Chapter 14

4. a form of risk protection that exchanges the uncertainty of a possible large financial loss for a certain smaller payment.
5. the amount a policyholder must pay for insurance coverage.
6. a risk that presents the chance of loss but no opportunity for gain
8. relates to harm or injury to other people or their property because of your actions.
11. the person or company buying the policy.
12. can lead to loss of personal or business property including money, vehicles, and buildings.
14. cannot be reduced by your actions.
15. policy a policy stating the conditions to which the insurance company and the policyholder have agreed.
16. a company that agrees to take on certain economic risks and to pay for losses if they occur.
17. is the possibility of incurring a loss.

1. a policyholder’s request for payment for a loss that the insurance policy covers.
2. refers to illegal uses of intellectual property, patents, trademarks, and copyrights
3. uncommon or unpredictable damage risks
5. can result in personal losses to one’s health and personal well-being.
7. rights are the exclusive rights to possess and use property and its profits
9. the person or business for which the insurer assumes the risk.
10. can be reduced or eliminated by actions you take.
13. can result in financial loss.