No-Fault Medical
A type of accident coverage in homeowners policies.
Non-Life Insurance
Covers damage to or loss of policyholders’ property and legal liability for damages caused to other people or their property.
No-Fault
Auto insurance coverage that pays for each driver’s own injuries, regardless of who caused the accident. No-fault varies from state to state. It also refers to an auto liability insurance system that restricts lawsuits to serious cases. Such policies are designed to promote faster reimbursement and to reduce litigation.
National Flood Insurance Program
Federal government-sponsored program under which flood insurance is sold to homeowners and businesses. See Adverse selection; Flood insurance
Mine Subsidence Coverage
An Endorsement to a homeowners insurance policy, available in some states, for losses to a home caused by the land under a house sinking into a mine shaft. Excluded from standard homeowners policies, as are other forms of earth movement.
Manufacturer’s Penalty Insurance
A commercial policy covering losses due to the unavailability of a product the insured has contracted to supply or manufacture. Coverage is purchased in amounts based on the contract between the insured and the buyer of the product. The objective is to protect the insured against responsibility for delays in completion due to non-delivery. Coverage … Read more
Workers Compensation
Insurance that pays for medical care and physical rehabilitation of injured workers and helps to replace lost wages while they are unable to work. State laws, which vary significantly, govern the amount of benefits paid and other compensation provisions.
Weather Insurance
A type of business interruption insurance that compensates for financial losses caused by adverse weather conditions, such as constant rain on the day scheduled for a major outdoor concert.
Weather Derivative
An insurance or securities product used as a hedge by energy-related businesses and others whose sales tend to fluctuate depending on the weather.
Water-Damage Insurance Coverage
Protection provided in most homeowners insurance policies against sudden and accidental water damage, from burst pipes for example. Does not cover damage from problems resulting from a lack of proper maintenance such as dripping air conditioners. Water damage from floods is covered under separate flood insurance policies issued by the federal government.