This Latin phrase means ‘the thing speaks for itself. It refers to a legal liability situation. What it means is that in cases where the cause of an accident lies solely within the control of the defendant, the plaintiff does not have to prove negligence – in other words, the...
Retroactive cover is available with some Professional Indemnity insurance policies. If you have this cover as part of your PI policy it will cover you for any claims in the future which may relate back to work you did prior to the time you bought your policy.
The possibility of financial loss based on the probability of an event occurring.
Some large industrial concerns prefer to set aside their own funds to cover any future losses rather than insure with a commercial insurance company. It is a step which should never be taken without the benefit of professional advice first. Whilst day-to-day losses might not prove too much of a...
There are two types of sub-contractor. ‘Labour only sub-contractor’ and ‘bona fide sub-contractor’. The latter type of sub-contractor is defined within this Glossary under ‘Bona fide sub-contractor’. A ‘Labour only sub-contractor’ provides, as their name suggests, only labour and are paid a fixed hourly or weekly rate. They are considered...
This is a legal term which refers to the right that a person or company has to benefit from another person or company’s rights and remedies. So if a commercial insurance company pays a claim caused by a third party, then the insurer will seek to recover the amount paid...
The maximum amount that will be paid out under the terms of the business insurance policy.
Terms and conditions of trade relevant to the business, i.e. terms of using a website, conditions of sale. Click through to view the MCM Insurance Terms and Conditions.
The third party is the other person or company involved in the insurance process: the first party is the policyholder, the second party is the commercial insurance company, and the third party would be the person or company making a claim against the policyholder or being claimed against.
The money earned for goods supplied or services rendered. Insurers need to have this statistic when managing earnings-related insurance such as Business Interruption or Products Liability, where it is a rating factor.