Pair and set clause - Clause that stipulates that partial loss to a pair or set of items will be valued in terms of the lost item, not on the basis of reduced value of the pair or set.
Partial loss - A property loss that is less than a total loss. See Constructive total loss.
Package Policy - A combination of two or more individual polices or coverages into a single policy. A householder's policy, for example, is a package combining property, liability and theft coverages for the individual homeowner.
Permanent partial disablement - Permanent loss of use of one hand, one leg and/or one eye to an insured person
Permanent total disablement - The accident resulting in loss of utility of two limbs (two hands, two legs, two eyes, or a combination of one of each). PTD can be without loss of utility of limbs also, if the injury can result in permanent total disablement such as disfigurement of body or spinal injury etc.
Physical Hazard - A hazard that arises from the material, structural, or operational features of the risk itself apart from the persons owning or managing it.
Policy - Is the legal document that has the conditions of the insurance contract?
Policy Excess/Deductibles - Amount upto which no claim is paid under a policy.
Policy Period - The period during which a Policy contract affords insurance.
Policy Proof on interest - A clause in an open contract of marine insurance covering peculiar conditions of risk concerning anticipated freight e.g. if captain of a vessel has gone to pick up freight that is destroyed by some hazard he has suffered loss in terms of shipping fees. Protection by a PPI or FIA policy will indemnify him for the loss.
Policy reserves - The funds that an insurance company holds specifically for the fulfillment of its Policy obligations. Reserves are so calculated that, together with the future premiums and interest earnings, they will enable the company to pay all future claims.
Premium - It is the amount paid to secure an insurance policy.
Premium Return - Premium returned to Policyholders principally on cancellation or partial cancellation of contracts, or on rate adjustments.
Pressure vessels - Pressure vessels are those where pressure is built up or maintained.
Professional Indemnity - It is a cover granted to professionals covering their legal liability for any claims arising out of professional misconduct.
Prohibited risk - Exposure or applicant which an insurer has decided it will not insure under any condition.
Proposal - It is an offer made to insurer for insurance protection.
Provisions - Words, sentences, and paragraphs in an insurance contract that specify the terms and limitations of the policy as well as the rights and obligations of the insured and the insurer.
Proximate Cause - It is the active efficient cause which sets in motion a train of events which bring about a result, without the intervention of any force started and working actively from a new independent source.