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CLEAR

The Finpage Glossary

Accident or Accidental

In the insurance industry, "accidental" refers to those unexpected and unintentional events that may result in bodily harm or even death. Accidental death insurance, also known as AD&D (Accidental Death and Dismemberment) insurance, provides financial protection to beneficiaries if the policyholder dies or suffers serious injury due to an accident. Unlike standard life insurance policies, which cover death from most possible causes, accidental death insurance specifically covers death resulting from unforeseen incidents such as car accidents, falls, or other types of mishaps.

But the question is how to choose the best accidental insurance plan. It involves evaluating several factors, including coverage limits, exclusions, and the overall cost of the policy premiums. The best plans offer comprehensive coverage that not only includes accidental death but also covers a range of injuries ensuring that policyholders and their families are well-protected. Additionally, some accidental death insurance policies provide added benefits such as medical expense reimbursement and coverage for accidental dismemberment.

Accidental death insurance is often an affordable supplement to regular life insurance or group insurance policies, making it an attractive option for individuals seeking additional financial security. It is particularly beneficial for those with high-risk occupations or lifestyles that increase their exposure to potential accidents. By providing a financial safety net, accidental death insurance offers peace of mind and support during unforeseen and challenging times.

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Accumulation Limit

The maximum amount payable by the Insurer in respect of any one Accident, irrespective of the number of Insured Persons involved in such Accident.

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Act

Here the ‘act’ means the insurance act.

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Act of God

Event caused by nature that is so unpredictable as to be unavoidable, for example, the timing and location of earthquakes or floods. Acts of God are normally insured against as a matter of course.

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Actual Cash Value

Replacement cost of any damaged item (vehicle) after deducting the market value and its depreciation.

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Actual Total Loss

An insured item that has been lost or completely destroyed. The full insured value is payable by the insurer.

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Actual Yield

It means yield per hectare of the Crop calculated on the basis of the requisite number of Crop Cutting Experiments in the insured season, for the Defined Area, or yield of Crop for the Insured Area that corresponds with the Policy Period.

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Actuary

Actuaries are the experts at assigning risks after analyzing data and risks. They generally work with insurance providers for setting the rates of insurance policies.

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Acute Care

Acute care is immediate, usually short-term medical care provided to patients suffering from severe illnesses or injuries

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Additional Insured

An assured party specifically named under an insurance policy that is not automatically included as an insured under the policy of another, but whom the named insured’s policy provides a certain degree of protection. (e.g. bankers or financial institutions)

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Affreightment

Carriage of goods by sea.

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Age

Age means the completed age of the Insured Member as on his last birthday

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