests, it can be stated that while suicide and murder or homicide following grave provocation are not accidents, homicide or murder without provocation, frostbite, snakebite, animal bite, insecticide and drowning are accidents.Death due to Malaria after a mosquito bite too is termed as an accidental death as is rightly pronounced by Hon’ble National Commission in case of National Insc Co v/s Mousmi Bhattacherjee (RP 1270/2016). The Commission pronounced that an accident is something that happens unexpectedly and not planned in advance and causes injury. Thus, no one can predict about the mosquito bite and it can happen anywhere and anytime like an accident. It has already been a settled law that snake-bite, dog-bite, frost-bite are also accidents. As such death of the insured person due to Malaria after a mosquito bite is termed as accidental death.