Impaired Risk to Issue Age Definitions

A B C D E F G H I J K L M N O P R S T U V W Y
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Impaired Risk: Used to describe the condition of a person who would be at higher risk for insurance due to his physical condition or history. This term could also be used to describe a person who participates in hazardous activities.
Incontestability: A provision of most insurance policies that provides for a period of time, usually 2 years, wherein the insurance company can contest payment of the proceeds of the policy if it can be shown that the applicant lied or failed to reveal existing conditions at the time of issuance of the policy.
Indemnity: The principle upon which all property/casualty insurance contracts are based. According to this principle, the objective of insurance is to restore the insured to the same financial position after a loss that he/she was in prior to the loss.
Individual Retirement Account (IRA): A personal, tax-deferred retirement account that an individual can establish and fund with earned income up to a maximum amount. Deposits up to a maximum of $2,000 per year usually may be deductible Income earned is tax deferred until it is withdrawn.
In-Force Business: Policies that are currently active and whose premiums have been paid.
Inspection Report: Reports that may be required for issuance of certain life insurance policies. They might typically include information about an applicant's financial, physical, moral or other attributes.
Insurable Interest: A relationship between an insured person and the potential beneficiary of the insurance. This relationship must be present at the time the life insurance policy is applied for but doesn't need to exist at the time of the death. Insurable interest exists because there is a reasonable expectation that the beneficiary will benefit from the continued life of the insured, or experience a loss at the death of the insured.
Insurance: A contractual agreement that transfers the risk of loss to an insurance company in return for premiums paid.
Insured: The person who is covered by an insurance policy.
Insurer: The party who provides the insured with protection, usually in the form of a monetary payout, against loss as outlined in the policy.
Irrevocable Beneficiary: A beneficiary who can be changed only by written consent of that beneficiary.
Issue Age: The age upon which premiums are based for the payment of an insurance policy. Some companies consider that age as the last attained age, others may consider it to be the nearest age.