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P

The proactive methods of listening to the voice of the customer are those in which organizations solicit feedback on products and services from customers.
The likelihood that an outcome or event will occur.
A technique for forecasting events, such as accidental and business losses, on the assumption that they are governed by an unchanging probability distribution.
A presentation (table, chart, or graph) of probability estimates of a particular set of circumstances and of the probability of each possible outcome.
The grounds that would lead a reasonable person to believe that the plaintiff committed the act for which the defendant is suing.
The largest loss that an insured is likely to sustain.
The transfer of property by will or by intestacy laws.
The legal process of validating a will and settling an estate.
The property passed to others by will or intestacy laws.
A classification of law that prescribes the steps, or processes, for enforcing the rights and duties defined by substantive law.
A type of administrative agency rule that prescribes procedures for agency operations, legislative rulemaking, and adjudication proceedings.
Ensuring that outputs are predictable and consistent with customer expectations.
The use of data analysis to identify the activities involved in a current process.
This involves increasing the effectiveness of the process.
A set of steps designed to be a guide to process improvement, not a rigid set of rules.
A discrete activity in a business process.
Involves the ownership, planning, control, measurement, and improvement of a work process.
A diagram of a process that is based on the results of process discovery.
Mapping performance attributes of the process and establishing criteria for evaluating them.
The use of exploratory data analysis to provide insights about a business process and identify potential improvements.
Taking responsibility for a process’s design, operation, and improvement.
Documenting, defining, and understanding the parts and the interrelationship of the parts of each process.
Procedures that help to ensure that data are processed correctly after they are entered into an information system.
The delay between getting a check recorded on the company’s accounting records and depositing the check in the bank.
A policy that covers the insured’s goods while being worked on at a subcontractor’s or processor’s premises and while in transit to and from those premises.
Any of several kinds of insurance personnel who place insurance and surety business with insurers and who represent either insurers or insureds, or both.
When the product feature can be applied to the customer’s need.
Attributes of an organization’s products that cause them to be preferred over those of another organization.
An intentional false and misleading statement about a characteristic of a plaintiff’s product, resulting in financial damage to the plaintiff.
When a product known to satisfy the customer’s need is pointed out by the salesperson.
In international trade, the permission granted by one company to another to manufacture its product or to use its distribution facilities or technology.
An evaluation of whether a business operation has continued when a successor corporation continues essentially the same business or manufacturing operation as its predecessor. This theory holds purchasers of manufacturing assets liable for the products made by the seller before the asset purchase.
Designing a specific product for a market, a specific approach to a market, or both.
An organizational structure in which members of functional departments report to a single team manager.
A chart showing two types of clients—current and those new to the agency—and two types of products—those that exist in the client’s account and those that are new to the client’s account.
A phase in the life of a system when the actual system is created.
An offshore facility that is installed, after oil or natural gas deposits have been discovered, to drill production wells and pump oil or gas from them.
An insurer employee who works in the insurer's office in an underwriting position but also travels to visit and maintain rapport with agents and sometimes clients.
Performing underwriting functions in an insurer’s office as well as traveling to visit and maintain rapport with agents and sometimes clients.
Wells that are drilled, after appraisal wells have shown oil or natural gas deposits to be of commercial value, to produce large quantities of oil or natural gas.
Any or all conditions in or arising out of an organization’s products or completed operations that present a possibility of loss for which a liability claim might be made against the organization.
A manufacturer’s or seller’s liability for harm suffered by a buyer, user, or bystander as a result of a product that has a dangerous manufacturing defect or design defect or that is not accompanied by a warning of an inherent hidden danger.
Coverage that insures liability for bodily injury or property damage arising out of the named insured’s products, excluding damage to the products themselves.
A manufacturer’s or seller’s exposure to liability for harm suffered by a buyer, user, or bystander as a result of a defective product.
The endorsement that modifies the CGL coverage form’s definition of products-completed operations hazard to include bodily injury or property damage arising out of the named insured’s product from the time that the named insured relinquishes physical possession of the product.
Form that covers products and completed operations liability separately from the CGL coverage form.
The most the insurer will pay during the policy period for damages because of bodily injury or property damage arising out of the products-completed operations hazard.
All bodily injury and property damage occurring away from the named insured’s premises and arising out of the named insured’s product or work, but not including products that are still in the named insured’s physical possession or work that has been abandoned or not yet completed.
A company that leases workers to small or medium-sized client companies to supply the client’s permanent workforce, making the client an indirect employer; these relationships create insurance implications related to employee status.
Insurance that covers persons engaged in various occupations against liability resulting from their rendering or failing to render professional services.
