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assurance

A term sometimes used instead of "insurance", generally in connection with life business, since assurance implies the certainty of an event (such as death) and insurance only the probability

assignments

This is the process by which, the owner of the rights under the policy known as the assignor transfers the right to another person known as the assignee by executing a deed of assignment.

annuity

Another word for "pension". An annuity is a regular payment from an insurance company designed to give the policyholder an income for life after retirement. It is paid for by a lump sum saved during the policyholder's working lifetime. Annuity rates are based on yields on gilt-edged securities at the time of purchase. On death, any remaining investments usually become the property of the annuity provider.

annual premium equivalent (APE)

A UK industry standard formula for calculating levels of life and pensions new business over a period of time, to smooth out the effect of large, one-off payments. It is the total of new annual premiums plus 10% of single premiums. For the time being, Aviva will report life and pensions new business using both APE and present value of new business premiums.

amortisation

An accountancy term for the gradual reduction in value of an asset caused by the passage of time. If something is amortised, it is written off. If the cause is not solely related to time, the effect is described as depreciation.

agent

An individual or firm authorised to carry out transactions on behalf of another, such as the sale of insurance policies. Agents usually earn commission or a fee on the sale of a policy. They may be tied to a particular company and offer a limited selection of products.

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