Creditor insurance under which a death benefit is added to protection against loss of income following accident, sickness and unemployment.

A mortgage aimed at those who own property but have no income. A mortgage is raised on the property and either: (i) an annuity is purchased and the mortgage, plus interest which is added to the original loan, is repaid on sale of the property, often after the death of the borrower; or (ii) less frequently, the loan is repaid on death or sale together with a fixed percentage growth in the property value with interest paid during the mortgage term. Lifetime mortgages are FSAregulated when the mortgage meets the definition set down in the legislation.

The London International Financial Futures and Options Exchange, the financial and non-financial derivative exchange that launched LIFFE Weather Futures in 2001. (Visit www.liffe.com). See EXCHANGE TRADED CONTRACTS.

Standardised exchange-traded weather derivatives launched by LIFFE for companies seeking to manage weather risk. LIFFE’s contracts are written for London, Paris and Berlin creating a basis risk. The weather index is the monthly mean of daily average temperature not degree days. The instruments are traded freely and are therefore liquid as well as being transparent as live bids and offers can be seen and made in real time on LIFFE Connect.

Covers breakdown but can be extended to cover sudden and unforeseen physical damage to the plant at the premises, temporarily elsewhere and in transit between the two. It also covers damage to own surrounding property resulting from fragmentation, damage to goods being lifted (excluding installed plant and machinery) and third party risks.

Regulations relating, inter alia, to the initial installation of certain lifting equipment. The employer must then appoint a ‘competent person’ to inspect the lifting equipment at agreed intervals. The inspection is often performed by insurance companies. LOLER covers lifts, cranes, lifting and handling machinery in all workplaces. The provisions of PUWER 1998 apply to lifting equipment.

The cover provided under a lift policy is applicable to items such as: electric or hydraulic passenger and goods lifts, manual goods lifts and service lifts, paternosters, motor vehicles lifting tables, and builders’, coal, coke, cupola hoists.

An insured peril added to a standard fire policy to cover damage by lightning. It is independent of the fire peril. No ignition is necessary.

The maximum sum an insured may collect, or for which an insured is protected, under the policy. It is a ‘sum insured’ under property insurances but a ‘limit of indemnity’ under liability policies. The liability limit may be: per policy, per event, per occurrence, per year, per ‘originating cause’ or, by way of sub-limit, per specified type of loss. See COSTS INCLUSIVE INDEMNITY; COMBINED SINGLE LIMIT.

Specifies the maximum periods from the accrual of the cause of action for which claims will be heard before becoming statutebarred. The main periods are: six years for simple contracts and claims for personal property; 12 years for contracts by deed or concerning real property and land; and three years for personal injury (but the court can extend this period (s.11)). If the claimant is unable to take action at the time of accrual because of a disability (e.g. mental incapacity), the time runs from when the disability ends. By s.11 the time runs from the cause of action or when the claimant first had significant knowledge of his right of claim and the identity of the defendant. The Latent Damages Act 1986 deals with latent damage cases.