7 - Related services Flashcards
What is a helpline?
An extra service provided by an insurer in which the insured can phone a freephone number 24/7 for emergency assistance and/or expert advice.
What are some of the main examples of when a helpline may be offered by an insurer?
Private motor insurance for breakdown services
Household insurance providing emergency assistance or legal advice
Travel insurance to assist in a medical emergency by arranging treatment or repatriation or providing advice
What is an authorised repairer?
Contracted repairers that are preferred/recommended by the insurer
What are the main benefits of authorised repairers?
Competence - The insurer can guarantee the quality of the repair as sub-standard repairers would not be recommended
Cost - The insurer can usually negotiate reduced rates which lowers costs. These can be passed on to the consumer in lowered premiums
Convenience - It is convenient for both insurer and insured as the repair can begin more quickly
What line of business are authorised repairers most commonly used in?
Motor insurance
What is risk management?
The identification, analysis, and control of risks which could threaten the earning potential or assets of a company.
What are the three steps of risk management?
Identification
Analysis
Control
What may assist with risk identification?
A survey
What is risk analysis?
Analysing past data in order to quantify and evaluate risk
What is risk control?
lnvolves putting into action plans to reduce and even eliminate the risk.
What are the two types of risk control measures?
Physical controls
Financial controls
What risk control measures may insurers take?
Physical controls such as requiring the insured to have certain controls in place (eg a certain standard of lock or burglar alarm or sprinkler system)
Financial controls such as reinsurance and imposing an excess/deductible
What is the role of a risk surveyor?
Identify risks in order to make recommendations and provide advice to underwriters and insureds about what risks are involved and control measures to implement.
What is an uninsured loss?
A loss which is not covered by an insurance policy
What is a no claims discount?
When an insured has not made a claim on their policy they may be given a discount to reflect this. Often the discount will increase with the number of claim free years.