A primary insurer enters into a contract with a reinsurer by which the reinsurer accepts the risk associated with insurance policies. Portfolio entries are made when the policies are transferred to the reinsurer. What Is a Portfolio in Insurance Terms? For an insurer or reinsurer, a portfolio ...
The primary insurance amount (PIA) is a component of Social Security, representing the amount a person would receive in retirement benefits if they retire at their normal retirement age. In general, the more a person contributes to Social Security throughout their lifetime, the higher their PIA...
Some insurance companies also offer a rider that changes your personal property insurance from named perils coverage to open perils coverage. The availability of this and all riders depends on your insurer, so be sure to talk to your agent for details.Discover...
A coinsurer is a company that shares some of the potential liability for covering a single policyholder. The arrangement is most common when the risk or risks covered could be too costly for a single insurance company to cover. Generally, a primary insurance company covers most of the cost of...
What’s more, a life only annuity generally offers the highest payout of any lifetime annuity, because it carries the smallest risk for the insurer.When you shop for an immediate annuity, you will find that one of the key factors in pricing is your age and life expectancy. In a sense,...
a home and auto policy will likely cost less than a $1 million umbrella that covers a home policy, an auto policy,a vacation home policyand a boat policy, for example. This is because the more policies that are likely to trigger an umbrella claim, the greater the risk for the insurer....
Term life insurance is a type of primary life insurance that offers coverage for a specific period, known as the term. This period can vary, typically ranging from 10 to 30 years. Term life insurance provides a death benefit payout to your beneficiaries if you pass away during the term of...
A whole life insurance policy typically endows at the age of 100 or 120, depending on the policy. When a policy endows, the policy's cash value equals the face amount (the death benefit). If the insured is still alive at that age, the insurer may pay out the face amount as a lump...
Coinsurance: a percentage that you pay for your covered health services;coinsurancetypically starts after you’ve reached your deductible. If you have coinsurance, the average percentage is 18% for primary care and 19% for specialty care. The actual amount or percentage you pay depends on your ...
There are generally four options for cash withdrawal: withdraw lump sums, borrow from your insurer using the policy as collateral, surrender the policy and take the cash value, or sell the policy to a life settlement company. Another instance where you can take funds from your life insurance ...