Study 8 Flashcards
A word often used in place of the word “Claim”. It refers to the amount an insurer must pay because one the possibilities of loss insured against under a policy happened.
Loss
Damage to property by direct action of a peril insured against.
Direct Loss (or damage)
Loss resulting from direct damage to property
Indirect Loss
Without this there would be no need for insurance
Claims
A process in which an insurer makes good on it’s promise to pay money to, or on behalf of an insured if a certain event takes place
Claim
Insurance until you make a claim is
Peace of Mind
The loss of a right as a result of the non performance of some obligation or condition
Forfeiture
In law a limitation in time which legal action can be taken by a claimant. In insurance, the period of time in which a claim may be brought by the policyholder
Prescription
This refers to the remaining value of the property after it is severely damaged by fire or other perils
Salvage
This clause is common to commercial risk
Co-Insurance
Oral or written assertation of facts stated under oath
Sworn Statement
This only comes into play when you are underinsured
Co-Insurance
To have experienced a disadvantage or detriment
Prejudice
These people deal with claim settlements
Adjusters
This type of Adjuster is a salaried employee of an insurer who investigate, negotiates and settles claims for their employer
Staff Adjuster
These types of Adjusters operate as independent business people, they accept assignments from as many insurers as choose to use their services
Independent Adjuster
This Adjuster usually deals with small, straightforward losses that do not require the adjuster to see the damaged article or to visit the loss location
Telephone Adjuster
These Adjusters are hired by insured when having disputes with their own insurer and feel that an experienced adjuster who is not answerable to the insurer would be able to help negotiate a more favorable settlement.
Public Adjuster
An unusual, fortuitous, unexpected, or unforeseen even or occurrence
Accident
The happening or the continual exposure to an unfavorable situation, neither intended or excepted
Occurrence
A provision in some insurance and reinsured contracts covering only claims made during the term of the contract
Claims-Made Basis
