New cause that intervenes into a sequence of events that is not the reasonable, natural or probable consequence of the preceding cause. It breaks the chain of causation. Even if the chain started with an insured peril there will be no liability for losses occurring after the occurrence of the intervening cause which changes the outcome and destroys the cause and effect relationship between the insured peril and the loss. See PROXIMATE CAUSE.

In terms of the conduct of designated investment business an individual appointed by a provider firm or appointed representative whose role is simply to effect introductions or distribute non-real time financial promotions e.g. leaflets and brochures. The introducer should not give any investment advice except discreet advice to the effect that the client should consider making an investment and recommending a suitably authorised individual or firm he or she may consult. Introducing is also regulated under ICOB as part of arranging non-investment insurance contracts.

An appointed representative appointed by a provider firm and whose scope is limited to: effecting introductions; distributing non-real time financial promotions, e.g. leaflets, brochures. Such a representative can have an unlimited number of principals.

Warranty whereby the insured under a commercial policy must: install an intruder alarm system as specified; inspect and maintain the system in accordance with specified standards by a NACOSS or other approved installer; put the system into full and effective operation whenever the alarmed portion of the building is closed or unattended. All keys must be removed from the premises when closed or unattended except for a part of the premises residentially occupied.

Means taking effect for the benefit of a particular party. Reinsurance contracts may provide that other reinsurances, applied first to the loss, are to ‘inure to the benefit of the reinsurer. If the other insurances are to be disregarded they ‘inure to the benefit’ of the reinsured.

diffuse term often applied to a single premium whole of life or endowment policy providing minimal guaranteed death benefits and with little or no contractual penalty for early surrender; often applied to a ‘cluster’ of identical life policies designed to facilitate flexibility on making partial surrenders.

Sets out details of investments held by a pension fund and the buying and selling transactions that have taken place. It explains why the particular investments were chosen and why changes were made in the investment portfolio.