Definition of "License"
In insurance, legal authority obtained by an insurance company, agent, broker, or consultant that permits them to do business in a particular state. The document issued by the state shows that the company or person is in compliance with the various governing laws and thus is authorized to conduct insurance business in that jurisdiction. A license, in and of itself, is not a guarantee that a consumer will be sold the best product to fit his or her needs or that an agent will have the proper technical expertise to evaluate the products on a consumer's behalf.
Popular Insurance Terms
Individual who works in the home office of an insurance company and performs the function of underwriting to determine if an applicant is insurable at standard rates, substandard rates, ...
Total premiums generated from all policies written by an insurance company within a given period of time. ...
Coverage against foreign country expropriation underwritten by the overseas private investment corporation (OPIC) for U.S.-owned companies investing in given developing countries. ...
Clause in a surety bond contract providing for restoration of coverage after a loss without requirement of a restoration premium. ...
Extra percent of interest credited to an annuity during the first year that it is in force. This extra amount is above the interest rate to be credited beginning with the second year and ...
Principle that no liability exposure can result from the performance of proprietary functions. ...
Coverage for acts or omissions committed by an agent or broker resulting in adequate insurance in the event of a liability suit or property damage to a client. ...
Accidental death benefit option that can be added to a disability income (DI) policy under which a lump sum is payable at the loss of life, dismemberment, or loss of sight. ...
Same as term Associate in Risk Management: professional designation earned after the successful completion of three national examinations given by the insurance institute of America (IIA). ...
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