Glossary of life insurance terms pdf

A term life insurance policy in which all the premiums paid to the insurance company are returned to the policyowner at the end of the term if he or she has outlived the term. Usually, this is sold as a supplement to a permanent life insurance policy. Weve compiled a basic insurance terms glossary for our clients. Glossary of life insurance terms department of financial. The payment required for an insurance policy to remain in force. Glossary of health coverage and medical terms omb control numbers 15452229, 12100147, and 09381146 page 1 of 6 glossary of health coverage and medical terms this glossary defines many commonly used terms, but isnt a full list. If death occurs during the term for which the policy is written, proceeds are payable to the beneficiary. If you have any questions about the use or meaning of a term or expression in any particular product or literature, you should raise them with the provider concerned. Some term policies are renewable after your initial term period ends for one or more additional terms, even if your health changes. These glossary terms and definitions are intended to be educational and may be different from the terms and definitions in your plan or health insurance. Term life insurance a policy that gives protection for only a definite period of time e.

Various rights which may be exercised under the policy contract by the policy owner. Life insurance resource center glossary of life insurance terms agent an insurance company representative licensed by the state who solicits and. Auto insurance premiums are quoted for either 6 month or annual policy periods. Glossary of insurance terms actuary a professional trained in the mathematics of insurance and risk management, including the calculations of premiums, policy reserves and other values. An asset in insurance terms is something with monetary value that is covered by an insurance policy, such as a car or a property.

The health insurance company is referred to as a carrier. The coverage that is issued by a life insurance company. If kept long enough, the premium on this policy will increase faster than the death benefit. Policythe legal document issued by an insurance company to a policyholder, which outlines the conditions and terms of the insurance, also called the policy contract or the contract. Our insurance terms glossary is divided alphabetically by insurance terms in a quick reference guide to assist understanding the language commonly used by insurance companies. Glossary of reinsurance terminology term definition accident year experience reinsurance experience calculated by matching the total value of all losses occurring during a 12month period with premiums earned for the same period. Please refer to your policy or certificate of insurance for exact definitions of terms and coverage provisions. Browse our glossary of common life insurance terms to clear up any confusion and better understand how life insurance works.

Glossary of insurance terms the az for insurance practitioners terms generally associated with reinsurance ab initio a term used to describe avoidance of a contract from its inception or its beginning. Its purpose is to cover payment of outstanding loan balances in the event of their dying, or on the happening of other specified events. This class of business is sold in both the life and short term insurance. To help you better understand health insurance, heres a list of the most commonly used health care terms and definitions. Universal life insurance adjustable life insurance under which premiums and coverage are adjustable, company expenses are not specifically disclosed to the insured but a financial report is provided to policyholders annually. Glossary of life insurance terms department of financial services. Glossary of life insurance terminology gerber life insurance.

Glossary of insurance terms you may need to know columbus. Learning about life insurance can be a daunting task, especially if one doesnt know the meaning of the specialized words, of which there are many. If you have any questions about the use or meaning of a term or expression in any particular product or literature, you. Variable life insurance a policy that combines protection against premature death with a savings account that can be invested in stocks, bonds. Here are definitions of the most common concepts and phrases youll find when it. If there is any conflict between these definitions and the provisions of the. A professional trained in the mathematics of insurance and risk management, including the calculations of premiums. The amount actually paid on a life insurance policy at death or when the policyowner receives payment at surrender or maturity. Accidental death benefit in a life insurance policy. Insurance definitions, dictionary, glossary and terms. We belive that education is the primary funciton of the insurance broker. It covers many areas of the insurance business and also includes a variety of noninsurance terms that are related to insurance in some manner. The printed legal document stating the terms of insurance contract that is issued to the policyowner by the company.

Refer to this page as you read the information on our website and contact us if you have additional questions. Life insurance resource center glossary of life insurance terms. The discontinuance of an insurance policy before its normal expiration date, either by the insured or the company. Although a common core of benefits may be required, the employee can determine how his or her remaining benefit dollars are to be allocated for each type of benefit from the total amount promised. Browse our life insurance glossary of common terms intelliquote. Glossary of health coverage and medical terms page 1 of 4 this glossary has many commonly used terms, but isnt a full list.

