Insurance Concepts
Protection for a sudden fortuitous event
Insurance
Chance of a loss
Risk
Most insurance companies are considered
Private Insurers
This authority is not specifically stated in the contract
Implied Authority
This group develops standard insurance forms
ISO
Only risk that is insurable
Pure Risk
I act on a conscious thought is which type of hazard
Moral Hazard
This type of insurer is owned by their policyholders
Mutual
Fidicuiary
Protects consumers right to privacy of financial information
Fair Credit Reporting Act - FCRA
Being at risk for a loss
Exposure
Cause of loss which is sometimes named
Peril
This agent states that you can only write insurance for 1 company
Captive Agent
A licensed individual or firm who negotiates insurance contracts with insurers on behalf of applicant
Broker
This allowed insurance companies to provide banking
Gramm-Leach-Bliley Act
Increases chance of a loss
Hazard
Damage to tangible property
Direct Loss
3 different insurer domiciles are
Domestic, Foreign, Alien
A person who transacts insurance on behalf of an admitted insurance company
Insurance Agent or Producer
This act was enacted based on worse attack on US soil in history
Terrorism Risk Insurance Act - TRIA
Insurance for Insurance Companies
Reinsurance
This method of managing risk includes owning it in full
Risk Transfer
Certificate of Authority
Three different types of Agent's Authority
Express, Implied, and Apparent
This insures you are notified when your financial standing has been used
Fair Credit Reporting Act