Miscellaneous Personal Lines Coverage Flashcards
What is “Flood Insurance”?
Flood policies provide protection for direct loss to insured property.
Flood is defined as a general and temporary condition of partial or complete inundation of land as a result of:
Overflow of inland or tidal waters
Rapid accumulation or runoff of surface waters
Mudflow caused by accumulation of water
Collapse or destabilization of land along a shoreline
What is “Personal Articles Floater” (Scheduled Articles Floater)?
Used to insure “individual” personal property on an itemized or scheduled basis.
Coverage is worldwide.
What is “Excess Coverage”?
Property coverage above the primary amount of insurance. Excess does not pay until primary is exhausted.
What is an “Umbrella Policy”?
Designed to provide coverage on a worldwide basis to third parties on does not pay benefits directly to an insured.
What is “Difference in Condition (DiC) Insurance”?
DiC Insurance is a special form used to fill in the gaps of a property policy. There is no standard policy form, no coinsurance, no pro rata clause.
What is a “Yacht Policy”?
Ocean marine form, designed for larger vessels.
Coverage:
Property and liability
Bodily injury and damage to property of others
Coverage for fuel spills, commercial towing and dinghies
What is the “Federal Emergency Management Agency (FEMA)”?
Government agency that administers the National Flood Insurance Program (NFIP)
What is “Fair Access to Insurance Requirements (Fair Plan)”?
Plans established by state to provide basic property insurance to property owners who are unable to secure coverage in the standard property marketplace.
What is “Write Your Own (WYO)”?
A cooperative effort involving FEMA and the private sector that allows existing property and casualty insurance companies to write, issue, and service flood insurance under their own names.
What is a “Boatowners Policy”?
Similar to HO, it provide bodily injury and property damage liability coverage for an occurrence arising out of the use or maintenance of covered property or a non-owned boat.
What is “Personal Umbrella Policy”?
A policy covering bodily injury and property damage and personal injury liability in excess of the insured’s underlying policy limits.
This provides excess coverage over the limits of an underlying policy.
What is an “Appraisal”?
Specifies that is the insured and insurer cannot agree on the amount of a loss, either may demand an appraisal…
What is “Discrimination”?
Permitting individuals of the same class and hazard to be charges different premium rates of the same coverage.
What is the “National Flood Insurance Program (NFIP)”?
Enables property owners to purchase federal flood insurance.
Administered by the Federal Emergency Management Agency (FEMA).
What is “Bodily Injury”?
Legal liability arising from physical injury to a person, including sickness, disease, and death caused by the negligent or purposeful acts or omissions of an insured.
