Incurred but not reported the liability that an insurer has for losses that have happened but not yet reported as claims.

Type of insurance that restores the individual as close as possible to the financial position that they enjoyed before the loss.

(applies to Business Interruption Insurance) A term used in Business Interruption insurance. It means the period beginning with the occurrence of damage and ending not later than the number of months specified in the policy schedule during which the results of the business are affected in sequence of the damage. For example, assume damage has occurred on the very last day of the period of insurance. The indemnity period starts from that date and runs until the business is no longer affected, subject of course to the number of months the client selected. If the client selects too short an indemnity period, then the consequences are similar to under-insuring a building. If the business continues to be adversely affected after the nominated indemnity period, the insured will have to carry the losses, as the policy cover has ceased.

A situation where a person is unable to pay debts as and when they fall due for payment.

A company may not be able to settle debts in full because its assets are worth less than the liabilities that must be paid off.

A device for transferring specified risks of individual persons to an insurer. The insurer agrees, for consideration (usually payment of a premium), to assume, to a specified extent, certain losses that may be suffered by the insured.

Any policyholder who is dissatisfied with the outcome of his or her dealings with the insurer can contact the Insurance Ombudsman Service on 1300 780 808.

Sets out the information given to an insurer upon which the decision to offer cover is made. It also displays the individual details of a policy.

The party to an insurance arrangement to whom the insurer agrees to provide cover against specified losses, or to render services, subject to the terms of the insurance contract.

Occurrences which cause loss and damage which are listed in the relevant policy.

The party to an insurance arrangement who undertakes to provide cover or to render services, on the happening of specified events.

An agent or broker who assists the public in proposing for insurance.