Glossary

Noninsurance risk transfer is the transfer of risk from one party to another party other than an insurance company.

Nonledger assets are assets that are not entered on the books of an insurer but instead are recorded directly in Exhibit 1 of the annual statement by way of a single-entry bookkeeping system.

Nonmedical refers to life or health insurance coverage written without a medical exam.

Nonoperating working interest describes one that owns an interest in a gas or oil well or other mineral extraction enterprise but that does not participate in or have any responsibility for actual operation of the well or mine.

Nonowned automobile is described in commercial auto policies as an auto that is used in connection with the named insured's business but that is not owned, leased, hired, rented, or borrowed by the named insured.

Nonparticipating refers to life insurance contracts in which no policy dividends are paid.

A nonparticipation settlement clause refers to a provision in professional liability policies that gives the insurer the right to settle claims against insureds—for any amount the insurer deems appropriate—without first consulting the insured.

Nonpecuniary relief refers to nonmonetary compensation for a loss, such as vacating certain premises or refraining from a specific act.

A nonpracticing extension is an extended reporting period (ERP) endorsement used with claims-made policies, sometimes granted by professional liability insurers when an insured retires, dies, or becomes disabled.

Nonprofit directors and officers liability insurance is an errors and omissions (E&O) liability insurance covering the directors and officers of nonprofit organizations.