Company staff whose work is mainly outdoors and comprises of soliciting and procuring insurance business either directly or through the medium of insurance agents. They are remunerated by monthly salary and allowances like any other company employees but in addition are paid growth and profit incentives in relation to the business procured by them.

They also enjoy certain perks. This cadre exists as of now, only in the four nationalised insurance companies and is governed by a special scheme known as 'Development Officers' Scheme'.

Risks solely associated with finance extended or received, in different forms, by an individual or an enterprise, resulting in the beneficiary of finance not carrying out or not being able to carry out his/its financial obligations under the contract. Certain financial risks are insured by general insurers.

1. A provision in burglary and money insurance policies excluding loss caused by the infidelity of the employees of the insured. 

2. A provision in liability and professional indemnity policies excluding coverage for dishonest act of the insured.

Relationship arising when a person holds something in trust for another.

A motor truck equipped with water tank, pipes etc. to spray water, chemicals etc. on fires to put them off. If fire engines are maintained by the insured, a discount is given on the fire premium rate in recognition of the said feature as a risk improvement feature.

The physical or chemical properties of a matter of whatever state which makes it susceptible to the risk of fire in varying degrees.

Instrument that uses non combustible substances like carbon dioxide to extinguish a fire, by depriving it of oxygen.

A person who holds something in trust for another.

An insurance policy which reimburses an employer for losses caused by dishonest or fraudulent acts of employees.

"From Ground Up" Losses - A term used in connection with excess of loss reinsurance, which refers to the incurred losses of protected portfolio of an XL cover which are also the ultimate net loss for the XL cover.

Study carried out to decide workability of a project from various factors relating to physical, economical, environmental, political etc. aspects. Such a study is normally undertaken with the help of experts in various fields.

Discount granted as per tariff for installation of fire extinguishing appliances in the insured premises. Dis count ranges from 2.5% to 10% on the premium depending upon the installations 

Reinsurers sometimes insist that reinsurance treaty terms should be same for all reinsurers of a treaty in non-reciprocal trading. There should be no discrimination by concessions to a few. Reinsures accept a share subject to 'favoured reinsurer's terms'

Term relating to Builder's Risks Insurance. The relevant clause when attached to the Builder's Risks Insurance Policy provides cover for loss or damage to the insured property arising from faulty design of any part or parts thereof but does not extend to cover any repairing, modifying, replacing or renewing such part or parts, nor any cost or expense incurred by reason of betterment or alteration in design.

A diagram of cause and effect relationships, showing the outcome, if a particular course of action is taken or continued. This method of analysis is increasingly used in engineering accident cause and prevention.

Group of people specialised /trained in extinguishment of fires. 

A term which by convention is used to denote the following perils in addition to fire - lightning - explosion/implosion - aircraft damage - riot, strike, malicious and terrorism damage - storm, cyclone, typhoon, tempest, hurricane, tornado, flood and inundation - Impact damage - subsidence and landslide including rock slide - bursting and/or overflowing of Water tanks, apparatus and pipes - missile testing operations - leakage from automatic sprinkler installations - bush fire - earth quake. 

In relation to motor insurance, refers to the restricted cover extended to a vehicle which is in garage and out of use. All India Motor Tariff provides that policies may be issued to cover only the risks of fire (which will include riot, strike, earthquake, flood etc. perils also) and/or theft whilst the car is in garage and out of use at special reduced rates of premium. 

A combustion accompanied by a flame or glow, which escapes its normal confines to cause damage. 

Products or goods which have been fully manufactured, assembled or built and are ready for sale. 

A method of evaluating the results of a reinsurance treaty. Under this method factors like interest earned on the premium income and loss or gain in foreign exchange are also taken into account. 

A substitute to the conventional reinsurance where funding is used as a technique to spread loss or profit over a period of years after discount for handling costs, fees, commission etc. It is mostly used as a complementary arrangement for traditional reinsurance where full capacity is not available.

Formal submission of an insurance product with full details of coverage and rates, terms and conditions applicable to the regulator before marketing the product. If no reply comes from the regulator within the specified period the product is deemed approved. 

Measurement for assessing sea depth on the basis that one fathom equals 1.8288 metres. 

