A combination of with-profit endowment and decreasing term insurance introduced as a part of house purchase schemes.

Variation of low cost endowment under which the premiums in the early years are low on the understanding that later premiums will be at higher than normal level to compensate for the early years reduction. The aim is to assist a person with a limited income but who has prospects of good future salary increases. The sum insured and bonuses are not affected by the low early premiums.

Minimum a person must earn in any pay period before they have to pay national insurance. Reviewed annually.

A ‘nuisance’ peril that may create liability for third party property damage. Construction industry firms face this risk, which can also cause damage to the contract works and the insured’s own property. Insurance can be arranged under JCT clause 21(2)(1) ‘non-negligent’ cover. Ground water is water occupying the pores and crevices of rock and soil as opposed to surface water. Where the work of the contractor lowers the ground water the stability of buildings may be undermined leading to a nuisance.