Insurance

Definition

  • A financial agreement and contract where an entity (insurance company) agrees to provide financial protection or compensation to an individual or entity (policyholder) in the event of a specified loss.

Synonyms
provision, protection, safeguard, assurance, guarantee, coverage, policy, backing, indemnity, safety

Acronyms
insur

Related Terms and Acronyms

  • Aggregate Limit of Liability Definition,
    • A restriction on the amount of liability an insured entity can place on an insurer in a specific time period.
  • Broad Form Insurance Definition,
    • Insurance that covers rare events not normally covered in an existing insurance policy.
  • Business Insurance Definition,
    • An umbrella term for insurance that covers various losses that may arise due to the operation of a business.
  • Captive Agent Definition,
    • An insurance agent who uses a limited number of insurance companies, or a single insurance company, when finding products for their clients.
  • Casualty Insurance Definition,
    • Insurance that covers losses and liability from injuries to others and/or damage to the property of others.
  • Catastrophe Insurance Definition,
    • Insurance that covers losses due to catastrophe hazards such as hurricanes, earthquakes and terrorist attacks.
  • Completed Operations Insurance Definition,
    • Insurance that provides protection against liability after contractual obligations have ended.
  • Concurrent Insurance Definition,
    • Multiple insurance policies that cover the same exposure.
  • Conditional Sales Floater Definition,
    • Insurance that covers losses on property sold conditionally or on an instalment plan.
  • Consignment Insurance Definition,
    • Insurance for assets on loan, consignment, in transfer of ownership, or up for auction.
  • Coverage Definition,
    • The type or amount of protection afforded by an insurance policy.
  • Coverage Area Definition,
    • A geographical area where travel insurance coverage applies.
  • Credit Insurance Definition,
    • Insurance that covers borrowers and/or lenders if one is unable to repay debts.
    • A policy that pays off the card debt should the borrower lose his job, die or become disabled. The structure of protection for a revolving credit card debt is calculated each month to cover only the debt that existed at the last billing cycle.
  • Declining Life Insurance Definition,
    • Life insurance with a decreasing death benefit, often used to insure mortgage debt.
  • Demolition Insurance Definition,
    • Insurance that covers demolition costs for an irreparably damaged building.
  • Deposit Insurance Definition,
    • The Canada Deposit Insurance Corporation insures depositors' funds to a maximum of $60,000 per depositor, per institution, with some exceptions, in the event of the failure of a federal financial institution. Deposits in some provincial financial institutions are also covered.
  • Direct Writer Definition,
    • An individual who writes insurance policies directly for an insurer.
  • Disability Insurance (DI) Acronym, Important,
    • Insurance that covers individuals who develop a condition that hinders their ability to work.
  • Employment Insurance (EI) Acronym, Canada,
    • A Service Canada program where premiums are paid by taxpayers and benefits are provided for the unemployed.
    Formerly known as Unemployment Insurance (UI).
  • Errors and Omissions Insurance Definition,
    • Insurance that protects architects, home inspectors and contractors from claims by clients for professional mistakes.
  • Exposure Definition,
    • How much liability an insurer takes on when they write an insurance policy.
  • Face Value Definition,
    • The value of an asset, or the size of an insurance benefit.
  • Fixed Premium Definition,
    • Insurance or annuity premiums that stay level for a specific period of time.
  • Floater Insurance Definition,
    • Insurance that covers assets not commonly covered by an existing policy such as electronics or jewelry.
  • Four Pillars Definition,
    • Refers to the main types of financial institutions: banking, trust, insurance, and securities.
  • Gap Insurance Definition,
    • A type of insurance offered to auto lease customers. This type of insurance covers the difference in value between a vehicle's book value and the amount remaining on a vehicles financing or lease, if such a difference exists.
  • Hazard Insurance Definition,
    • Insurance that covers hazards that are considered risky enough not to be covered by a standard insurance policy.
  • Health Insurance (HI) Acronym,
    • Insurance that covers the costs of medical expenses for insured persons.
  • Homeowners Insurance Definition,
    • A policy that includes hazard coverage, covering loss or damage to property and/or assets located within, as well as coverage for personal liability and theft.
  • Impaired Insurer Definition,
    • An insurance company that is financially insolvent or illiquid and in risk of being unable to pay insurance claims.
  • Indemnity Insurance Definition,
    • A class of insurance that covers liability for damages, which includes insurance types such as malpractice insurance and errors and omissions insurance.
  • Insurable Value Definition,
    • The total amount that an asset can be insured for.
  • Insurance Attorney Definition,
    • An attorney who works with insurance law.
  • Insurance Broker Definition,
    • An agent who sells insurance policies.
  • Insurance Claim Definition,
    • An application for benefits made by an insurance policyholder after an insured event.
  • Insurance Cycle Definition,
    • A cycle of soft and hard market conditions observed in the insurance and underwriting industry.
  • Insurance Fraud Definition,
    • An illegal attempt by an individual or entity to receive insurance benefits that they would otherwise not be entitled to or for an insurance company to deny a legitimate insurance claim.
