The willful or intentional damage to or destruction of another’s property. Coverage for malicious mischief is usually combined with the vandalism peril in insurance policies.
Coverage afforded to a professional practitioner, such as a doctor or a lawyer, against liability claims for damages resulting from alleged negligence in the performance of the insured’s services.
A book published by an insurance company, rating association or bureau, containing its rates, classifications and rules for rating a policy.
See Inland Marine Insurance and Ocean Marine Insurance.
Insurance against damage to a vehicle or boat itself. It includes automobile comprehensive, collision, fire and theft. Material damage and physical damage are terms that are often used interchangeably.
The date at which the endowment amount of a life policy becomes payable.
Federal law signed in 1945 in which Congress declared that states would continue to regulate the insurance business. Grants insurers a limited exemption from federal antitrust legislation.
Nonbinding procedure in which a third party attempts to resolve a conflict between two other parties.
Medical Payments Automobile Insurance:
Coverage in non-no-fault states, which pays medical and hospital expenses and the expense of funeral services resulting from an automobile accident, regardless of the liability of the insured. This is a first-party coverage.
Mine Subsidence Coverage:
An endorsement to a homeowners insurance policy, available in some states, for losses to a home caused by the land under a house sinking into a mine shaft. Excluded from standard homeowners policies, as are other forms of earth movement.
(1) A basic type of life insurance or disability insurance purchased for the specific purpose of paying off any mortgage balance outstanding at death or paying mortgage payments while the insured is disabled. (2) ”Private mortgage insurance“ offers a method of providing minimum down payment residential mortgages by insuring mortgage lenders against losses in the event of borrower default.
A package policy that provides protection against a number of separate perils. Multi-peril policies are not necessarily multiple-line policies, since the combined perils may be all within one insurance line, such as property. (See Multiple-Line Policy.)
A company that writes a variety of basic or traditional lines of insurance known as property and casualty (liability) insurance, such as auto, boat owners, homeowners, commercial, etc.
A package policy which combines coverages from both the traditional property and liability insurance lines.
Municipal Bond Insurance:
Coverage that guarantees bondholders timely payment of interest and principal even if the issuer of the bonds defaults. Offered by insurance companies with high credit ratings, the coverage raises the credit rating of a municipality offering the bond to that of the insurance company. It allows a municipality to raise money at lower interest rates. A form of financial guarantee insurance. (See Financial guarantee insurance.)