What is a waiver of subrogation in insurance?
A waiver of subrogation is an agreement in which an insurer gives up its right to seek reimbursement from a third party. These waivers are often required in contracts, such as leases or construction agreements, to prevent legal disputes between parties.
How does emergency evacuation coverage work?
If a traveler experiences a medical emergency, the insurer arranges and pays for transportation to the closest hospital that can provide proper care. The coverage may also extend to air ambulance services if needed.
Can an insurer have multiple treaty reinsurance agreements?
Yes, insurers often use multiple treaties with different reinsurers to diversify risk, optimize financial security, and ensure comprehensive coverage across various risk types.
What happens to the policy’s cash value if the policy lapses?
For permanent life insurance policies, the cash value may be affected if the policy lapses. Depending on the insurer and the policy's terms, the cash value may be forfeited, or the policyholder may be able to access it, but it may not fully cover the unpaid premiums.
What is the significance of legal precedent?
Legal precedent is a principle where courts follow previously decided cases to ensure consistency in legal rulings, helping judges interpret and apply laws based on past judicial decisions.
How is insurable interest proven in an insurance claim?
Documentation such as ownership records, financial agreements, or legal dependency proof is required to establish insurable interest in a claim.
How does cyber insurance interact with existing cybersecurity measures?
Cyber insurance complements cybersecurity measures by providing financial protection if a breach occurs. Insurers may require businesses to implement security practices like encryption, multi-factor authentication, and employee training to qualify for coverage or reduce premiums.
What is the difference between Medicare and Medicaid?
In the U.S., Medicare is a federal public health insurance program primarily for seniors (65+), while Medicaid is a joint federal and state program for low-income individuals and families.