Terms
Chance of financial loss.
Risk
An act that is thought and acted upon.
Moral Hazard
Increase chance of loss from a peril.
Hazard
Means money amounts.
Damages
Someone comes into your home and steals personal property from you, this is called.
Theft
Temporary proof of insurance. Maybe oral or written.
Binder
Unconscious mental attitude that increase chance of loss is called.
Morale Hazard
Unbroken chain of events.
Proximate Cause
Deposit Premium
Taking something with threat of violence.
Robbery
This is replaced when the replacement contract is generated and is valid for 60 days.
Binder
This is the financial responsibility of the insured.
Deductible
Physical harm to tangible property.
Direct Loss
Being held indirectly liable.
Vicarious Liability
Breaking and entering is called...
Burglary
Repeated exposure to same harmful conditions.
Ocurrence
The portion of the contract that makes an insured "whole again".
Indemnity
Includes depreciated value of an item.
ACV
Hiding relevant facts during application process.
Concealment
If personal property is lost and not stolen, this is called ____________ ___________.
Mysterious Disappearance
When there are no people or personal property present.
Vacant
This must exist at the time of a loss. Economic loss is suffered by the insured.
Insurable Interest
When the insured agrees to a portion of financial responsibility.
Coinsurance
Failure to exercise degree of care which the law requires.
Negligence
This is how a policy is modified.
Endorsement