What is insurance subrogation?

Insurance subrogation is the process where an insurance company, after paying a claim to its policyholder, seeks reimbursement from the responsible third party. This allows the insurer to recover the funds it paid out and prevents the at-fault party from escaping liability.

Can I get baggage loss coverage with a credit card travel benefit?

Some credit cards offer baggage loss coverage if you purchase the trip using the card. However, coverage may have lower limits and stricter conditions compared to standalone travel insurance.

Why do insurers prefer treaty reinsurance?

Insurers prefer treaty reinsurance for its predictability, automatic coverage, ease of administration, and ability to handle large volumes of policies efficiently.

What is meant by policy lapse?

A policy lapse occurs when an insurance policy is terminated because the policyholder fails to pay the required premiums within the specified grace period. The policy will no longer be active, and the insurer will not be liable for any claims after the lapse.

What are alternative risk transfer (ART) solutions?

ART solutions include instruments like catastrophe bonds, insurance-linked securities (ILS), captives, and parametric insurance, allowing risk transfer beyond traditional reinsurance markets.

Can an ex-spouse have insurable interest after divorce?

In most cases, an ex-spouse loses insurable interest unless they have financial dependency or child support obligations tied to the insured person.

What is cyber insurance for data breaches?

Cyber insurance for data breaches is a policy that helps businesses recover from cyberattacks, covering costs related to data loss, legal fees, notification requirements, and system restoration. It mitigates financial losses caused by cyber incidents like hacking, ransomware, or phishing.

How are premiums for public health insurance determined?

Public health insurance premiums, when required, are typically based on factors like income, family size, or employment status. In some countries, the government may subsidize or fully cover premiums for low-income individuals.