Describes the similarity among individuals in a market segment as well as the similarity among insureds in the same rating class.
What is Homogeneity
100
An event that, in a natural and continuous sequence and unbroken by any intervening cause, produces injury or damage.
What is a proximate cause
100
Establishes the current condition of the hull machinery and equipment and establishes a current market value and replacement value.
What is the condition and value survey
100
Term that refers to the policies that provide the first level of coverage for a liability loss.
What is underlying or primary
100
The process of submitting information to a state insurance department for approval.
What is a filing
200
The grouping of customers with similar or related characteristics who can be expected to buy a product or service that satisfies their similar needs.
What is Market Segmentation
200
The tort liability of another person (or entity) assumed under contract.
What is contractual liability
200
A coverage that provides funds to remove the remains of watercraft from the waterways after a loss.
What is wreck removal
200
A group of offenses that includes bodily injury as well as many other offenses specified within the policy language.
What is personal injury
200
Group that provides limited insurance lines to business organizations that would otherwise have difficulty obtaining such insurance.
What is a risk retention group
300
Communicates product information between the seller and buyers (or potential buyers) and distributes the product.
What is a Distribution System
300
A general notice sent to an insured advising that the insurer is proceeding with a claim investigation. However, the investigation does not create an admission of liability. This letter does NOT require the insured's signature.
What is a reservation of rights letter
300
Refers to the level of care that is reasonable, including recognized precautions.
What is due diligence
300
Under an umbrella policy, this term acts like a deductible for any loss that is not covered by an underlying policy.
What is a retention
300
A review of an insurer's underwriting and ratemaking practices conducted by the state insurance market conduct examiners.
What is a market conduct examination
400
A group of potential customers who meet with a marketer. The marketer solicits their responses to advertisements, products, or potential product changes.
What is a Focus Group
400
A court ruling on a coverage point within a policy contract or a judgment on a point of law.
What is a declaratory judgment
400
A marine coverage that includes bodily injury and property damage liability.
What is protection and indemnity (P&I)
400
Exists when one party is held liable for the actions of another.
What is vicarious liability
400
A model for developing the amount of capital an insurer must have available. It considers the insurer's assets (and their strengths), credit (including receivables and reinsurance recoverables), and underwriting risks.
What is risk-based capital
500
Consists of information gatheres for a nonspecific purpose by someone other than the market researcher, from sources within or outside the company.
What is Secondary Data
500
Under this rule the defendant cannot introduce evidence that shows that the injured party has other sources of compensation for injury.
What is the collateral source rule
500
Expenses incurred by the insured to take reasonable measures to prevent damage or injury.
What is sue and labor charges
500
A document that provides information about the liability and workers compensation insurance for a commercial venture.
What is a certificate of insurance
500
Describes any insurance for which there is no licensed insurer within the state. Coverage is written by a nonlicensed insurer.