Assured – Those insured under the terms of an insurance policy.

Benefit – The money paid to the policyholder when a claim is made.

Bid Price – The selling price or cash-in value of your unit holdings.

Bonus – Relates to a with-profits policy. The amount of money added to the benefit payable under the policy. The amount is dependent upon the profits made by the insurance company. Added bonuses cannot be taken away.

Convertible Term Assurance – A term insurance policy which gives you the option to convert your current policy to a whole-life or endowment insurance policy, without having to take further medical examinations.

Critical Illness Insurance – A policy that pays out a lump sum on the diagnosis of life threatening illnesses indicated in the terms of the plan.

Decreasing Term – A form of term life insurance where the death benefit decreases each year as per your policy. Premiums remain level. This type of certificate is frequently sold as mortgage insurance. There is no surrender value for this policy.

Endowment Insurance – An insurance policy that pays a stated amount at the end of a specified period or upon the death of the insured if it occurs within that period.

Family Income Benefit – Term assurance which pays money to the life assured’s dependants for a set period, rather than paying a lump sum.

Guaranteed Bond – A bond in which principal and interest are guaranteed by an entity other than the issuer. Guaranteed Bonds can be income or growth.

Increasing Term – The cover and the amount you pay into the policy are increased by a specific percentage each year calculated on the original sum insured. Designed as a way to increase your life cover as your earnings increase.

Investment Bond – Combines investment with some life cover. The payments you make into an insurance policy or investment bond, usually a lump sum, are invested in the insurance company’s with-profits or unit-linked funds (Life Funds). Different types of bonds include the guaranteed bond and unit-linked single premium bond. Not to be confused with a company or government bond, an investment that offers a fixed rate of interest and an area where your chosen Life Funds may be invested.

Life Fund – This usually refers to Unit linked Investment Funds. These are funds run by Life Assurance or Pension Companies. Such funds are used for individuals holding life assurance policies to invest in. The assets held within the fund are divided into a number of units. When an investor contributes to a Life Fund, units are allocated to investors in proportion to their investment.

Maturity – An agreed date when an endowment policy ends and the proceeds, including any bonuses, are payable.

Mutual – A life insurance company that is owned by its with-profits policyholders.

Offer Price – The price at which fund units are bought.

Premium – The amount of money paid into an insurance policy.

Proprietary – A life insurance company that issues its profits to its shareholders.

Qualifying Policy – A life assurance based savings plan that has to be written for a minimum of 10 years and must fulfil certain qualifying policy criteria to ensure the final payout is tax free.

Renewable Term – Term Insurance that may be renewed for another term without evidence of insurability.

Single Premium Policy – Where a single lump sum is paid for an insurance policy.

Sum Insured – The amount of money that is guaranteed to be paid under an insurance policy, before any bonuses are added.

Surrender Value – Not applicable to all life insurance policies. The amount that an insurance policyholder is entitled to receive when he or she discontinues coverage

Term Insurance – Provides policyholder with protection only. Life insurance payable to a beneficiary only when an insured dies within a specified number of years (the term). If you live beyond the term you do not receive any payment. This is thought to be the cheapest type of insurance.

Terminal Bonus – This is an extra bonus determined when a death or maturity claim is paid. Terminal bonus is often only paid if the policy has been in-force for a minimum number of years at claim time. The amount is dependent upon the profits made by the insurance company.

Unitised With Profits Fund – Also known as a Unit-Linked With Profits Fund. A type of Life Fund that can invest in UK and overseas shares, property, fixed interest securities and cash. When you invest in this fund through an insurance policy, you buy ‘units’. When an annual bonus is declared, you can either receive more units or it is added to the unit price on a daily basis. Due to the addition of bonuses the unit price does not reflect the value of the underlying investments.

Unit-Linked – Also called Unitised. If your insurance policy is unit-linked, some of your money is used to purchase ‘units’ in a fund. The value of your policy at maturity is dependent upon the growth of the fund in which the policy is invested. Generally refers to policies that offer protection and saving such as endowment insurance, whole life insurance and investment bonds.

Unit-Linked Single Premium Bond – A single lump sum life insurance policy where your investment is spread over a number of Life Funds.

