A household contents policy covers such items as furniture, furnishings, household goods, personal effects, high-risk items, business equipment and money owned by the insured or any member of his family or for which he is responsible. In terms of commercial policies, contents include plant, machinery, equipment, stock, tenant’s fixtures and fittings all contained in the premises.

A scale of benefits under a personal accident policy as an alternative to fixed sum benefits. A maximum amount is fixed for payment on death but all other benefits for dismemberment and other forms of disablement are expressed as varying percentages of the death benefit.
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A scale of benefits payable under personal accident and sickness Insurance.

A reserve fund set aside by an insurer or other entity as a safeguard against heavy and unexpected losses that could not be covered out of other funds.
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Monies put aside by a Company in order to pay for unexpected losses.

A term describing those policies that do not fall naturally into one of the principal classes of insurance business. The term embraces insurances such as abandonment of events, pluvius insurance and others often of an unusual nature.

An allowance in the insurer’s premium calculation for possible fluctuations in claims costs. It is added to the risk premium that covers the average claims’ cost for the year. Wide fluctuations in claims experience necessitate a greater contingency cushion than narrow range fluctuations. Other premium computation elements: expenses loading and profit loading.
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The part of the Insurance premium used to cover the possibility of unexpectedly large or frequent losses having to be paid by the Insurer.

Also known as a reversionary annuity. The payments to the annuitant start on the death of a named person. One spouse can use this type of annuity to make provision for a surviving spouse.

Life policy under which the sum insured is payable on the death of one person (the life insured), provided it occurs during the lifetime of another (the counter life). The ages of both lives must be proved, but only the life insured is required to prove his state of health.

Term describing business interruption insurance extensions to cover external dependencies, e.g. suppliers.

an amount payable to a broker or ceding company, in addition to the normal percentage commission, calculated as a percentage of the insurer’s or reinsurer’s net profit on the business after allowing for overheads; also known as profit commission.