Define: Assigned Risk

Assigned Risk
Assigned Risk
What is the dictionary definition of Assigned Risk?
Dictionary Definition of Assigned Risk

Assigned Risk refers to a system in which insurance companies are required by law to provide coverage to individuals or businesses that are deemed high-risk and are unable to obtain insurance through the regular market. These high-risk individuals or businesses are assigned to insurance companies by a state or government agency, ensuring that they have access to the necessary insurance coverage. The assigned risk system aims to promote fairness and ensure that everyone has access to insurance, regardless of their risk profile.

Full Definition Of Assigned Risk

Assigned Risk refers to a system in which high-risk individuals or businesses are assigned to insurance companies by a state government. This is typically done when an individual or business is unable to obtain insurance coverage in the regular market due to their high-risk status. The assigned risk system is designed to ensure that everyone has access to insurance coverage, regardless of their risk level. Insurance companies participating in the assigned risk system are required to provide coverage to these high-risk individuals or businesses, and are compensated by the state for any losses incurred.

Related Phrases
No related content found.
Disclaimer

This site contains general legal information but does not constitute professional legal advice for your particular situation. Persuing this glossary does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.

This glossary post was last updated: 29th March 2024.

Cite Term

To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

  • Page URL:https://dlssolicitors.com/define/assigned-risk/
  • Modern Language Association (MLA):Assigned Risk. dlssolicitors.com. DLS Solicitors. May 09 2024 https://dlssolicitors.com/define/assigned-risk/.
  • Chicago Manual of Style (CMS):Assigned Risk. dlssolicitors.com. DLS Solicitors. https://dlssolicitors.com/define/assigned-risk/ (accessed: May 09 2024).
  • American Psychological Association (APA):Assigned Risk. dlssolicitors.com. Retrieved May 09 2024, from dlssolicitors.com website: https://dlssolicitors.com/define/assigned-risk/
Avatar of DLS Solicitors
DLS Solicitors : Divorce Solicitors

Our team of professionals are based in Alderley Edge, Cheshire. We offer clear, specialist legal advice in all matters relating to Family Law, Wills, Trusts, Probate, Lasting Power of Attorney and Court of Protection.

All author posts