Understanding Insurance

Adjuster

An agent of the insurance company, responsible for evaluating the eligibility of a claim

Affordable care act

A law designed to make health coverage more affordable

Casualty insurance

A board category of insurance protection against loss of property, damage, and other liabilities

Children’s health insurance program

A government program that provides health coverage to eligible children

Claim

A request for payment made by a policyholder to the insurance provider

Collision insurance

Insurance that covers the cost of repairing or replacing your car

Compensation

Something given to make up for damage or loss

Comprehensive insurance

A form of car insurance that covers losses, such as theft, hail, or a fallen tree

Copayment

A fixed amount paid out-of-pocket by a policyholder to a provide provider of service

Coverage

What is included within the scope of an insurance policy

Deductible

The amount of money, a person needs to pay before the insurance company will cover cost of a bill

Disability insurance

Insurance that protects a portion of a policy holders Income if illness or injury prevents them from working

Exclusion

A provision and a policy that waves coverage for certain types of risk

Fraud

An intentional act of deception To gain something unlawfully

Group policy

A contract for insurance that extends to a group of people, such as employees

Health insurance

A type of insurance that covers a portion of medical expenses for illness, injury, and other medical conditions

Health insurance marketplace

A place where people without health insurance can find information and purchase health insurance

Health maintenance organization

(HMO) A managed care network that provides healthcare coverage for a monthly fee

Homeowners insurance

A type of insurance that covers loss or damage to a residence, as well as liability coverage against accidents that happened at home

Insurance policy

A document that details the terms of an insurance contract

Liability

The state of being legally responsible for something

Limit of liability

The maximum amount and insurer will pay for a covered loss

Manage care plan

A type of health insurance plan that uses a network of provide providers to provide integrated Care at a reduced cost

Point of service

(POS) A health insurance plan that combines features of a health, maintenance organization, and a preferred provider organization

Preferred provider Organization

(PPO) A health insurance plan that gives insensitive to the purchaser to seek care from certain doctors, labs, and hospitals.

Premium

The amount of money a person pays to maintain an insurance policy

Risk management

The process of identifying, assessing, controlling and mitigating hazards or risk

Risk profile

An analyst of a person’s ability to assume risk

Settlement

The amount of money and insurance company pays to the policyholder to settle an insurance claim

Social burden

Something that is difficult to bear for a society

Subsidy

A benefit given to remove a burden

Term life insurance

A type of life insurance that provides coverage for a set period of time

Umbrella insurance

A type of insurance that covers claims in excess Of regular insurance policy coverage

Uninsured motorist

A type of car insurance that pays a policyholder expenses if the person at fault in an accident is uninsured

Whole life insurance

A type of life insurance that covers the policy holder for the duration of their life