Glossary

Survivorship benefits are the benefits paid to the survivor of the deceased, whether it be under a pension plan, social security plan, or a life insurance policy.

A commercial and personal auto coverage endorsement, the Suspension of Coverage Endorsement (CA 02 04, PP 02 01) suspends certain coverages for specified vehicles when the vehicles will not be used for a period of 30 days or more.

A swap is an agreement to exchange or to net payments at one or more times based on the actual or expected price, yield, level, performance, or value of one or more underlying interests.

Swaption is the option to purchase or sell a swap at a given price and time or at a series of prices and times.

Swing plans are provisions in a reinsurance contract that provide that, as losses covered by the insurance contract increase, so does the premium charged.

Syndicate is a group of companies or underwriters who join together to insure very high-valued property or high-hazard liability exposures.

A systemically important financial institution (SIFI) is a bank, investment firm, insurance company, or other financial institution deemed by the Federal Reserve to pose a serious risk to the US economy should it fail.

Systemic discrimination refers to a type of discrimination claim brought by the Equal Employment Opportunity Commission (EEOC) against an employer, in which the EEOC alleges that more than 20 individuals were victims of discrimination by that employer.

Systems performance insurance guarantees the owner's debt service if the insured project cannot perform at the anticipated capacity due to deficiencies in the system's design, materials, or construction.

A system safety approach is a theory of accident causation and control based on the premise that the universe is a single system and composed of many related subsystems.