The Insurance Regulatory and Development Authority of India is an autonomous, statutory body tasked with regulating and promoting the insurance and re-insurance industries in India. Following the recommendations of the Malhotra Committee, in 1999 the Insurance Regulatory and Development Authority (IRDA) was constituted to regulate and develop the insurance industry and was incorporated in April … Read more
Outside group that performs claims handling and, in some cases, other functions for an insurance company.
An insurance company owned by its stockholders who share in profits through earnings distributions and increases in stock value.
A reinsurance Pool established for the Servicemen’s Group Life Insurance program. Servicemen’s Group Life Insurance (SGLI) refers to insurance coverage for military personnel that belong to such groups as the Navy, Armed Forces, Marines, Coast Guard, etc. Eligibility is automatic if one is qualified. Premium payment is taken from the salary.
A captive reinsurance company that provides reinsurance for a producer group’s business. Producer-owned reinsurers typically have very low retention limits and retrocede most of the risk they assume.
Insurers licensed in some states, but not others. States where an insurer is not licensed call that insurer non-admitted. They sell coverage that is unavailable from licensed insurers within the state.
An association of the chief insurance regulatory officials of the 50 states, the District of Columbia, American Samoa, Guam, Puerto Rico and the Virgin Islands. NAIC website
A company owned by its policyholders that returns part of its profits to the policyholders as dividends. The insurer uses the rest as a surplus cushion in case of large and unexpected losses.
An organizational structure that provides mutual companies with the organizational and capital raising advantages of stock insurers, while retaining the policyholder ownership of the mutual.
Insurance firms that buy life insurance policies at a steep discount from policyholders who are often terminally ill and need the payment for medications or treatments. The companies provide early payouts to the policyholder, assume the premium payments, and collect the face value of the policy upon the policyholder’s death.