Excessive Insurance

Excessive Insurance

Insurance over and above the policyholder's needs. For example, if one's homeowners insurance has a $500,000 benefit but it would only take $150,000 to rebuild one's house and replace one's possessions, one has excessive insurance. A person or company with excessive insurance likely is paying too much in premiums.
References in periodicals archive ?
Ironically, Nato also encourages fecklessness among its members in ways that can be likened to what financiers call the "moral hazard" phenomenon, in which excessive insurance, offered for an ostensibly good purpose, promotes risky behaviour by those insured.
Bank employees charged premiums, interests and fees for bogus or excessive insurance identical to what customers already had in place.
"Evidence suggests that forced-place insurance can cost up to 10 times more than voluntary homeowners' insurance, and that these excessive insurance costs increase the debt owed by borrowers and thereby impose unnecessary losses on guarantors such as the Government Sponsored Enterprises (GSEs) you are charged with conserving," Waters continues.
"Someone can accuse us in excessive insurance, but it is better this way because FMD is a very serious disease," Bulgaria's Agriculture Minister, Miroslav Naydenov, said on Wesnesday.
By serving as a check on excessive insurance profits that in turn bloat and degrade the capacity of the medical system today, the FMIC could play a similarly constructive role.
Unless the insurance broker understands the complexities of a particular industry, there's a chance key distinctions will be overlooked, leaving businesses with inadequate or excessive insurance cover.
Scottish lawyer Mike Dailly, principal solicitor of the Govan Law Centre in Glasgow, looking after the interests of customers facing excessive insurance and overdraft penalty charges, has accused high street banks of behaving worse than loan sharks.
"Poor people are being forced to pay excessive insurance rates, based on a factor that in no way is related to the risk that insurance companies incur when they issue an insurance policy," Sizemore said.
Among the persons insured through employers, the favorable tax treatment of health insurance encourages excessive insurance coverage, both in terms of an excessive range of service coverage (insurance coverage for predictable recurring services) and an inadequate amount of cost sharing (low deductibles and coinsurance rates).
Cropp's bill, the city's insurance commission would be required to approve all proposed liability premium increases that exceed a certain percentage, would allow the insurance commissioner to consider a malpractice insurer's current surplus as a factor in rate making, and would authorize refunds for physicians who have paid excessive insurance premiums.
The CSA does on occasions, providing the case fits to a rather stringent criteria, allow the deserted father a small allowance to enable him to visit his children, however it does not allow for car tax, petrol, excessive insurance costs due to excessive mileage, increased maintenance costs for the vehicle and time being taken off work to enable the father to actually travel.