This policy is intended to pay for the insured student’s educational costs in the event that the providing parent or guardian is killed in an accident or becomes completely disabled for the rest of his life.
(a) The primary purpose of the policy is to pay for the covered student’s educational costs.
(b) The amount insured is determined by the cost of education for a certain course.
(c) The policy period (typically a long-term policy) corresponds to the duration of the course.
(d) A financial institution receives the compensation amount and releases funds in accordance with the needs of the educational institution.
(e) The insured student receives payment for the balance in the account at the end of the course.
(f) If a student stops studying, the money that is still in his account is reimbursed to him after the deadline, which is when the course would have completed if he had kept going.
One of the policy’s unique features is that it covers accidents where the parent or guardian dies as a result of surgery or within seven days of the procedure.
The intention behind marine insurance contracts is to cover the discharge of insured cargo at a port of distress.
The latter term refers to any port, short of destination and within sight of the intended port of discharge, at which the carrier discharges the cargo because the ship has encountered problems that prevent her from continuing the transit of the goods.
When the cargo arrives at its destination, it may be difficult to determine whether the forced discharge caused the loss or damage.
For example, it could have occurred during reloading, onward carriage, or unloading at the final port of discharge. Evidence must demonstrate that the loss or damage is reasonably attributed to discharge at the port of distress.
A method of allocating a claim covered by two or more insurance policies. Each insurer’s liability is calculated independently, and each insurer contributes in proportion to the amount of his liability as determined.
UK Version: When a claim arises, insurers contribute ‘rateably’ to the loss. The independent liability method calculates each insurer’s liability as if the other policy did not exist. The insurers then calculate their contribution to the loss in proportion to their individual liabilities, particularly in liability insurance and non-concurrent policies. Example: The policy of liability insurer A limits liability to £1 million, while the policy of liability insurer B limits liability to £0.5 million. The total loss is £200,000. Each insurer is individually liable for £200,000 and thus contributes £100,000 (50%) to the loss. Insurer B would benefit from the maximum liability (or pro rata) method, which apportions claims in proportion to indemnity limits or sums insured (2:1 in this case), implying that A would pay £100,000 and B would pay £50,000.
A list of additional reinsurance contracts that are initially implemented in accordance with the conditions of a certain reinsurance agreement in order to lessen the loss covered by that specific reinsurance agreement.
These additional “inuring” reinsurances essentially insure the specific reinsurance contract they insure. It is argued that the other reinsurances only benefit the reinsured if they are to be ignored in regards to loss under that specific arrangement.
For instance: A ceding insurer has a per occurrence excess of loss contract (catastrophe reinsurance) for £80 million over £20 million and a 50% quota share agreement. There is a £100 million disaster loss.
In the event that the quota share contract benefits the catastrophe reinsurer, the ceding insurer bears the £20 million catastrophe retention, the catastrophe reinsurer reimburses the ceding insurer to the extent of £30 million, and the quota share reinsurer receives the first £50 million of the £100 million gross loss.
The catastrophe reinsurer would have suffered a loss of £80 million following the ceding insurer’s £20 million retention, and the QS cession would have applied to the remaining £20 million, netting the cedent’s loss to £10 million, had the quota share not inured to the catastrophe reinsurer’s benefit.
Established as the centralised policy signing and claims processing office for the global insurance business market in London by the International Underwriting Association.
It established the LPC Irrevocable Payment System (LIPS) as a central settlement system for members’ and brokers’ accounts, and it used the LPC’s Claims and Loss Advice Settlement System (CLASS) to electronically settle the majority of claims. In 2001, these services were moved to Ins-sure Services Ltd.
This case resulted in the classic definition of proximate cause: ‘proximate cause means the active, efficient cause that sets in motion a train of events that leads to a result, without the intervention of a force started and working actively from a new and independent source’.
See Als STRAW CAUSES; LAST CASES; INTERVENING CAUSES; REMOTE CAUSE; CONSECUTIVE CAUSES. CONCURRENT
A provision in a property reinsurance catastrophe treaty that the reinsurer will be liable only in respect of claims where at least two risks are involved in one accident.