What is the role of forensic investigation in a data breach claim?

A forensic investigation helps determine the cause and scope of the data breach. Insurers may require a third-party forensic firm to investigate the breach to understand the full extent of the damage and how to prevent future incidents.

Can I take a loan from my Variable Life Insurance policy?

Yes, you can borrow against the cash value of the policy, but unpaid loans with interest may reduce the death benefit and cash value.

What is an aggregate limit in liability insurance?

The aggregate limit is the total maximum amount an insurer will pay for all claims within a policy period, regardless of how many individual claims are filed.

How does reinsurance impact a ceding company’s financial statements?

Reinsurance affects a ceding company’s financials by reducing liabilities, stabilizing earnings, and improving risk-based capital ratios. Insurers must disclose ceded premiums, commissions, reserves, and recoverable claims in their financial reports per accounting standards.

How do I evaluate an insurance company’s financial strength?

You can evaluate an insurance company’s financial strength by checking its ratings from agencies like A.M. Best, Moody’s, and Standard & Poor’s.

How does all-risk marine cargo insurance work?

All-risk policies cover most perils except specific exclusions, providing broad protection against damage, theft, or loss of cargo.

What is replacement cost vs. actual cash value?

Replacement cost covers the full cost to replace damaged property without depreciation, while actual cash value accounts for depreciation, paying less over time. Replacement cost policies typically offer better protection.

How does travel insurance reimbursement work?

Policyholders submit receipts for trip cancellations, lost baggage, medical emergencies, or other covered events to receive reimbursement based on policy limits.