Glossary

A valuation figure agreed in writing between client and insurer before cover starts. In the event of a total loss the insurer pays the agreed value rather than market value at the time of claim — common for prestige cars, fine art, and valuables.

The maximum amount an insurer will pay for any single insured event, regardless of how many items or losses are involved in that event.

An independent intermediary regulated by the FCA who places insurance with an insurer on the client's behalf. Brokers owe a duty to the client (not the insurer) to find appropriate cover.

A life-insurance add-on that pays out a tax-free lump sum on diagnosis of a listed serious illness such as cancer, heart attack, or stroke.

The maximum amount payable by the insurer under a policy — either in aggregate across the policy year or per single claim.

Cover for the personal liability of company directors and officers for alleged wrongful acts in managing the company.

The amount the policyholder pays towards each claim before the insurer's liability begins. Sometimes called the deductible.

The Financial Conduct Authority — the UK regulator that authorises and supervises insurance brokers and insurers. Mayfair Insurance is FCA-regulated (firm number 445714).

An individual or family with significant assets — typically £1m+ in personal wealth or £500k+ in property value. HNW insurance addresses cover gaps in standard policies for valuables, fine art, prestige cars, and overseas exposure.

The principle that insurance puts the insured back into the same financial position they were in immediately before the loss — no better and no worse.

The world's oldest insurance market, made up of independent syndicates that underwrite complex and specialist risks. Many high-value and unusual covers are placed at Lloyd's.

An independent claims investigator who assesses damage and determines the appropriate settlement on behalf of the insurer.

A form of private medical underwriting where pre-existing conditions are simply excluded for a fixed period (typically two years) rather than declared up front. Faster to set up than full medical underwriting.

Insurance that protects professionals (solicitors, accountants, architects, consultants) against claims of negligence, error, or omission in their professional services.

The cost of rebuilding a property to its original specification, including labour, materials, demolition, and professional fees. Used as the basis for buildings sum insured — not market value.

The part of the policy document that lists insured items, sums insured, and specific terms applying to each. Often used for individually listed valuables.

The insurer's right to recover the amount paid out on a claim from any third party legally responsible for the loss.

The maximum amount the insurer will pay under a particular cover section, set when the policy is taken out and reviewable at renewal.

The insurer's representative who decides whether to accept a risk, on what terms, and at what premium.

The legal duty on both client and insurer to disclose all material facts honestly. Breach by the client can void the policy.