An insurance policy that combines professional liability coverage, commercial general liability (CGL) coverage, and contractors pollution liability (CPL) coverage.
An insurer whose primary business purpose is serving other insurers' reinsurance needs.
A corporation formed under a statute that allows an individual or a group of individuals who render the same type of professional service to the public to incorporate.
A warranty included in the musical instruments section of the Personal Property Endorsement stating that the insured agrees not to perform with the insured instrument(s) for pay unless such coverage is specifically provided for under the policy.
Gathering desired information about customers and prospects.
Net income that results when revenues exceed expenses.
An amount included in the insurance rate to protect insurers against the possibility that actual claims or expenses will exceed projections.
A recurring increase and decrease in profits, usually regarding a single organization or industry.
A profitability ratio that measures the percentage of sales remaining after deducting all expenses that indicates how effective an insurer is at cost control; uses income statement data and is calculated by dividing net income after taxes by sales.
The present value of future net cash flows divided by the present value of the initial investment.
A right or privilege to enter another’s land and take away something of value from its soil or from the products of its soil.
A contractual agreement that pays contingent commissions or bonuses if the insurance agency meets predetermined premium quotas, growth targets, and/or loss ratios.
A ceding commission that is contingent on the reinsurer realizing a predetermined percentage of excess profit on ceded loss exposures.
A defined contribution plan in which the employer’s contributions are based on the employer’s profits.
A prediction of when a patient’s medical condition will end and an estimate of the chance of recovery.
An insurer's offering of a policy or combination of policies with special coverages, prices, or both to insureds with similar characteristics.
A technique that identifies a project’s necessary accomplishments (called events), defines when the events must be finished for the project to be on schedule, and identifies those events that are most time-sensitive.
A surplus lines intermediary that has created a special, or niche, program that fits a particular market.
A series of logically connected steps that are loaded into a computer, allowing it to perform a given function.
A periodic or percentage installment payment for service.
Any limitation to the solutions that can be applied in achieving a project goal.
A model of how a project is planned, executed, and monitored from its inception to its completion.
The individual who manages the resources of a construction project to complete the task.
The management of loss exposures in the life cycle of a project to ensure the achievement of the project's goal.
The individual who organizes the subcontractors' work as well as the general contractor's employees to accomplish the goals of the construction project.
A defense mechanism in which a person attributes his or her own thoughts and feelings to another.
The party to a contract to whom a promise is made.
The party to a contract making a promise.
A legal principle that permits enforcement of a promise made without consideration in order to prevent injustice.
A type of commercial paper containing a written promise to pay money on demand or at a definite future time.
A policy provision in which the assured guarantees or negates the existence of a fact or state of facts at policy inception or promises that something will be done, or will not be done, during the policy period.
An advertising program directed towards a targeted group, designed to generate immediate sales of specific products or product lines.
A statement of facts about a loss for which the insured is making a claim.
The real estate, buildings, objects or articles, intangible assets, or rights with exchangeable value of which someone may claim legal ownership.
Physical injury to, destruction of, or loss of use of tangible property.
A portion of corporate profits consisting of the corporation’s acquired shares of profits of another corporation.
Any type of insurance that indemnifies an insured who suffers a financial loss because property has been lost, stolen, damaged, or destroyed.
A condition that presents the possibility that a person or an organization will sustain a loss resulting from damage (including destruction, taking, or loss of use) to property in which that person or organization has a financial interest.
An insurance policy purchased in connection with a sale of property in order to transfer the potential pollutant cleanup liability and third-party damages to an insurer.
An asset category that includes assets that have a useful life of more than one year, are used in the operation of the business, and are not intended for resale to customers.
One of the two main sectors of the insurance industry, encompassing numerous types of insurance, most of which cover the financial consequences of damage to one's own property or legal liability to others.
A policy provision that limits the insurer's obligations to a portion of the overall loss.
A reinsurance agreement that divides the amount of insurance, the premium, and the losses between the primary insurer and the reinsurer in the same agreed proportions for each risk.
An approach to other insurance by which the insurers contribute to the loss payment in the proportion to which they contribute to the total amount of coverage purchased (their limits of liability).
A type of alarm system that sends an alarm to a monitoring station located at the protected premises or another location of the property owner.
A local government’s act that is not considered part of the business of government and that could be performed by a private enterprise.
Insurer formed for the purpose of earning a profit for its owners.
A type of signaling system that alerts occupants on the protected property or on another facility of the same organization and that is staffed with the organization’s own personnel trained to handle alarms.
A provision that stipulates that the insurer will only pay a proportion of the claim equal to the insurer's limit of liability as it compares to the total of all applicable limits of liability.
An individual (or organization) from whom a producer solicits business.

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