What is a partial claim approval?

A partial claim approval means the insurer agrees to pay only part of the claimed amount. This can happen if certain damages are excluded from coverage, if the insurer determines the loss is less than claimed, or if depreciation and deductibles reduce the payout. You can dispute or negotiate if needed.

What is the difference between facultative and treaty reinsurance?

Facultative reinsurance covers individual, specific policies, allowing insurers to negotiate terms for each case, while treaty reinsurance involves an ongoing agreement covering a portfolio of policies, with pre-agreed terms for claims handling.

What should I do if my cargo is damaged during shipping?

Notify the insurer immediately, document the damage with photos, gather necessary shipping documents, and file a claim promptly.

Will homeowners liability insurance cover my home-based business?

No, homeowners liability insurance does not typically cover injuries or property damage related to a home-based business. You may need a separate business insurance policy or an endorsement for adequate coverage.

How does reinsurance help insurance companies manage risk?

Reinsurance spreads risk across multiple insurers, reducing financial strain from large claims, enabling better risk diversification, and ensuring insurers have enough capital to meet policyholder obligations.

How does CSR impact an insurer’s reputation?

A consistently high CSR enhances an insurer’s reputation, attracting more customers, while a low CSR can lead to negative reviews and reduced credibility.

What happens if I forget to activate my on-demand insurance?

If you forget to activate coverage, you will not be insured for any incidents that occur during that time. Some providers offer automatic activation features based on geolocation, usage patterns, or scheduled coverage periods to prevent lapses.

What is a 70/30 or 80/20 coinsurance plan?

A 70/30 plan means the insurer pays 70%, and the insured pays 30% after the deductible. An 80/20 plan follows the same structure but with different cost-sharing.