Glossary

I

Indemnity
The insurance principle by which policyholders are put in the same financial position after a loss as they were immediately before it.

Insurable Interest
A principle of insurance which states that someone may only take out cover if they stands to suffer a financial loss from an event covered by the insurance policy.

Insurance
A financial service offering financial compensation for something that may or may not happen.

Insurance Company
A company that takes on risk within the insurance policies it sells in return for the premiums.

Insurance Premium Tax
A UK governement tax imposed on most non-life insurance premiums.

Insured
The individual covered by an insurance policy.

Intermediary
This is the person or organisation that offers advice and arranges policies for clients.