Whole Life Insurance – Whole life insurance provides a death benefit for the policyholder as it builds up cash value. The policy remains in force for the lifetime of the insured, as long as premiums are paid according to the policy agreement. You can choose insurance that pays out on death a guaranteed sum only, the sum plus any bonuses that have been added, or the sum plus any additional value from the growth of the funds invested in.

Without Profits – When a policy reaches maturity or the policyholder dies, the amount paid out is the basic guaranteed sum only. You would not be entitled to any bonuses.

With Profits – Relates to insurance policies that combine investment with protection. This type of policy is entitled to a share of the profits made by the insurance company. Premiums are invested in the with profit fund, reversionary bonuses are applied usually on an annual basis which reflect the investment growth of the fund assets. On death and/or maturity a further terminal bonus might be applied to the fund value.

With Profits Bond – An insurance policy where your lump sum is in most cases invested in a Unitised With Profits Fund (which is listed under the Life Funds section).

If you are a home owner with a pit bull dog, or are considering getting a pit bull, you may be aware that your pet could affect your home insurance. Here are some things to consider.

American Pit Bull Terriers, American Staffordshire Terriers, and Staffordshire Bull Terriers are some of the more popular breeds commonly referred to as pit bulls. Many home insurance companies consider these dogs as a potential liability risk because their owners are often held accountable by law if the dog injures a person. When you purchase a homeowners insurance policy, you receive a certain amount of liability coverage to help pay for lawsuits filed against you.

According to the Insurance Information Institute, dog bites cost the property and casualty insurance industry about $317.2 million in 2005. Because insurers consider certain breeds of dog as a higher risk for a claim, they will often charge higher home insurance rates for pit bull owners.

However, the thing to realize is that each insurance company determines their rates and underwriting guidelines based on several factors that may be unique to that company. Thus rates — as well as tolerance for accepting dogs — can vary quite a bit from company to company. So whether you already own a pit bull, or are planning on getting one, you should get some comparison home insurance quotes. The Insurance Information Institute recommends getting at least three different quotes.

This is easy to do online by requesting quotes from different company Web sites. Or you may want to use an insurance comparison site. These sites don’t represent one company. Instead, you only need to fill out one online quote form, then you get several different quotes back. These sites often use independent agents who will work to find you the lowest quotes.

To further lower your homeowner insurance costs, consider raising your deductible as well as taking advantage of any available discounts.

And finally, the Insurance Information Institute recommends being proactive in reducing your chances of dog bite liability. They recommend spaying or neutering your pet, learning how to maintain control of your dog and properly socializing him or her so they know how to act around other people and animals. Also, talk to a vet about ways to reduce aggressive behavior.

If you’re home has been damaged by a covered homeowners insurance peril, you will need to file a claim with your homeowners insurance company. In a perfect world, you’d call an 800 number and a friendly insurance CSR would send out a knowledgeable insurance adjuster to your home. Once the insurance adjuster arrives, he’d cut you a check and you’d hire a contractor to perform the repairs. Soon, your home has been restored!

But this isn’t a perfect world. Yes, you will call an 800 number and reach a friendly CSR. Yes, a knowledgeable insurance adjuster will come to your home and write you a check. Yes, you’ll hire a contractor to perform the repairs. But, will the check be big enough?

Insurance adjusters are certainly knowledgeable but they don’t always have your best interests in mind. In addition, the insurance industry requires tons of paperwork and documentation. The burden of proof is on you, the homeowner. You must prove your losses and fight for every penny.

Because you must prove your losses, you absolutely must document everything. If the damage has already been done, start by taking hundreds of photos as you may need them later. Photograph everything because details matter and the debris may need to be hauled away sooner rather than later.

Take extensive notes. In fact, keep a notebook by your side at all times and jot down your ideas as they come to you so you don’t forget. For example, if your home burned to the ground and you don’t have an existing inventory of your home’s contents, you will need to rely on your memory. In the middle of the night, you might remember that you had a set of Waterford Crystal wine glasses. Write it down as you remember. You may even have taken photos of a melted glob of glass in the debris which can be used to back up your claim.

Learn your rights. Your insurance policy may cover living expenses for an extended period or might reimburse you for emergency repairs but they may not volunteer that information.