In marine insurance, policy clauses which stipulate the coverage which applies. Whole, universal, and variable life insurance each has their own provisions, but all cover you for the remainder of your life. Third party person other than the insured or insurer who has incurred losses or is entitled to receive payment due to acts or omissions of the insured. Kaplan financial educations seventh edition of the glossary of insurance terms is a completely new volume. Please read your official policy for full details about coverages. Glossary of insurance terms national insurance brokers association. Weve curated additional glossaries of insurance terms and definitions to help you better understand the often confusing legal language of insurance. A company owned solely or in large part by one or more non insurance entities for the primary purpose of providing insurance. Acquisition costs all expenses directly related to acquiring insurance or reinsurance.

The definitions in this glossary are developed by the naic research and actuarial department staff based on various insurance references. The insurance contracts act allows an insurer to avoid. Agent the insurance company representative who sells policies on behalf of the insurer. An agent can be independent agent who represents at least two insurance companies or a direct writer who represents and sells policies for one company only.

Understanding life insurance terms preferred insurance services. Life insurance with critical illness as above but also pays out on diagnosis of certain medical conditions as laid out in the policy, i. In life and health this document would be called an actuarial memorandum. A term life policy that increases the death benefit each year during the term. Incurred loss ratio the ratio of losses incurred to premiums earned. Before you sign your name and make your first payment, though, you want to be sure you understand what youre getting. These glossary terms and definitions are intended to be educational and may be different from the terms and definitions in your plan. In marine insurance, a term used to define the act of an insured giving up the proprietary rights in insured property to the underwriter in exchange for payment of a constructive total loss.

When reading the definitions, please keep in mind that this glossary is provided as a guide only curated from various sources. An independent agent represents more than one company. The intent of this glossary is to provide the layperson with a general understanding of terms commonly used in probate law. You can browse through the entire glossary or select a specific range of terms alphabetically from the links below. Life insurance terminology doesnt have to be confusing. This glossary is intended as a general aid to help you understand some of the commonly occurring phrases and jargon used in the insurance world. But, sometimes the insurance jargon can be confusing were here to help. Amount stated in a policy contract as payable upon the death of the person whose life is being insured. Also see the health and life insurance glossary, property and casualty insurance glossary, small business insurance glossary and terminologies used in. Term life insurance a specific type of life insurance that provides death benefit protection for a specified length of time and.

Glossary of life insurance terms arizona department of. Term insurance life insurance payable only if death of insured occurs within a specified time, such as 5 or 10 years, or before a specified age. Some adjusters may provide a combined average agreementbondguarantee which would be signed by the cargo owner and his insurer. Glossary of health coverage and medical terms page 1 of 4. A request for payment due to death under the terms of a life insurance policy or. Insurance terms glossary solutions financial insurance. There are many insurance terms, words and phrases you may need to know. A term life insurance policy that covers the policyholder for a duration of 10, 15, 20 or 30 years or however many years the insured person chooses as the coverage term. If youre feeling baffled by all the new terminology, read through our glossary of life insurance terms and get some. It may also include disablement and can be offered as an option in connection with credit cards and auto loans. This glossary can assist you in understanding some of the terms you may encounter when researching online life insurance quotes and life insurance rates. Glossary of group insurance terms disabled life reserve dlr.

Definitions of health insurance terms in february 2002, the federal governments interdepartmental committee on. Glossary of insurance terms this list is not meant to be all inclusive, but should help with your understanding some insurance terms used in our website. Reinsurance by tradition permits each insurance company to frame its own rules for defining units of risks. Consumer glossary national association of insurance. In this life insurance glossary, we have defined many of these terms used throughout this website and, perhaps in your policy. Provider network all the doctors, specialists, hospitals, and other providers who agree to provide medical care to hmo, ppo, or epo members under terms of a contract with the hmo or insurance company. Term used in universal life policies to describe the total of all premiums and earnings credited to the account before deductions for any expenses, loans, and surrenders. Concurrently, as the death benefit increases, so does the premium. Tort a private wrong, independent of contract and committed against an individual, which gives rise to a legal liability and is adjudicated in a civil court. Salvage and subrogation those rights of the insured which, under the terms of the policy, automatically transfer to the insurer upon settlement of a loss.

