Glossary Terms N - P Flashcards
(35 cards)
Non-admitted (non-authorized)
An insurance company that has not applied for, or has applied and been denied a Certificate of Authority and may not transact insurance in a particular state.
Non-cancelable
An insurance contract that the insured has a right to continue in force by payment of premiums that remain the same for a substantial period of time.
Nonmedical
A life or health insurance policy that is under written based on the insured’s statement of health rather than a medical examination.
Nonrenewal
A termination of a policy by an insurer on the anniversary or renewal date.
Nonresident agent
An agent licensed in the state in which he or she is not a resident.
Notice of claim
A provision that spells out an insured’s duty to provide the insurer with reasonable notice in the event of a loss
Omnibus budget reconciliation act
A federal law which extends the minimum COBRA continuation of group healthcare coverage for 18 to 29 months for qualified beneficiaries who are disabled at the time of qualification.
Oral surgery
Operative treatment of the mouth such as extractions of teeth and related surgical treatment.
Orthodontics
A special field in dentistry which involves treatment of natural teeth to prevent and/or correct dental anomalies with braces or appliances.
Out–of–pocket costs
Amounts an insured must pay for coinsurance and deductible before the insurer will pay its portion.
Over insurance
An excessive amount of insurance that would result in overpayment to the insured in the event of a loss.
Partial disability
Ability to perform some, but not all, of the duties of the insured’s occupation as a result of injury or sickness.
Payment of claims
A provision that specifies to whom claims payments are to be made.
Peril
The cause of a possible loss.
Periodontics
A specialty of dentistry that involves treatment of the surrounding and supporting tissue of the teeth such as treatment for gum disease.
Permanent disability
Disability from which the insured does not recover.
Persistency
The tendency or likelihood of insurance policies not lapsing or being replaced with insurance from another insurer.
Personal contract
An agreement between an insurance company and an individual that states that insurance policies cover the individuals insurable interest.
Physical exam and autopsy
A provision that allows an insurer, at its own expense, to have an insured physically examined when a claim is pending or to have an autopsy performed where not prohibited by law.
Policyholder
The person who has possession of the policy, usually the insured.
Policyowner
The person who is entitled to exercise the rights and privileges in the policy. This person may or may not be the insured.
Preferred provider organization (PPO)
An organization of medical professionals and hospitals who provide services to an insurance company’s clients for a set fee.
Preferred risk
Insurance classification for applicants to have a lower expectation of incurring loss, and who, therefore, are covered at a reduced rate.
Premium
A periodic payment to the insurance company to keep the policy in force.
