N
Named
insured
- The party or parties specifically named as insured in the insurance
contract. Others may have claim on the coverage of a policy by way of
internal provisions, but any such right is by way of the agreement between
the named insured and the insurance company.
Named
non-owner policy - Issued to someone who does not own an automobile,
but who drives borrowed or rented autos.
Named
perils - A formal and specific listing of perils covered in a policy
providing property insurance. A policy covering for damage by fire is
said to cover for "the named peril" of fire.
National
Association of Insurance Commissioners (NAIC) - An association of
insurance commissioners and superintendents formed to share information
and develop common laws and procedures for insurance regulatory purposes.
National
Association of Insurance Women (NAIW) - An association of women
(and men) in the insurance industry who have achieved the designation
of Certified Professional Insurance Woman (CPIW) or CPIM.
National
Association of Professional Surplus Lines Offices (NAPSLO) - Trade
association of and providing services to surplus and excess lines agents
and brokers.
National
Council on Compensation Insurance (NCCI) - National association
that collects, tabulates, and provides data used in formulating rates
for workers compensation insurance.
National
Flood Insurance Program (NFIP) - A federal program through which
per-sons with property located in predefined flood plains can obtain
flood coverage. See Flood insurance.
Nationwide
Definition of Marine Insurance - A document published by the National
Association of Insurance Commissioners that was rooted in an older (1933)
definition of "...Insuring Powers of Marine and Transportation
Underwriters". In general, the "definition" specifies
property that may be insured under marine contracts such as property
in inland transport and property regularly or routinely in transit,
e.g., contractors equipment.
Negligence
- Action or failure to act that is outside the realm of what would be
considered appropriate by ordinary, reasonably prudent persons.
Net
loss - The amount of a loss, after deductions for salvage, other
insurance, and any subrogation that an insurer is responsible for.
Net
premium - Premium less expense, such as commission.
New
York Standard Fire Policy - Once the benchmark of property policies,
it was adopted for use in all but a handful of states. The familiar
provisions of its 165-Numbered-Lines, e.g., cancellation, mortgagee,
appraisal clauses, etc., survive in Insurance Service Office property
policies as well as in independently produced forms.
No
Benefit To Bailee - A clause in inland marine forms that prevents
a person in the possession of property of others from benefiting from
any insurance the owner has on the property.
No-Fault
Auto Insurance - A few states have laws that partially exempt drivers
from legal liability for auto accidents. In these "no fault"
states car owners buy insurance to protect themselves and their passengers
from the economic and medical effects of auto accidents in addition
to liability insurance at whatever limit the statute decrees. Professors
Robert Keeton and Jeffrey O’Connell gave the "no fault" notion
impetus with the 1967 publication of their study "After Cars Crash."
NOC
- Underwriter’s shorthand derived from general liability and workers
compensation rating tables that stands for "not otherwise classified"
meaning no more specific classification is available — as in "Clerical
Office Employees NOC."
Nonadmitted
Insurers, see Excess or surplus lines market.
Nonowned
Auto - This term signifies an auto that is neither owned, hired,
nor borrowed by the insured under a commercial auto policy. Employees’
cars used in company business are commonly classified this way. The
employer’s auto liability cover for use of nonowned autos is covered
by entry of symbol 1 ("any auto") or symbol 9 ("nonowned
autos") on the declarations page.
Nonresident
agent - An agent who does not reside in the state in which he or
she is licensed.
Nose
coverage - This is the opposite of Tail coverage, although it fulfills
the same need. Nose coverage most commonly provides prior acts coverage
for insureds who are moving from a claims-made coverage form to an occurrence
coverage form. It is provided by the replacement policy.
Notice
of loss - Notice the insured provides to the insurer that a loss
has occurred.
Nuclear
energy insurance pools - Any of the insurance pools designed to
pro-vide property and/or liability coverage for organizations that handle
substantial quantities of nuclear material.
Nuisance
Value - The amount for which an insurance company will settle a
claim - not because it is a valid claim but, because the company considers
it worth that amount to dispose of it.
