TSI Flashcards
An insurance company (Blue Cross Blue Shield, Statefarm, ect.)
Insurer
The party who is covered by the policy and has insurance
Insured
The party who purchased the policy from an insurer and pays the premiums. Only this person can make changes to a policy
Policy Owner
A person who sells, solicits, and markets insurance for an insurer. AKA Insurance agent
Producer
An employee of the insurance company who checks applications, issues policies and sets premium prices
Underwriter
If policyowner and insured are two different people (husband and wife) it is called
Third Party Ownership
These people must predict future claims in order to set accurate pricing structures
Actuaries
Stock insurers are owned by stockholders, and dividends (profit) are paid to stockholders
Stock Non-Participating
Mutual insurers are managed by a board of trustees and are owned by policyholders, thus the insureds DO participate in the profits of the company
Mutual-Participating
Insurance is generally regulated by each state through a department of insurance, which is headed by one person. This person is appointed by the governor
Commissioner of Insurance
Incorporated within the same state they are headquartered in.
Domestic Insurers
Incorporated in another state or US Subsidiary
Foreign Insurers
Incorporated in another country entirely
Alien Insurers
The insurer is only obligated to reimburse an insured for the actual amount of loss to return them to the same financial position prior to loss.
Indemnity
All insurance contracts are written with the assumption that both parties are truthful
Utmost good faith
