Glossary of Insurance Terms

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Approved amount or charge

Also called the allowable, eligible, or accepted charge, this is the maximum fee set by Medicare that it will approve for a particular service or procedure, of which Medicare will reimburse 80%.

Appurtenant structures

Buildings on the same premises as the main building insured under a property insurance policy. A detached garage, a tool shed or a gazebo would be called an appurtenant structure.

Arbitration clause

Clause of a policy that provides that if a policyholder and the company cannot agree on the amount of a claim settlement, each appoints an appraiser. The appraisers select a neutral umpire. When at least two of the three, appraisers and umpire, agree on the settlement amount, it is binding on both the insured and the insurer.

Assisted living facility

A facility certified or registered by the Wisconsin Department of Health and Family Services (DHFS). These facilities exist to bridge the gap between independent living and nursing homes and provide a variety of services depending on the needs of the residents.

Attained age

This means that as you age, your premiums will change to meet your age range and your premiums will become higher.

Auto insurance

A type of insurance that protects the policyholder against losses involving automobiles. Different coverages can be purchased depending on the needs and wants of the insured.