Coverage designed for damage negligently caused by a bailee or employee to goods left in their care. Often found on a commercial Inland Marine policy.
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Coverage that meets the needs of a bailee’s liability. His legal responsibility is to exercise care appropriate to the circumstances of the bailment. In addition, most bailees want to carry enough insurance to make good any loss to the property in their custody whether or not they are legally liable.
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Bailment
A contract or an agreement under which one person entrusts his property to another, the bailee, on the understanding that it will later be returned or otherwise accounted for, e.g. delivered to a prescribed destination. The bailee can insure the property on a material damage or a liability basis, or as agent or trustee on behalf of the owner. As public liability policies exclude property in the insured’s custody or control, special policies, overriding the exclusion, are written for hotel proprietors, garage owners, etc.
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The act of delivering property in trust to another for a limited time and specific purpose.
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A bailment is the delivery of goods by one person to another for some purpose, upon a contract that they shall. when the purpose is accomplished, be returned or otherwise disposed of according to the Directions of the persons delivering them. The person delivering the goods is called ‘bailor’ and the person to whom they are delivered is called ‘Bailee.’ (Sec. 148 of the Indian Contract act, 1872).
Bailment (Legal Terminology)
A person’s property that has been temporarily entrusted to another person.
Bailor
The owner of property that has been delivered to and is in possession of another.
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The person delivering property to another in trust.
Bailor (Legal Terminology)
A person who has temporarily given his or her property over to another person.
Bala nce Sheet
An accounting term which refers to a listing of the assets, liabilities and surplus of a Company or Individual as of a specific date.
Balance
Amount owed on a credit transaction; also known as the outstanding or unpaid balance .
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A reinsurance underwriter’s benchmark that measures premium volume against the limit exposed under a reinsurance agreement.
Balance bill
1. In third-party payer cases, this is the amount the provider bills the patient after the insurance payment has been posted. This amount may be the copayment and deductible and also the difference between the physician’s fee for medical services and the amount paid by the insurance company. 2. In Medicare cases, the participating physician accepts the Medicare-allowed amount and the patient may not be billed for the balance. The balance difference is not collected and an adjustment entry is posted to the patient’s financial account. However, the patient is also responsible for the 20% copayment and deductible. Also called excess charge . 3. In some plans, this billing amount is limited to the difference between the insurance plan’s allowable fee and the amount paid by the plan. Patients are responsible for copayments, coinsurance amounts, and deductibles.
Balance billing
Act of the provider of medical services to bill the patient for charges not paid by the insurance company. This is prohibited in the Medicare program and some managed care contracts if the physician has accepted assignment. See balance bill . Also called excess charge .
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Billing statement that is sent to the patient after his or her insurance company has paid its portion of the claim.
Balance of a Treaty
The ratio of the total premiums receivable by a reinsurer under a surplus treaty to the reinsurer’s maximum liability for any one claim, based on EML.