Risk Management

The amount of insurance available above a basic or underlying liability limit.

Exhibitions insurance covers property while it is being transported to, displayed at, and returned from a trade show, fair, gallery, or similar exhibition.

The set of records an insurer or agency uses to monitor upcoming policy expirations and manage renewal activity.

Learn about the Face of a life insurance policy which is typically the first page detailing essential information and terms. Understand its components and significance.

Explore facultative reinsurance, a type of reinsurance where the reinsurer can accept or reject individual policies presented by the insurer. Learn how it works and its benefits.

Understand how a Farmers-Ranch Owner’s Policy offers tailored coverage for farm residences, barns, stables, and more, making it a superior option compared to standard homeowners insurance.

Learn about the term 'Field' in general insurance. Discover how it categorizes insurance types like health insurance and refers to regions served by agents.

Discover how fire maps are utilized in property insurance to visualize covered risks and avoid catastrophic losses. Learn about the importance and utility of these maps for insurers.

Learn about First Loss Insurance, the key policy for submitting initial claims and securing anticipated loss coverage.

Understand the concept of flat rate in reinsurance, its derivation from the premium income of the ceding insurer, and its implications in insurance and reinsurance transactions.

Learn about the following form in property insurance, a type of policy written in exactly the same terms as other property insurance policies covering a piece of property.

Understand franchise deductible in general insurance. Learn how it impacts coverage, claims, and what it means for your insurance policies.

A fire protection rating method used in property insurance to reflect municipal fire defenses and water supply.

Understand incurred expenses in general insurance, which refer to costs that have been accrued but not yet paid. Learn about their significance in insurance claim handling and financial reporting.

Understand the term 'Indemnify' in general insurance as the act of returning a policyholder to their pre-loss condition. Learn its importance and application.

Learn about the role of an indemnitor in general insurance terms, where an individual or company agrees to assume obligations normally placed on a surety if the person bonded defaults.

Understand industrial risk insurers, an association of stock property insurers and casualty insurers formed to write insurance for large amount risks.

Learn about the role and importance of inspection bureaus in liability and property insurance. Understand how these groups investigate exposures and establish insurance rates.

Understand the term 'Item' in general insurance—a reference to individual pieces of property covered by a policy or a schedule listing all insured property.

Learn about the Joint Underwriting Association, a collective of insurance companies providing specific insurance types, funded through premiums and assessments.

Understand the lessee’s safe deposit box coverage form in insurance. Learn about how it covers the loss of items stored in safe deposit boxes at depository facilities and the exclusions of the policy, including the non-coverage of money.

Discover what a Line Slip is in health insurance. Learn how this broker-written document outlines prospective risks for underwriters and the fractions of risks they insure.

Explore how livestock insurance provides financial support through lump sum benefits if your animals die due to specified perils. Secure your livestock investment with the right coverage.

Explore the role of a Loss Prevention Engineer in liability insurance, including their contributions to reducing possible future claims and ensuring policy efficacy.

Understand the term 'malinger' in general insurance, where individuals misrepresent the severity of a disability to continue collecting benefits longer than necessary.

Understand the concept of a minimum retrospective premium in liability insurance and workers compensation, which is the smallest amount payable by the insured under a retrospective rating plan.

Learn about Multi Peril Crop Insurance, which offers coverage for crop loss due to weather conditions, insects, floods, and other named perils to safeguard your agricultural investments.

Discover how mutual atomic energy reinsurance pools work in liability insurance, focusing on coverage for private nuclear energy reactors. Learn the specifics of this specialized insurance type.

Learn about Mutual Benefit Association in general insurance, where members receive benefits through assessments instead of regular premiums.

Explore the definition of a mutual insurer, an incorporated insurer that operates for the benefit of its policyholders, offering them dividends without incorporated capital.

Learn about mysterious disappearance coverage in insurance, explaining how it differs from named perils like robbery and its implications for property disappearance cases that remain unexplained.

Learn about name schedule bonds (criminal), a fidelity bond that provides coverage for losses due to dishonesty by a specifically named employee. Essential for risk management.

Learn about the definition and implications of being a Named Insured within insurance policies. Discover who is listed, the protections offered, and scenarios where policy coverage extends to others.

Understand the concept of named perils in property insurance, which lists specific causes of loss that are covered on an insured property. Learn how this can affect your coverage.

