G, H, I, & J Definitions Flashcards
Define
General Damages
General Damages:
Type of Compensatory Damage award that reimburses the injured party for such things a pain and suffering and disfigurement. See also Special Damages
Define
Hazard
Hazard:
Something that increases the chance of loss.
The three types of hazards relative to insurance include physical, moral and morale hazards
Define
Health Insurance
Health Insurance:
A broad group of insurance coverages providing protection for medical expenses, loss of income due to disability and long-term care.
Protects the insured against financial losses resulting from illness or accident, to provide protection for loss of income due to a disability, or financial assistance in long-term care situations.
Define
Implied Authority
Implied Authority:
Authority given by the principal (insurer) to an appointed agent that is not formally expressed or communicated. Implied authority may be deemed incidental to Express Authority, e.g. the collection of premium on behalf of the insurer may not be expressed by agreement, but it is good business. Implied authority may be deemed to exist because of an insurer’s inaction, they don’t stop the activity, because it is considered good business.
Define
Imports
Imports:
Category of the Nationwide Definition that includes risks eligible for Ocean Marine insurance.
See also Exports
Define
Imputed Liability
Imputed Liability:
See Vicarious Liability
Define
Incidental Contract
Incidental Contract:
See Insured Contract
Define
Indemnify
Indemnify:
Principle of insurance that provides that when a loss occurs, the insured should be restored to the same financial condition after a loss as was occupied before the loss occurred, no better or no worse.
Also called indemnification or indemnity.
Define
Independent Adjuster
Independent Adjuster:
Claims handler who works independently instead of for a particular insurer
Define
Independent Adjustor
Independent Adjustor:
An insurance producer who represents more than one insurance company, rather than a single company. Also called a nonexclusive agent.
See also Captive Agent
Define
Indirect Loss
Indirect Loss:
Loss that is the result or consequence of a direct loss. Also called a consequential loss. Loss of income is an example of an indirect loss.
Define
Insurable Interest
Insurable Interest:
An insurable interest exists when a person would suffer financially if specified property is lost or damaged, e.g. an individual’s home is damaged by fire, which results in a reduction in value, whether the individual will pay to have the home rebuilt or sold at a reduced price.
Define
Insurance
Insurance:
Contract or device for transferring the financial risk of loss from a person, business or organization to an insurance company that agrees, in exchange for a premium, to pay for losses according to the policy’s provisions.
Define
Insurance Commissioner
Insurance Commissioner:
Head official of a state insurance department. Also referred to as Insurance Director or Insurance superintendent or just Director.
Define
Insurance Department
Insurance Department:
State department charged with controlling insurance matters within the state. Also referred to as Insurance Division, in some states, the insurance department is a division under another department.
In Oregon, the Insurance Division is one of twelve divisions under the Department of Consumer and Business Services (DCBS).
Define
Insurance Producer
Insurance Producer:
A person required to be licensed to negotiate, sell or solicit insurance. An insurance producer is authorized to represent the insurance company or the purchaser of insurance. An insurance producer cannot act as an agent of an insurer unless appointed by that insurer as its agent.
Define
Insurance Services Office (ISO)
Insurance Services Office (ISO):
Organization established for the benefit of its member insurance companies and other subscribing companies. ISO gathers statistics, provides loss costs, drafts policy forms and coverage provisions, and conducts inspections for rate-making purposes.
Define
Insured Contract
Insured Contract:
Term used in the Commercial General Liability (CGL) and Businessowners (BOP) Liability forms to describe contracts for which contractual liability coverage is available under the policy, such as leases, sidetrack agreements and elevator maintenance agreements.
Also called incidental contracts.
Define
Insuring Agreement
Insuring Agreement:
Section of an insurance policy that describes what is covered and the perils the policy insures against, in other words, the insurer’s promises.
Define
Interline Endorsement
Interline Endorsement:
An endorsement that modifies two or more lines of insurance.
Define
Intervening Cause
Intervening Cause:
An independent action that breaks the chain of events and sets in motion a new chain of events. When this occurs, the intervening cause may become a new proximate cause. Also serves as a common law defense against liability
Define
Invitee
Invitee:
A person invited onto a premises for some purpose involving potential benefit to the property owner
Define
Jones Act
Jones Act:
Federal law that allows members of ships’ crews to sue their employer/shipowner at common law for injuries caused by the employer’s/shipowner’s negligence.
Define
Judgment Rating
Method of rating that establishes premiums based on a careful evaluation of each individual risk, without the use of manuals or tables.
Insured
Insured
Insurer
Insurer: Includes every person engaged in the business of entering into policies of insurance.
