Introduction To Property Insurance

Front 1

What is the "named insured"

Back 1

It is the person or business or other entity named in the declarations to who the policy is issued

Front 2

When there is more than one named insured listed on the policy the policy may assign a higher level of duties or rights to whom

Back 2

The first named insured.

Front 3

In some cases another individual or business may be listed on the declartions as a "......"

Back 3

additional insured

Front 4

When insurance is very specific and designates a particular item to be insured

Back 4

Specific insurance

Front 5

A degree of standardization has been introduced insurance service organization such as "who"

Back 5

The Insurance Services Office or the ISO

Front 6

The person, business, or other entity named in the declarations to whom the policy is issued.

Back 6

The named insured

Front 7

The person listed first on the declarations page

Back 7

First named insured

Front 8

If another individual or business is listed on the declarations they are known as

Back 8

Additional Insured

Front 9

When the property to be insured designates a very specific item to be insured

Back 9

Specific Insurance

Front 10

When an insured's property is insured at any location rather than at only a particular location

Back 10

Blanket insurance

Front 11

When an insurance policy specifies the date and time including where and in the what time zone the coverage begins and ends is known as the

Back 11

Policy Period

Front 12

How much property is insured for is on the declarations page and shows the

Back 12

Policy limit

limit of coverage

limit of liability

limit of insurance

Front 13

What are value contracts

Back 13

Value contracts are written for a specific amount and they list the value of the insured property as agreed to by both the insured and the insurer at policy inception

Front 14

What explains what property is covered and the perils the property is insured against. It may also specify that certain additional coverages apply

Back 14

Insuring agreements

Front 15

Policies that list the specific perils or causes of loss insured against under the contract such as lightning, fire, and windstorm are

Back 15

Named Peril (Specified Peril) and Peril Policies

Front 16

What type of policy insures against all risks of physical loss except those excluded in the policy

Back 16

Open Peril Policy (All risk or special coverage)

Front 17

What type of loss comes as a result or consequence of the original loss

Back 17

Indirect Loss (Consequential Loss)

Front 18

Any Peril that is not specifically listed as covered is

Back 18

Excluded

Front 19

What type of loss is excluded because they are certainties, not risks

Back 19

Non-Accidental Losses

Front 20

Losses that can be controlled or prevented with extra care or effort on the insured's part are excluded

Back 20

Concurrent Causation

Front 21

Property covered in other insurance properties are excluded

Back 21

They can't be covered by both policies

Front 22

When eliminates or reduces coverage but only under certain circumstances or when specified conditions apply.

Back 22

Limitations

Front 23

Most contracts include conditions that specify what the insured and insurer must do when a loss occurs. The are referred to as

Back 23

Loss provisions

Front 24

Determining adequate indemnification or how losses will be paid condition

Back 24

Valuation

Front 25

Calculated by determining the item's replacement cost and subtracting and amount for depreciation

Back 25

Actual Cash Value

Front 26

Reimbursement on the basis of the repair cost when the amount is less than the actual cash value

Back 26

Repair Cost

Front 27

When the insurance company agrees to automatically pay the replacement cost for covered losses with no allowance for depreciation.

Back 27

Replacement cost

Front 28

When damage is repaired or replaced with less expensive but functionally equivalent materials. Used for losses to antique, ornate, or custom construction

Back 28

Functional Replacement Cost

Front 29

What limits the amount of insurance the insured should carry on the property, which is expressed as a percentage of the property's value

Back 29

Coinsurance

Front 30

When it is difficult to predict property value accurately enough to avoid the coinsurance penalty the some policies may contain an

Back 30

agreed value or stated amount of provision.

Front 31

IF part of a par or set is lost or damaged the loss will be valued as a fair portion of the total value of the set.

Back 31

Pair or Set

Front 32

A condition that provides that the insurance company can take possession of damaged property after payment of loss

Back 32

Salvage

Front 33

When an insured suffers a loss for which he is not at faulty and the party that caused the damage has no insurance or refuses to pay for the damages. The insured's insurance company may step in then bring suit or file claim against the other party

Back 33

Subrogation (Transfer or right of recovery against others to us)

Front 34

Most common method for handling other insurance is to agree to pay only a proportion of any loss that is also covered by another insurance

Back 34

Pro Rata

Front 35

This conditions provides that if the insurer broadens coverage under a policy form or endorsement without requiring an additional premium, then all existing similar policies or endorsements will be construed to contain the broadened coverage

Back 35

Liberalization Condition

Front 36

Specifies that a policy may not be transferred to anyone else without written consent of the insurer unless the named insurer dies

Back 36

Assignment Condition

Front 37

A person who has temporary possession of someone else's property

Back 37

Bailee

Front 38

This condition states tat the bailee is not covered under the insured's policy while the bailee has possession of the insured's property

Back 38

Bailee Condition

Front 39

Provisions that state that a loss will not be covered unless it occurs within the policy territory while the policy is in effect

Back 39

Policy Period

Front 40

The absence of both people and property

Back 40

Vacant

Front 41

The absence of people

Back 41

unoccupied