This glossary is intended as a general aid to help you understand some of the commonly occurring phrases and jargon used in the insurance world.  If you have any questions about the use or meaning of a term or expression in any particular product or literature, you should raise them with the provider concerned.

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Managed fund
A pool of money managed by a fund manager and spread in investments across a range of assets such as company shares, government bonds or property. These managed investment funds can be accessed through life insurance or pension plans.
Market value
The price you could expect to get if you sold your property or goods.
Market value adjustment
A reduction made to the value of a with-profits fund if you cash in some or all of your with-profits investment before your selected pension age. Firms use MVRs to help ensure that policyholders who cash in some or all of their with-profits investment before the end of the policy term do not disadvantage the remaining policyholders. (Also called market value adjustment).
Market value excess of investments
This is the difference between the market value and the (account) book value of a company’s investments.
Material damage
A term used to describe physical loss or destruction to property or contents.
Material fact
An important fact about you or your circumstances that would influence an insurer’s decision on whether to issue a policy and on what terms. Non-disclosure or misrepresentation of such facts can result in your policy being cancelled or your claim being declined.
When a policy (such as life insurance or a pension) reaches its agreed time limit, it comes to an end and the value is paid out.
Mechanical breakdown
Covers the cost of home appliances or motor vehicles breaking down.
Medical expenses insurance
This reimburses all or some of the costs of treatment for medical conditions. (Also known as health insurance).
A period of time during which insurance will not cover a specific risk (such as a pre-existing medical condition) or the insurer will not use specific information (in relation to genetic testing for example).
Mortality rate
A measure of the number of deaths (in general, or due to a specific cause) in a population during a given period of time.
Motor insurance anti-fraud and theft database
A computerised record of claims for stolen or written off vehicles. The database is used by insurers to detect patterns such as multiple or fraudulent claims.
An insurance company that is owned by its customers.