:: Glossary of Financial Terms (A, B)

AFL The total value of insured losses which must be incurred in a policy period and bourne by the Insured before the Insurer becomes liable in respect of that policy period.

Aggregate First Loss The total value of insured losses which must be incurred in a policy period and bourne by the Insured before the Insurer becomes liable in respect of that policy period.

Aggregate Liability The amount of liability under a new policy period and a previous policy period, or a policy issued under other Insurers.

Annual Limits Charge A Discretionary fee levied at the start of each policy period to cover the Insurer's expense in responding to limits application, based on traffic in the preceeding policy period or an estimate for the first period.

Approved Source An information source approved by the Insurer which may be used by the policy holder as justification for credit granted under the discretionary limit.

Assignee The Company (usually a Bank or Financial Institution) to whom benefits of the policy are assigned by the Insured.,

Assignment An instruction to the Insurer to pay a third party any amount payable under the policy in respect of a specific Bill of Exchange.