General Insurance Glossary:
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1. Policyholder (Insured): The person or entity that owns the insurance policy.
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2. Premium: The amount of money paid by the policyholder to the insurance company for coverage.
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3. Deductible: The amount of money the policyholder agrees to pay out of pocket before the insurance coverage kicks in.
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4. Coverage: The protection provided by the insurance policy for specific risks or perils.
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5. Policy: The formal written contract of insurance between the insurance company and the policyholder.
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6. Insurer (Insurance Company): The company providing the insurance coverage.
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7. Underwriting: The process of evaluating the risks and determining the premiums and coverage for a policy.
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8. Policy Limit: The maximum amount the insurance company will pay for a covered loss.
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9. Claim: A request by the policyholder for the insurance company to provide benefits or payment for a covered loss.
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10. Loss: The reduction in value of an insured item due to a covered event.
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11. Peril: The specific cause of loss or damage, such as fire, theft, or natural disaster.
Common terms in Health Insurance:
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1. Policyholder (Insured): The person who owns the health insurance policy.
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2. Premium: The amount of money paid by the policyholder to the insurance company for coverage.
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3. Deductible: The amount of money the policyholder is required to pay out of pocket before the insurance coverage begins.
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5. Copayment (Copay): An amount, typically a proportion of the claim, the insured pays for certain covered health care services.
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6. Out-of-Pocket Maximum (Limit): The maximum amount the policyholder is required to pay for covered services in a policy period.
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7. Network Hospitals: The facilities, providers, and suppliers that have contracted with the insurance company to provide health care services.
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11. Health Check Up: Health care services and screenings that are designed to prevent or detect health problems early, before they become more serious.
