Glossary of Insurance Terms
Accumulation Period
The pre-determined amount of time that must pass before the benefits are to go into effect for the claimant.
Accreditation
A formal recognition by an impartial and independent organization, which confirms that a particular insurance company is upholding the standards of the industry.
Actuary
This person is professionally trained in the specifics of pensions, insurance and related areas. They determine how much money must be contributed to an insurance or pension fund in order to be sufficient for the future.
Additional Insured
An insured person specifically stated in an insurance policy
Adjustable Life Insurance
A type of insurance that allows the holder to change the terms of the insurance, raise or lower the face value of the policy, increase or decrease the premiums and/or the time period of the policy
Adult Day Care
A daily program made up of social and health-related services provided daily outside the home in a group setting to support weak, elderly, or other adults with impairmentAdvantage List
List of health service providers that agree to give particular insurance company policyholders a preset discount
Age Limits
Stated minimum and maximum ages below and above that the insurance company will not accept policy applications
Agent
A licensed insurance company representative who sells, negotiates insurance policies, and provides service to the policy holders
Alien Insurer
An insurance company located in another country
Allocated Benefits
Benefits that have a stated maximum amount payable for specific services itemized in the contract
Alzheimer's Care Center
A treatment center that specializes in providing care for those with Alzheimer's Disease with more of the care geared towards supervision of the patient in a safe and controlled environment
Alzheimer's Disease
A degenerative disease of the brain which attacks nerve cells in the cortex of the brain thereby impairing a person's abilities to think and function
Amendment
A formal written document signed by both the insurance company and the policyholder, which changes the terms of the insurance policy
Application
A signed statement of facts filled out by the person applying for the insurance policy, which is then used by the insurance company to decide whether or not to issue a policy. The application then becomes part of the policy
Assessment
Determination of the person's level of physical ability or mental capability, and the type and extent of services available and needed
Assignment
The legal transfer of one person's insurance policy to another person
Assisted Living Facility
A facility which provides 24 hour around the clock care to resident patients in need of assistance with any number of the Activities of Daily Living (ADLs).
