Contribution
Definition of "Contribution"
Principle of equity in property, casualty, and health insurance. When two or more policies apply to the loss, each policy pays its part of the loss, unless its terms provide otherwise. For example, if two policies each insure a risk for $100,000 and there is a $50,000 loss, then each policy (depending on coinsurance requirements) will pay $25,000. In employee benefits, payment made by an employee.
Popular Insurance Terms
Company owned by its policy owners; no stock is available for purchase on the stock exchanges. ...
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Term used in the reinsuring of disability income insurance policies in that, after an extended period of time expires (in addition to the elimination period found in the disability income ...
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