Understand the diverse meanings of 'Net Premium' in general insurance, including premiums after agent commissions, expected future losses, and deducted dividends.

Understand what constitutes a noninsurable risk within general insurance terms. Discover why certain risks cannot be insured due to high probability of loss or inability to measure actuarially.

Learn about Noninsurance, a term referring to the complete lack of financial preparation for potential losses. Understand its implications in risk management and financial planning.

Learn about the important aspect of 'Notice of Loss' in general insurance terms, how and when to notify your insurer about a loss.

Occupancy describes how a building or location is actually used, which directly affects property-insurance underwriting and pricing.

Understanding Package Policy in insurance—Learn how an insurance policy that includes more than two different kinds of coverage can provide comprehensive protection for both personal and commercial requirements.

Discover how a personal effect floater in property insurance provides coverage for personal property carried by the insured while traveling. Learn more about specified risk or open peril policies.

Discover how a Personal Property Floater policy covers your property at any location under most circumstances, with exceptions like war or nuclear disaster.

Explore the concept of portfolio return in reinsurance, which involves the reinsurance of a portfolio that was previously reinsured. Learn about its significance, processes, and regulatory implications.

Learn about prospective rating plans, which use past losses to establish future premiums in general insurance. Understand how this method helps evaluate risks and set accurate premium rates.

Learn about the prospective reserve in health and life insurance, a reserve that accounts for future premiums, interest, and is sufficient to pay future claims.

Understand how Public Employee’s Dishonesty Coverage protects against losses due to employee dishonesty, including the loss of money or securities.

Understanding Pure Premium: The portion of the premium payment designated to cover probable losses in general insurance.

Learn about pure risk in general insurance, a type of risk where loss is the only foreseeable outcome. Explore how it impacts insurers and why it is not beneficial.

Explore the concept of pyramiding in liability insurance, where the limits of liability on multiple policies apply to the same loss, creating the effect of a higher aggregate amount of insurance.

Learn about Rating Bureau in insurance, an organization that classifies rates and hazards by geographic area. Understand its role in the insurance industry.

Learn about recapture in reinsurance, a process where the ceding company reclaims previously transferred business from the reinsurer. Understand its importance and implications in the insurance industry.

Learn about reinstatement in reinsurance, its importance in re-effecting catastrophe reinsurance policies that have already paid out, and how reinstatement premiums work.

Learn about renewable term life insurance, which allows policyholders to renew their term life policy without needing to provide evidence of insurability. Discover how this type of policy works and its benefits.

Learn about retrocession in reinsurance, a transaction where a reinsurer cedes the reinsurance it has assumed to another reinsurer, diversifying risk.

Learn about the retrospective premium in general insurance, focusing on the last premium paid under a retrospective rating plan. Understand its significance and application.

Learn about 'Salvage' in general insurance, where insurers take over property to minimize losses and understand its role in the insurance industry.

Learn about shock loss in general insurance, a significant event that affects insurers or underwriting companies. Discover its impact and importance in the insurance industry.

Explore the concept of speculative risk in the context of general insurance—learn why such risks are not typically insurable and the implications for policyholders.

A comprehensive explanation of what a standard policy in general insurance entails, including its characteristics, limitations, and exceptions.

Learn about stock in property insurance, including materials in the manufacturing process and merchandise items for sale. Essential information for businesses and insurers.

Learn what a syndicate in general insurance terms is, how a group of insurers collaborates to insure high-value items or properties, and the benefits of achieving better coverage through this method.

Learn about true group insurance, a type of group insurance policy issued with a master contract and certificates of insurance for each member. Understand how it differs from individual policies.

Learn about the concept of General Average, a crucial term in marine insurance, which involves a partial loss incurred to prevent complete damage to a maritime venture.

Learn about the concept of Hazard in general insurance, a situation that increases the chance or severity of a loss due to a peril.

Learn about the role of health history in health insurance underwriting, including its importance in determining risk acceptance for healthcare policies.

Learn what 'Hired Automobile' means in vehicle insurance and how it applies to leased, borrowed, or rented cars, excluding those owned by the insured or their associates.

Insurable interest is a crucial concept in general insurance, referring to the financial stake an individual or company has in an insured item that would result in monetary loss if the item were damaged or lost.

