Glossary Terms "a"

Actual Cash Value

The price a willing buyer will pay to a willing seller for an item of property.  The term applies to the loss valuation portions of property property.

Actuary

An employee of an insurer who performs mathematical and statistical analysis for the purposes of setting rates and for reserves other than loss reserves, such as reserves for incurred but not reported losses.

Additional living expeses

In the event of a covered loss to the house, the insured is covered for temporary lodging, along with other things specified in the policy, while repairs are ongoing.

Admitted Insurer

An admiited insurer to transact business within a particular state. If an insurer is 'nt admitted in that state, yet does business within the state, it does so as a nonadmitted, or axcess and surplus lines insurer.  Policies issued by nonadmitted insurers guaranty fund in the event of insurer insolvency.

Agent

This is the person auhorized by and on behalf of the insured to transact insurance on it's behalf.  Agent must be licensed by each state in which they intend to do business.  An appointed agent is an agent from whom an insurer has filed a notice of appointment with the insurance department of that particular state.

 Appraisal

The process in which property losses are determined and settled.  These are intended to resolve disputes over the amount of loss.