A life insurance policy that is active for the entirety of the policyholders life. Glossary of health insurance terms blue cross and blue. Life insurance terms glossary and facts from netquote. On march 23, 2010, president obama signed the patient protection and affordable care act ppaca into law. Use this glossary of insurance definitions to help you better understand what each term means. Deferred annuity a financial product that allows a person to accumulate money on a taxdeferred basis, when purchased from an insurance company, that can subsequently be paid out as income stream or taken in a lump sum. Actuary business professional who analyzes probabilities of risk and risk. Ab initio a term used to describe avoidance of a contract from its inception or its beginning. Remove confusion from your health insurance shopping. Gerber life term life insurance can be renewed annually following the initial term, and in accordance with the conditions of your initial policy.

Statespecific statutory and regulatory information updated in the wrapup guide april 2020. The insurance contracts act allows an insurer to avoid a policy ab initio in situations where an insured fraudulently non disclosed or fraudulently misrepresented information when applying for insurance. Adjustable life insurance age at entry age at maturity age limits annual premium annuity annual premium payment mode annualised premium annuitant annuity retirement option or life annuity glossary of terms please click on the term to view its meaning term. Also called the coverage amount, face amount or sum insured. Except when very small estates are involved, beneficiaries. This document is for informational purposes only and is not intended to alter or replace the insurance policy.

Your american family agent is the perfect person to ask. Nov 29, 2018 a request for payment due to death under the terms of a life insurance policy or annuity contract. Insurance glossary india a to z terms of insurance. A company owned solely or in large part by one or more non insurance entities. The reserve reflects the present value of all future payments to an open long term disability claimant, and is revalued on a regular basis. Browse our life insurance glossary of common terms. Under that policy, the insurer must compensate the policyholder in accordance with the policys terms and conditions if the asset is damaged or destroyed and the policyholder makes a claim.

Need help with insurance terms and insurance definitions, see the insurance dictionary and glossary. The word is also defined as chance of loss or uncertainty of loss. These general definitions are provided for educational purposes. Additionally, this informational sheet is not intended to fully set out your rights and obligations or the rights and obligations of the insurance company. Term life insurance life insurance that provides protection for a specified period of time. When making decisions about health coverage, consumers should know the specific meanings of terms used to. Insurance terminology north american training group. These glossary terms and definitionsare intended to be educational and may be different from the terms and definitions in your plan. A contract of health insurance that may be cancelled during the policy term by the insurer or insured. Life insurance resource center glossary of life insurance terms agent an insurance company representative licensed by the state who solicits and negotiates contracts of insurance, and provides service to the policyholder for the insurer.

Property damage liability coverage part of a standard auto insurance policy that covers you, up to the policy limit, for losses that result when you damage or destroy someone elses personal property. These definitions do not alter or modify the terms of any insurance contract. Agent an insurance company representative licensed by the state who solicits and negotiates contracts of insurance, and provides service to the policyholder for the insurer. Exemptions are granted based on certain hardships and life events, health coverage or financial status, membership in some groups, and other circumstances.

Policy documents contain a number of insurance terms because they typically define the limitations of risk and liability on the insured and any exclusions of coverage. If death occurs during the term for which the policy is. A single or recurring premium term life insurance policy taken out by borrowers. Coinsurance 1 a provision under which an insured who. Refer to this page as you read the information on our website and contact us if you have additional questions acceptance. This page provides a glossary of insurance terms and definitions that are commonly used in the insurance business. Term life insurance language seems to have come from another planet.

Actuary a professional trained in the mathematics of insurance and risk management, including the calculations of. The insurance contracts act allows an insurer to avoid a policy ab initio in situations where an insured fraudulently non. Whole of life a plan that covers you for the rest of your life instead of a set term. Permanent life insurance policies offer a cash value component that makes them more expensive than term policies and is usually only a good option for people with particular circumstances. Words associated with surety and bonds and title insurance are listed separately at the end of this list.

Texas department of insurance glossary of common insurance terms. Qualifying life event a change in your life, such as having a child, getting married, or losing health coverage, that might allow you. An insurance plan thats certified by the health insurance marketplace, provides essential health benefits, follows established limits on costsharing like deductibles, copayments, and outofpocket maximum amounts, and meets other requirements under the affordable care act. Dec 27, 2019 a life insurance policy that is active for the entirety of the policyholders life. Life insurance terms glossary american family insurance. Glossary of health coverage and medical terms this glossary has many commonly used terms, but isnt a full list. Term life insurance has a guaranteed level premium that expires in a set number of years and provides a death benefit for your dependents when you pass away. Insurance glossary understanding common insurance terms. The beneficiary of a life insurance policy is the person who receives the payment of the amount of insurance after the death of the insured.

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