Insurance Vocabulary Part 1

1. Cancellation -   when an insurance company is terminated /finished before it was originally

agreed to.

2. Terms and Conditions-   another name for the “small print” of an insurance policy.

3. Tax Deductible-   when you don’t pay income tax for the amount of money that you are
spending on insurance policy.

4. Reputable Company-   a company that is well-known and has good reputation.

5. Coverage-   a different way to say what things/situations the insurance company “will pay for”.

6. Grace period-   the time an insurance company gives a customer to pay a premium after they
should have paid, before they cancel the policy.

7. Claim-   a “request” to an insurance company to give you money or pay for something.

8. Liable-   another way to say somebody is “legally responsible” for something.

9. Policy Holder - the person who owns an insurance policy.

10. Fee- the extra cost that you have to pay the insurance company for getting policy. 

11. Expiration Date-   the date when an insurance policy finishes.

12. Exemptions-    the situations that are not covered in an insurance policy.

13. Lienholder-   a lender that legally has an interest in your property until you pay it off in full.

14. Mortgagee-   the lender in a mortgage, typically a bank.

15. Underwriting - is the process through which an individual or institution takes on financial risk for
a fee.

16. Loss Payee- a person or organization listed on an insurance policy's declarations page that is
entitled to receive claim payments before the policy owner due to a financial interest in the
insured property.

17. Endorsement- a change or addition to an insurance contract that alters the terms or
scope of the original policy.

18. Lead- is a person who has expressed an interest in your product or service, and thus a potential
opportunity for a customer.

19.  Agent - is a person who represents an insurance firm and sells insurance policies on its behalf.

20. Policy- a document detailing the terms and conditions of a contract of insurance.

21. Broker – is a person or firm who arranges transactions between a buyer and a seller for a
commission when the deal is executed.

22. Coinsurance - is the amount an insured must pay against a health insurance claim after their
deductible is satisfied.

23. Comprehensive- complete and including everything that is necessary.

24. Annuity - is a contract with an insurance company that promises to pay the buyer a steady
stream of income in the future, such as after.