Friday, 8 July 2016

Term of the Day


  1. An insurance policy provision under which the insurer and the insuredshare costs incurred after the deductible is met, according to a specificformula.
  2. More generally, a sharing of risk between the insurer and the insuredalso called copay.
Learn more about this term
Usage Example
Insurance creates moral hazard, i.e. the insured may undertake risky actions knowing that somebody else is paying, but this can be reduced by acoinsurance arrangement whereby the insured is penalized financially for this behavior, resulting in a lower premium.

Post a Comment

Requested Ministry-wise PIB releases

Envoys of four nations present credentials to President of India M.S. Subbulakshmi was a legendary and iconic figure who mesmerized eve...