Learn about the lapse ratio in life insurance, a key metric that evaluates the proportion of lapsed contracts compared to the total number in effect over a specific time period.

Explore the concept of latent defect in general insurance terms, where a defect does not present itself right away, impacting claims and coverage.

Explore what life expectancy means in the context of liability insurance, and how it is calculated using the mortality table as a reference.

Explore the concept of 'Limits' in General Insurance, which defines the maximum benefit paid out from a loss and the age-related constraints for policy issuance.

Learn about Livestock Transit Insurance, a specialized property insurance that covers accidents affecting livestock during transportation by rail, truck, or other means.

Explore the concept of loading in general insurance, which accounts for the insurer's operating costs and potential unforeseen losses. Learn how loading impacts premium calculations.

Gain insight into the Loss Development Factor (LDF) used in Workers Compensation. Learn how LDF helps insurers manage extra funds for late-reported claims and the development of losses.

Learn the basics of loss loading in reinsurance and how it influences the reinsurance rate. Explore how this essential factor is applied to a pure loss cost.

Learn about manuscript policies in general insurance, including their unique coverages and conditions, and how they cater to larger accounts in compliance with state laws.

Explore the definition and criteria of mobile equipment in liability insurance, including qualifications for land vehicles not registered as motor vehicles and primarily used off public roads.

Explore the concept of mortality savings in life insurance, which is determined by subtracting actual mortality experienced from expected mortality. Learn how it impacts insurance policies and premiums.

Explore the Multiple Location Rating Plan in property insurance, a strategic plan for commercial clients operating from multiple locations. Learn how it offers credits and reduces hazard through asset distribution.

Discover the concept of Natural Premium in life insurance, which represents the mortality cost for one year. Learn how it impacts your insurance policy.

Learn about net retention in general insurance— the portion of risk that a ceding company retains and does not reinsure to another party.

Learn what a policy lapse is in general insurance terms, which occurs due to non-payment of the premium due. Discover the implications and how to avoid lapses.

Learn about premium discounts in general insurance, including how policyholders benefit by paying premiums in advance and the impact on workers' compensation or general liability policies.

Discover how Pro Rata Distribution operates in general insurance, ensuring proportional payout based on the value of each insured item.

Learn about Products and Completed Operations Insurance, a crucial subline of general liability coverage for manufacturers and contractors. Discover how it protects businesses from claims caused by their products or completed operations.

Learn about Protection Class in Property Insurance, a critical rating determined by the Grading Schedule of Cities and Towns based on the level of fire protection.

Learn about proximate cause in insurance, a critical legal term that describes the primary cause that initiates a series of events leading to damage or loss to the insured person or property.

Learn about pure loss cost ratio in reinsurance, which represents the reinsurer’s losses in relation to the premiums received by the ceding company.

Learn about the term 'Rate' in general insurance, which signifies the cost of a specific insurance unit. Discover how it influences the premium amount.

Learn about reserves in general insurance terms, including how insurers use these funds to cover debts and specific purposes.

Learn about Retrospective Rating, a unique insurance plan used by large entities where the final premium is calculated based on actual loss experience.

Learn about riders in general insurance terms—a document attached to a policy that changes coverage parameters, either by increasing or decreasing benefits, or excluding certain conditions from coverage.

Learn about the runoff provision in reinsurance contracts, which ensures that reinsurers remain liable for losses under policies in force until expiration, even after contract termination.

Learn all about the short rate premium, its definition, and its implications in general insurance for policies issued for shorter terms than usual.

Explore the concept of solvency in the insurance industry, which measures an insurer's ability to cover liabilities and meet financial requirements.

Explore the impact of a sonic boom on property damage and understand the coverage provided by homeowners and commercial property insurance for losses caused by shock waves from supersonic travel.

Learn about the concept of standard risk in life insurance, which refers to an average risk level based on typical rates. Understand its impact on premiums and policy considerations.

Learn about Term Insurance, a life insurance policy valid for a set term, often until the insured reaches a certain age like 65 or 70. Discover its unique characteristics compared to whole life policies.

Learn what the Medical Information Bureau is and how it impacts health and life insurance. Discover how insurers use this bureau to access coded health condition information on individuals.

Learn about the retainer clause in reinsurance and how it specifies the portion of insurance the ceding company retains.