Property taken over by an insurer to lower its loss.

Occurs when an individual or a company which has a large number of risk units, recognises that a risk exists and makes a conscious decision to bear that risk without insurance.

A term describing business where most claims arise and are settled relatively quickly. It is sometimes applied to those classes of business that take no more than three years to run off.

A document noting an amendment to a slip.

An insurer's assets must exceed its liabilities by a certain amount. The formula for the calculation of that amount is set down in the Insurance Act.

If a broker provides personal advice, they must provide a written statement of advice (SOA). Personal advice is financial advice that takes into account personal objectives, financial situation or needs. The information in an SOA is required to be presented clearly and concisely, with enough detail for the Insured to make an informed decision about whether to act on the advice

A law that specifies a time limit for which a person can bring a legal action for a claim.

A reinsurance to protect the reinsured from losses in excess of a given percentage of its net premium income.

Means violent wind (including a cyclone or tornado), thunderstorm or a heavy fall of rain, snow or hail

A system of title that allows the owner of a unit, in a block of units, to have a separate title for that unit.

The object which forms the basis of the contract of insurance. For example, in the case of House and Contents Insurance, the subject-matter of the policy is the insured's house and contents.