Enlist the help of a third party. A third party such as a contractor or a public insurance adjuster can help you document the damage and maximize your insurance claim. For example, if your home has water damage, a qualified water damage restoration professional knows what to look for such as damaged baseboards, carpet that must be replaced, drywall and insulation that should be replaced, electrical damage, and so forth, whereas an insurance adjuster may only authorize a carpet cleaning.

Depending on the nature and scale of the damage, you may need outside help. Either way, you will benefit by learning about what’s involved and sticking up for your rights. If your home hasn’t been damaged, take the time now to perform a thorough home inventory and store your photos, videos, and other documentation in a safe location such as a safe deposit box.

A health insurance policy protects an individual in case of unexpected health problems. Most states make it mandatory for the citizens to have some form of health insurance cover. The insurance market in California has a myriad of health insurance companies providing health insurance plans to individuals belonging to all age groups. However, some insurance companies are quite apprehensive while extending health insurance coverage to self-employed individuals.

Many self-employed individuals often seek health insurance under their spouse?s company insurance plan. If the spouse of a self-employed individual is working for a company offering a group health insurance plan, the individual is automatically covered in the plan.

COBRA (Consolidated Omnibus Budget Reconciliation Act) is a very useful option for the initial period of self-employment. When an individual leaves a job, the employer is compelled by law to offer the individual the choice of retaining their membership in the health insurance plan. However, the individual has to pay the entire premium amount.

Several organizations of self-employed people come together to unite their buying power to obtain inexpensive health insurance by means of a group policy.

This is a viable option for small business owners and self-employed individuals.

Some health insurance companies offer group policies at reasonable prices. This form of policy has many advantages. Apart from being inexpensive, they cover every individual in the group irrespective of their state of health. This option is extremely beneficial for individuals who have been ineligible for individual health plans owing to their health conditions. Many business owners, who are likely to expand their businesses in the near future, usually opt for short-term health insurance policies.

It is advisable to conduct a good research to get the best health insurance plan. However, it is important that the insurance company has a good standing in the insurance market. Individuals can obtain free quotes of various health insurance providers to compare the prices and different types of coverage offered. Individuals who do not have adequate knowledge about health insurance policies can consult a health insurance broker for guidance.

Credit Life Insurance – This is offered by lenders, and will pay off various loans such as car, personal, credit card and installment loans…only if you die. In this case, the lender is the beneficiary. To entice buyers, unemployment and disability features are sometimes used. However, the premiums are costly (sales commissions are high) and often the policy’s terms are very restrictive. Also, nothing goes to your estate, there is usually a maximum term of around 48 months and seniors between 65 and 70 (those most likely to use it) are not insured. It’s usually better to buy more life and disability insurance from your insurance agent. However, if you are medically uninsurable, you might consider credit-life insurance.

Disease-specific Health Insurance – Instead of insuring against a specific disease, like cancer, it’s better to get a good comprehensive health insurance policy.

Life Insurance for Children – The basic intent of life insurance is to protect against the premature death of wage earners – kids don’t fit into that equation. They also probably won’t need it, child could be in need of a medical exam, most young adults get coverage later and insurance premiums may actually drop as your child grows. Children also do not pose as a financial loss and your group life insurance may already cover them.

Accidental-death Insurance – Less than 5 percent of all deaths are from accidents. It is almost impossible to buy the insurance except through a group, credit card or credit union. There are also narrow benefits and a few actually collect. A good life insurance policy is a better buy; it covers death from illnesses or accidents.

Credit card Insurance/Hotline registration – With this coverage, you need to call only one hotline phone number if your credit cards are stolen. The insurance issuer will then notify all of your card issuers of the theft. Although it may be convenient, according to federal law, you are liable only for the first $50 of unauthorized purchases on each card (and liable for nothing if you report the theft before a card is used fraudulently)

Contact Lens Insurance – The cost per year (especially if there is a deductible) may cost more than the cost of a single lens replacement. Unless you frequently lose or abuse lenses, this is not a very good idea.

Mortgage Life Insurance – Although it looks appealing, whereby when you die your house is paid off and your beneficiaries don’t have to worry about paying off the home loan, the cost (which is not cheap) is usually added to your loan. It is usually better to buy more term life insurance as protection.