Act which provides that, if the death of a person is caused by wrongful act, neglect, or default, an action for damages is maintainable by the legal heirs of the deceased against the party causing injury. This act abolished the long standing rule of common law according to which a civil action for damages died with the person to whom or by whom the tort was committed. 

A comprehensive package insurance for the benefit of the farmers to cover the individual, his/her family members, property in the house, animals, animal driven carts, agricultural tractors etc. against all accidental loss or damage and accidental death and injury. 

Property and/or personal lines of insurance where in addition to the individual, his or her dependants are also covered as insured persons. 

A provision appearing in the Standard Fire and Special Perils Policy to the effect that all insurances under the policy shall cease on expiry of seven days of fall or displacement of any insured building or part thereof or of the whole or any part of any range of insured buildings or of any structure of which such building forms part. Also known as "Fallen Building Clause" 

A new account created as per the IRDA regulations. As per the regulations, listed equities, securities and derivative instruments shall be the assessed for the fair value on the date of the balance sheet. The fair value is the lowest of the quotations to those securities or instruments in any of the stock exchanges. An insurer has to compare such fair value with the book costs and any impairment in the value has to be transferred to the Fair Value Exchange Account. All unrealised gains and losses due to changes in the fair value of the instruments have to be taken to the Fair Value Exchange Account and as and when these gains or losses are realised, the same will be transferred to profit and loss A/c. 

Price at which an asset or a service passes from a willing seller to a willing buyer, where both seller and the buyer are assumed to be rational and have a reasonable knowledge of the relevant facts. 

Occurs when the risk for which the insurer has accepted the premium fails to attach. The full premium paid is returnable in such circumstances, except where there is a fraud. 

Breaks of the insured vehicle failing to perform their function leading to a road accident. Only consequential damages are covered under the policy. 

Coverage providing compensation to the insured if a dug well fails to yield specified quantity of water. Compensation is also payable for collapse of aside walls whilst digging is in progress. Insurance provided for both open wells and bore wells but for new wells only.

Oldest method of reinsurance. Each risk is considered separately and reinsured. It is necessary for the insurance company to supply the reinsurer all the material information about the risk to enable the latter to decide about acceptance of reinsurance and the extent thereof as also the rate.

This is similar to Facultative Obligatory Treaty but with only one difference. This has no line limitation whereas the Facultative Obligatory Treaty has. 

A fair and strong expectation of an occurrence happening resulting in someone getting an insurable interest in a property in due course. In marine insurance a person can insure a cargo in which he does not have an insurable interest at the time of proposing for the cover but he will have a factual expectation of acquiring such an interest at a later date.

An Insurance cover taken by the seller of the cargo to protect his interest from the time it leaves his premises and until it is placed on board the ship and a clean bill of lading is obtained. 

One of the contracts of sale relating to imports or exports, where the seller is responsible to place the cargo on board the ship and obtain the bill of lading from the steamer company. Thus he becomes responsible for any loss to cargo prior to its being placed on board the ship. It is for the buyer to arrange for marine insurance for cargo for the voyage and until it reaches the destination. In normal practice the buyer in F.O.B. contracts insures the cargo from warehouse to warehouse. 

First Information Report lodged with the police authorities in case of a fire or explosion or burglary in the insured premises or road accidents involving third parties. This is one of the documents of claim, especially when claims for third party liabilities are lodged under the policy. 

One of the terms of contract of sale where the seller has the responsibility to deliver the goods to a carrier to be named by the buyer at a place also to be notified by the buyer. The goods are at risk of seller till such delivery and the risk thereafter is transferred to buyer including further costs. 

A standard clause in a marine insurance policy by which the insurer excludes coverage of loss due to "capture" and "seizure" as well as "arrest, restraint or detriment, and the consequence thereof or of any attempt thereat (piracy excepted), and also from all consequences of hostilities or warlike operations, whether before or after declaration of war."

One of the terms of contract of sale where the seller has the responsibility to place the goods on the quay alongside the ship upto, which point, they remain at his risk. The transport cost up to that point is borne by him. Once goods are so placed the risk gets transferred to the buyer including all further costs.