The process of determining a company’s liabilities under
its policy obligations is known as policy valuation. The process
of determining the value of a company’s investments
is known as asset valuation. Minimum valuation standards
usually prescribed by state laws.
An insurance policy under which the insurance company is obligated
to pay the full amount of the policy written to insure real
property against loss by fire (and, sometimes, other perils)
when the property insured is totally destroyed. Several states
have laws that are known as Valued Policy Laws.
Willful, intentional, often random, destruction or defacement
of private or public property. Insurance against the vandalism
peril is usually combined with the malicious mischief peril.
Variable Life Insurance:
A type of permanent life insurance in which the death benefit
and the policy value vary in relation to the investment experience
of a selected fund in which the policy values are invested.
In no-fault auto insurance states with the verbal threshold,
victims are allowed to sue in tort only if their injuries
meet certain verbal descriptions of the types of injuries
that should, as a matter of policy, render one eligible to
seek to recover for pain and suffering in a cause of action
Viatical Settlement Companies:
Insurance firms that buy life insurance policies at a steep
discount from policyholders who are often terminally ill
need the payment for medications or treatments. The companies
provide early payouts to the policyholder, assume the premium
payments, and collect the face value of the policy upon the
A policy contract that for some reason specified in the policy
becomes free of all legal effect. One example under which
a policy could be voided is when information a policyholder
provided is proven untrue.
A measure of the degree of fluctuation in a stock’s
price. Volatility is exemplified by large, frequent price
swings up and down.
Most homeowners policies cover damage from a volcanic eruption.
Number of shares a stock trades either per day or per week.
The market where a person seeking insurance obtains it with
no help from the state, through an insurer of his or her own