Property and Casualty (100% correct answers)

Advertising Injury correct answers Misappropriation of advertising ideas, or infringement of copyright, title or slogan Agency correct answers A legal relationship between two parties: principal and agent Agency System correct answers An insurance distribution system that supports a "middle man" - field force of licensed agents and public buys THROUGH them Agent correct answers The individual appointed by an insurance company to solicit, negotiate, effect, or countersign insurance contracts on its behalf; must have license Aggregate Limit correct answers Type of policy limit in liability policies that limits coverage to a specified total amount for ALL LOSSES occurring within the policy period. Aleatory correct answers Unequal exchange of value EX: premium paid for protection is a lot less than the actual limit of protection Aleatory Contract correct answers Both parties know that one or the other may receive more than paid in. Payment is dependent upon a fortuitous event. EX: person pays premium for a fire - protection policy for many years and doesn't burn and claim is never filed Alien Insurance Company correct answers An insurer organized and domiciled in a country other than the US All - Risk Policy correct answers OPEN PERI - An all - risk policy lists exclusion, or itemizes perils not covered. It can be a short list, or a long and inclusive list. Any peril causing loss NOT EXCLUDED is COVERED. Assignment correct answers Provision in policy allowing the insured to transfer their rights under the policy to someone else. Insurer must agree to assignment Binder correct answers Legal contract that gives IMMEDIATE TEMPORARY coverage for a temporary need; a binder may be oral or written Binding Authority correct answers Ability to issue binders Bodily Injury correct answers Harm, sickness, disease or death Broker correct answers Represents an insured in the solicitation, negotiation, or procurement of contracts of insurance, and who may render services incidental to those functions - aka independent agent.