Getting MarriedLife Insurance Terms
These definitions are courtesy of the American Council of Life Insurers
A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
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Nonforfeiture value The value of an insurance policy if it is cancelled or required premium payments are not paid. The value is available to the policyholder either as cash or reduced, paid-up insurance.
Nonmedical limit The maximum face value of a policy that a given company will issue without a medical examination of the applicant.
Nonparticipating policy A life insurance policy under which the company does not distribute to policyholders any part of its surplus. Premiums usually are lower than for comparable participating policies. Some nonparticipating policies have both a maximum premium and a current lower premium, which reflects anticipated experience more favorable than the company is willing to guarantee. The current premium may change from time to time for the entire block of business to which the policy belongs. See participating policy.
Nonproportional reinsurance A form of reinsurance in which the reinsurer's liability depends on the number or amount of claims incurred in a given period.