The reduction of the amount owed by one party to a second party by Crediting the first party with amounts owed it by the second party. The existence and scope of offset rights may be determined by contract language as well as statutory, regulatory and judicial law.
Insurance that pays claims arising out of incidents that occur during the policy term, even if they are filed many Years later.
A description of coverage for an event that “occurred” within the time specified in the insurance agreement, regardless of the date the claim is actually submitted.
Abnormal condition or illness caused by factors associated with the workplace. Like occupational injuries, this is covered by Workers Compensation policies. See Workers Compensation
A reinsurance contract under which business must be ceded in accordance with contract terms and must be accepted by the reinsurer.
Obligatory reinsurance is a form of agreement, which automatically binds both parties in advance. The company to cede and reinsurer to accept reinsurance. An agreement as regards obligatory (binding) reinsurance as a rule runs for an indefinite period and is legally binding for both parties. The contract between the parties contains the conditions one has … Read more
An action that substitutes a new party and discharges one of the original parties to a contract, by agreement of all parties.
A written notice required by insurance companies immediately after an accident or other loss. Part of the standard provisions defining a policyholder’s responsibilities after a loss.
One of the conditions for automatic reinsurance. The definition of what is normal for the plan is set at the inception of the agreement.
A form of reinsurance where the reinsurer’s liability is not fixed in advance, but is dependent on the number or amount of claims incurred in a given period.
