Property And Casualty Insurance Provisions
Specifications dealing with exclusions, policy requirements, cancellations and related matters.
- Perils Most policies exclude enemy attack, invasions, insurrection, rebellion, revolution, civil war, usurped power, neglect of an insured to reasonably preserve damaged property from further loss, and explosion or riot unless caused by fire. Other exclusions may be specified in a policy. Among them are concealment and fraud by the insured; increased hazard by an insured's actions; and vacancy in an insured building for at least 60 consecutive days.
- Requirements In the event of a loss the insured must give immediate written notice to the insurance company; protect the insured property from further damage; separate damaged from undamaged property; give the company a complete inventory of the damaged or destroyed property, with signed proof of loss within 60 days; and submit to the company's examination of damaged or destroyed property.
- OTHER INSURANCE If two or more separate policies over the same loss, each will pay no more than its pro rata share of the loss.
- SUBROGATION After the company pays the insured for a loss incurred as the result of actions of a third party, the company reserves the right to seek recovery for damages against that third party. (The insured has passed the right of suit against the third party to the insurance company.)
- Cancellation The insured and the insurance company can terminate the policy under specified circumstances. The insured can terminate the policy at any time, and will receive a return of part of the premium, less an amount for administrative expenses. The insurance company can cancel a property policy by sending the insured written notice at least 5 days before the intended date of cancellation. For a liability policy, after the policy has been renewed the first time, or has been in force for at least 60 days, the insurance company can cancel only for causes such as failure of an insured to pay a premium when due, if an insured is involved in illegal activities,drives while intoxicated, or is under the influence of drugs.
Popular Insurance Terms
Same as term Cancel: termination of a policy. Contract may be terminated by an insured or insurer as stated in the policy. If the insurance company cancels a policy, any unearned premiums ...
Same as term agent of record: individual who has a contractual agreement with a policyowner. The agent of record has a legal right to commissions from the insurance policy. ...
Coverage for bodily injury and property damage liability resulting from ownership, use, and/or maintenance of the insured business's premises, completed operations, and products. Covers ...
Attachment to a general liability policy thereby eliminating the exclusion of property under the care, custody, and/or control of an insured. Without this endorsement there would be no ...
Coverage during the transfer of securities and monies, precious metals, and other specified types of valuables by armored guard services. Policies are specifically designed to fit an ...
Automatic protection for an insurer against losses that exceed a predetermined loss limit. This reinsurance may be subdivided into three primary types: excess of loss, catastrophe loss, and ...
Omissions from coverage found in products liability insurance. The policy does not provide coverage if the business manufactures a product that does not meet the level of performance as ...
Protects a cedent against an aggregate amount of claims over a period, in excess of a specified percentage of the earned premium income. Stop loss reinsurance does not cover individual ...
Grouping of applicants for life insurance according to expected mortality, so as to produce an underwriting classification in which the spread between health of the worst and best applicant ...
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