Ggg Flashcards
(13 cards)
What is a Proposal form?
The form you fill in when applying for insurance.
What is a Claim form?
The form you fill in when making a claim, e.g. when a fire has damaged a building.
What is an Insurance policy?
The document you receive when you buy insurance. It is a legally binding contract and it must be in writing. It sets out the terms and conditions of the policy, i.e. what risks are covered.
What is a Renewal notice?
This document is sent out before the policy is due for renewal. It reminds the insured that their policy is due for renewal and the premium for renewing the policy.
What is a Cover note?
A document that proves that insurance is in place. It is used until the full policy document is sent to the insured.
Who is the insured?
The household or business that takes out the insurance policy.
Who is the insurer?
The insurance firm with which the insured has taken out their insurance policy, e.g. Axa, Allianz.
What is an Insurance premium?
The fee paid for insurance. It consists of a basic premium plus any loadings or discounts that may apply.
What is Policy excess?
When a claim is made by the insured, the first portion of the claim is paid by the insured, e.g. if the claim is €1,000, the insured pays the policy excess of €200 and the insurance firm pays €800 compensation.
What is Loading?
An additional charge on top of the basic premium because of an extra risk that may apply in certain circumstances, e.g. a driver with a provisional licence.
What is a No claims bonus?
A reduction in the premium charged if no claim has been made on the policy since the last renewal date.
What are Days of grace?
A short period of time given to the insured to pay the insurance premium. (This does not apply to motor insurance.)
What is Average clause?
This applies in cases of under-insurance. (You will learn more about this later in the chapter.)
