Definition and meaning of all-risks :

all-risks: "All Risks" property policies, often called "special" policies, cover any loss unless it is caused by an excluded peril listed in the policy.

(Source: Bank of America )

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Definition and meaning of Adverse Underwriting Decision :

Adverse Underwriting Decision: Any decision involving individually underwriting insurance coverages resulting in termination of existing insurance, declination of an application, or writing the coverage only at higher rates. For property and casualty insurance, it also includes placing the coverage with a residual market mechanism or an unauthorized insurer. 

(Source: InsWeb)

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Definition and meaning of Actual Cash Value :

Actual Cash Value: An amount equivalent to the replacement cost of lost or damaged property at the time of the loss, less depreciation. With regard to buildings, there is a tendency for the actual cash value to closely parallel the market value of the property. See also Market Value. 

(Source: InsWeb)

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Definition and meaning of Constructive total loss :

Section 60 of the Marine Insurance Act 1906 states that, subject to any policy provision, a constructive total loss arises where the subject matter of an insurance is reasonably abandoned to the insurer by the insured on account of its actual total loss appearing unavoidable or because it could not be preserved from actual total loss without an expenditure that would exceed its value.

 The term is sometimes used to refer to insured property, e.g. a car, which is damaged beyond economic repair.

(Source Lloyd's )

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Definition and meaning of Short-tail, risk :

A type of insurance where claims are usually made during the term of the policy or shortly after the policy has expired. Property insurance is an example of short tail business. The opposite of short tail business is long tail business.

(Source Lloyd's )

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Definition and meaning of Commercial Package Policy, CPP :

Commercial Package Policy (CPP): A commercial lines policy that contains more than one of the following coverage parts: Commercial Property, Commercial Liability, Commercial Inland Marine, Commercial Crime, Boiler and Machinery Insurance, Commercial Automobile Insurance, and Farm Coverage.

(Source: InsWeb)

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Definition and meaning of Commercial Package Policy, CPP :

Commercial Package Policy (CPP): A commercial lines policy that contains more than one of the following coverage parts: Commercial Property, Commercial Liability, Commercial Inland Marine, Commercial Crime, Boiler and Machinery Insurance, Commercial Automobile Insurance, and Farm Coverage.

(Source: InsWeb)

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Definition and meaning of Agreed value policy :

An insurance contract under which the insurer agrees to pay the insured a stated amount in the event of the total loss of the property insured without any adjustment for depreciation or appreciation.

(Source Lloyd's )

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Definition and meaning of Jeweller's block policy :

A form of property insurance that is provided to jewellers.

(Source Lloyd's )

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Definition and meaning of Associate in Risk Management :

Associate in Risk Management: A professional designation granted by the American Institute for Property and Liability Underwriters to those who have completed a series of examinations.

(Source: InsWeb)

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Definition and meaning of Common Law Liability :

Common Law Liability: Responsibility based on common law for injury or damage to another's person or property which rests on an individual because of his actions or negligence. This is opposed to liability based on statutory law.

(Source: InsWeb)

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Definition and meaning of Common Law Liability :

Common Law Liability: Responsibility based on common law for injury or damage to another's person or property which rests on an individual because of his actions or negligence. This is opposed to liability based on statutory law.

(Source: InsWeb)

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Definition and meaning of ALLIED LINES :

ALLIED LINES: Property insurance that is usually bought in conjunction with fire insurance; it includes wind, water damage and vandalism coverage.

(Source: Insurance Information Institute )

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Definition and meaning of loss reserve :

loss reserve: The liability recorded on the balance sheet for unpaid losses. The loss reserve consists of the case basis reserve, the reserve for claims known to the company but not yet paid; and the reserve for incurred but not reported losses (IBNR). IBNR in residential mortgage insurance is a small amount compared to IBNR in many long-tail property-casualty lines of business and consists mainly of an estimate of the aggregate dollar amount of currently delinquent mortgages which will remain delinquent or go to claim in a short period of time, causing the establishment or increase of case basis reserves for those mortgages.

(Source: Bank of America )

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Definition and meaning of actual cash value :

actual cash value (ACV): The value of property as figured by determining what it would cost to replace the property (see replacement cost) and then adjusting this replacement cost by subtracting an amount that reflects depreciation.

(Source: Bank of America )

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Definition and meaning of auto medical payments :

auto medical payments: If you cause an accident, the coverage works like this: Auto liability coverage pays the bodily injury and property damage losses of the other person. Collision coverage pays for repairs to your own vehicle. Auto medical payments coverage pays medical and funeral expenses for you and your passengers. If you already have health and disability insurance, the coverage may be redundant.

(Source: Bank of America )

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Definition and meaning of ACTUAL CASH VALUE :

ACTUAL CASH VALUE: A form of insurance that pays damages equal to the replacement value of damaged property minus depreciation. (See Replacement cost)

(Source: Insurance Information Institute )

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Definition and meaning of FC&S Bulletins. Fire, Casualty, and Surety Bulletins :

FC&S Bulletins. Fire, Casualty, and Surety Bulletins: A service, published by the National Underwriters Company, explaining coverages, forms, underwriting, and rating procedures for the various Property, Casualty, and Surety lines of insurance.

(Source: InsWeb)

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Definition and meaning of FC&S Bulletins. Fire, Casualty, and Surety Bulletins :

FC&S Bulletins. Fire, Casualty, and Surety Bulletins: A service, published by the National Underwriters Company, explaining coverages, forms, underwriting, and rating procedures for the various Property, Casualty, and Surety lines of insurance.

(Source: InsWeb)

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Definition and meaning of replacement vs. actual cash value :

replacement vs. actual cash value: The actual cash value of an item can be depressingly small after only a brief period of ownership. And, if your homeowner's coverage entitles you to only the actual cash value of any damaged property, you could be out of luck when you go to replace the property with only your claim check as payment. Replacement-cost coverage permits you to claim the cost of replacing an insured item. Its most important use is on your home and, secondly, the personal property in your home.

(Source: Bank of America )

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Definition and meaning of auto liability :

auto liability: Pays for damages that you cause to other people and their property. If you cause an accident and you bang up your car or yourself, your auto liability insurance will not pay for your medical bills or the repairs to your car. Auto medical payments coverage would.) But it will pay for the other guyÕs, up to the limits of your policy. Without the coverage, your assets would be subject to seizure to pay the medical bills, car repairs and other damages that you caused in an accident. Once the insurance company pays out the limits of your policy, youÕre liable for the rest, which is why itÕs advisable to purchase higher limits than what your state requires. Auto liability coverage has three parts: bodily injury per person, bodily injury per accident, and property damage. Limits for liability are usually written like "20/40/10." That means a policy will pay bodily injury losses up to $20,000 per person, and up to $40,000 per accident (if more than one person was hurt). It will also pay property damage losses up to $10,000 per accident.

(Source: Bank of America )

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Definition and meaning of Wear and tear :

The amount deducted from a claims payment in recognition of the depreciation of the property insured through usage of it over time. Where cover is provided on a Ònew for old basisÓ i.e. where the insurer agrees to replace an old item with a similar new one, no such deduction is made.

(Source Lloyd's )

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