  • Insurance Policy Definition,
    • A legal contract between an insurer and entity that specifies what the insurer is required to cover and any benefits the insured entity is entitled to.
  • Insurance Proceeds Definition,
    • The benefits received by an individual after a claim has been verified.
  • Insurance Renewal Definition,
    • Extending the term length on an insurance policy.
  • Insurance Score Definition,
    • A score used by those in the insurance industry to determine how likely a claim will need to be paid out for an individual or entity.
  • Insured Value Definition,
    • What an insurer will pay to replace an insured asset.
  • Kidnap and Ransom Insurance Definition,
    • Insurance that covers expenses involved if an individual is kidnapped and ransom payments are made.
  • Liability Insurance Definition,
    • Insurance that provides coverage for damages caused by an individual or entity's negligence or legal responsibilities.
  • Life Insurance Definition, Very Important,
    • An arrangement where an insurer agrees to pay a benefit to one or more beneficiaries in the event of the policyholder's death.
    CanEquity offers life insurance.
  • Lloyd's of London Company,
    • A market for insurance and reinsurance based in London, England where Lloyd's members, underwriters and financial backers can spread and share risk.
  • Lloyd's Syndicates Definition,
    • A group of Lloyd's of London underwriters.
  • Long Term Care Insurance (LTC) Acronym, Important,
    • Insurance that covers health care costs for individuals with chronic or disabling conditions.
  • Loss Payee Definition,
    • An entity that is legally entitled to the benefits of an insurance claim.
  • Mortgage Insurance Definition, Very Important,
    • Insurance that protects a lender if a homeowner fails to pay off his or her mortgage.
    • A policy covering a mortgagor from which the benefits are intended (a) to pay off the balance due on a mortgage upon the death of the insured, or (b) to meet the payments on a mortgage as they fall due in the case of his death or disability.
    CanEquity offers mortgage insurance.
  • Mortgage Life Insurance Definition, Very Important,
    • Insurance that covers the costs of paying off a mortgage if the insured dies or becomes disabled.
  • Policy Definition,
    • A set of rules or guidelines.
    • An insurance contract.
  • Policy Declarations Definition,
    • The section of the insurance policy that declares the specifics of the insurance policy including premiums, named perils, and policy limits, amongst others.
  • Premium Definition,
    • A payment made to an insurance company for insurance coverage.
  • Principal, Interest, Taxes, and Insurance (PITI) Acronym,
    • Acronym for the elements of a mortgage payment: principal, interest, taxes and insurance.
  • Property Insurance Definition,
    • Insurance that provides coverage for damages to property from a number of perils.
  • Reciprocal Insurance Exchange Definition,
    • A group of individuals, firms and corporations that mutually insure each other.
  • Renewal Definition,
    • Signing on again with the same lender once a term is up.
  • Renter's Insurance Definition,
    • Insurance that covers renters for liabilities or damages occurring to or within insured property.
  • Second-To-Die Insurance Definition,
    • Life insurance that only pays a death benefit when both spouses have died, commonly used in estate planning.
  • Self Insurance Definition,
    • Setting aside money or assets for a potential future loss.
  • Self-Build Insurance Definition,
    • Insurance that covers a homeowner for problems involved in a construction project.
  • Settlement Definition,
    • An agreement between the parties of a legal case.
  • Settlement Statement Definition,
    • A document that details who has paid how much to whom.
  • Single Interest Insurance Definition,
    • Insurance that covers a single party when more than one party has a stake in a property.
  • Standard Automotive Insurance Definition,
    • Auto insurance that covers those with average driving records.
  • Stock Insurance Company Definition,
    • An insurance company with multiple stockholders each owning shares in the corporation.
  • Stop Loss Insurance Definition,
    • A low premium, high deductible insurance policy with an upper limit on coverage.
  • Substandard Insurance Definition,
    • Insurance for those who are ineligible for standard insurance due to higher risk profiles.
  • Travel Insurance Definition, Very Important,
    • Insurance that covers a number of events that can occur when an individual is travelling out of the province or country.
  • Tuition Insurance Definition,
    • Insurance that covers tuition costs if a student is required to leave school in the middle of a semester.
  • Ultimate Net Loss (UNL) Acronym,
    • The final sum that an insurer is required to pay a policyholder after they have filed a valid claim.
  • Umbrella Insurance Definition,
    • Insurance used to cover different types of property in a single policy.
  • Unauthorized Insurance Definition,
    • A fraud where a scammer sells a victim an insurance policy that doesn't exist.
  • Underlying Retention Definition,
    • The liability an insurance company still retains after ceding liability to a reinsurer.
  • Unisex Legislation Definition,
    • Laws that prevent insurers from using gender as a factor when calculating premiums.
  • Valuable Papers Insurance Definition,
    • Insurance that covers damages to valuable papers such as property deeds or wills.
  • Wholesale Insurance Definition,
    • A form of insurance used by small businesses to provide benefits for employees.
  • World Insurance Definition,
    • Insurance that provides coverage worldwide.
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