Provisions in addition to the regular insuring and benefit provisions, and to the standard uniform provisions, which define and limit the coverage. Also, often called general provisions.
Tag: RAW
Additional Reserve for Unexpired Risk
The reserve held in excess of the unearned premium reserve, to allow for any expectation that the unearned premium reserve will be insufficient to cover the outstanding risk in respect of the unearned expenses.
Additional term insurance option
Option in a life insurance policy in which current dividends are used as a net single premium to purchase 1-year term insurance to maintain level protection for a period up to the insured’s retirement age. This is often used with a split-dollar plan. Also called additional insurance option or fifth dividend option.
Additional voluntary contributions (AVCS)
Voluntary contributions by pension scheme members to boost their eventual retirement income. Tax relief on AVCs is subject to the normal limits, but they cannot be commuted to a taxfree lump sum. AVCs are ‘in-house’, or set up as an FSAVC (free standing AVC) from a provider of the individual’s choice. See HEADROOM CHECK.
Additions and alterations
Coverage that protects any additions, alterations, and improvements a condo owner makes to his unit, for up to 10 percent of your contents limit. This coverage can be increased.
Additions and deletions clause
A clause applicable to certain aviation hull insurances under which the cover is automatically extended to include further aircraft owned or operated by the insured of the same type and value of the aircraft already insured.
Additions, deletions, revisions (ADR)
Commonly used acronym in relation to a hospital charge description master (CDM); also called charge master.
Additur
A situation where the court increases a previous award.
Addressable
Under HIPAA rules, implementation specification under the security rule related to encrypted electronic mail that contains the patient’s protected health information. The provider must implement the specification as stated in the rule, implement protections equivalent to the rule, or clearly document why the implementation specification does not apply.
Adequate
A criterion of insurance rate regulation that stipulates that an insurer’s premium rates must be adequate to cover the insurer’s cost of doing business, claims payments, and a reasonable profit to the insurer.