Threshold Level
Minimum degree of injury or loss for which an injured party can sue, even though covered by no fault automobile insurance. Traditionally, an accident victim had to prove the other driver was at fault in order to collect damages from that driver's insurance company. Today, more than 20 states have some type of automobile no-fault law designed to eliminate long and costly legal action, and to assure quick payment for medical and hospital costs, loss of income, and other unavoidable costs stemming from automobile accidents. An injured person can collect from his or her insurance company up to the threshold level, or specified limit, no matter who is at fault. For expenses above these limits, the injured person is still allowed to sue. There are three types of thresholds: a specific dollar amount, a specific period of disability, or specified injuries such as loss of a leg.
Popular Insurance Terms
Insurance company that actually underwrites and issues the insurance policy. The term is used because the insurance company assumes or carries the risk for policyowners. The agent usually ...
Mortality table that reflects irregularities from age to age due to chance fluctuations in the sequence of the rates of mortality. The rates of death as reflected by the mortality table in ...
What is SSDI? It is a form of financial aid for people living with a disability that impacts their quality of life. As one of the largest Federal programs designed to provide assistance to ...
Option under a participating life insurance policy in which dividends are left on deposit with the company to accumulate at a specified interest rate. If this option is chosen, it is ...
Financial analysis method established by the national association of insurance commissioners (naic) to detect problems of property and casualty insurance companies and life and health ...
Federal agency that regulates commerce across state lines. The ICC does not oversee insurance, which is subject to regulation by the states according to Public Law 15, McCarran-Ferguson ...
Liability coverage for dockworkers for damage to property in transit while in their care. ...
Annual meetings of insurance practitioners and academicians from throughout the world interested in exchanging ideas concerning the theory and applications of insurance. The meeting is held ...
Inland marine policy that protects an insured against loss for property that is shipped. One policy may be written for a single shipment, as for a family moving household goods, or it may ...
Have a question or comment?
We're here to help.