Coverage


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Coverage

Coverage

1. The specific insured events for which an insurance company will pay a benefit. For example, a life insurance policy provides coverage in the event of death. Likewise, a health insurance policy provides money in the event of illness. Generally speaking, an insurance policy outlines what it covers and the benefits it provides under different circumstances.

2. A measure of a company's ability to pay its fixed liabilities. It is calculated by determining by subtracting its fixed payments from its operating income. High coverage indicates that the company can easily make its payments and indeed is able to set funds aside to do so in the event its income declines. Low coverage means that the company can make its payments but that it has less flexibility in doing so. A negative number indicates that the company cannot pay its fixed liabilities. The payments included in this calculation are lease payments, dividends on preferred stock, and debt service. It is also called fixed-charge coverage.
References in periodicals archive ?
A: Historically, D & O policies simply provided the traditional "breach of fiduciary duty" coverage for a company's directors and officers.
Throughout 2005, H has self-only coverage under an HDHP, as defined in Sec.
When Brazilian companies run through their general liability insurance and their sudden-and-accidental pollution insurance, their coverage often does not cover accidents involving underground equipment, like fuel or industrial waste tanks, and it usually only includes, as part of its off-site coverage, residential and industrial areas, not the environment in general, says Walter Polido, the technical and juridical director of the Brazilian office of Munich RE, a German insurer.
Customized insurance policies are a way to ensure the best possible coverage under all circumstances.
Waiting for a judicial determination of coverage may not be palatable for some property owners, who will prefer to protect themselves by procuring mold liability coverage.
Data are compiled quarterly and annually to determine trends in media coverage, particular media and journalist bias, and the issues that garner the most favorable or unfavorable coverage for the company.
The reason being is that domestic partners of the opposite sex have the opportunity to obtain coverage by entering into a traditional marriage,'' said Ken Mercer, a spokesman for the Chicago-based company of more than 150,000 employees.
As such, if an ADAA member improperly charts or handles a medical file that then causes a bodily injury (example: the dentist extracts the wrong tooth because the chart was incorrect) there is absolutely coverage for the member for their administrative activities.
States can expand coverage to populations above 200 percent of the FPL, but they have to demonstrate that all populations below 200 percent are covered.
Directors' and officers' liability coverage provides individual protection for camp directors and officers against wrongful act lawsuits brought by customers, competitors, creditors, and others.
An employer may simply decide to provide health insurance coverage only for key employees under sections 162 and 106(a)--outside the cafeteria plan.