assigned risk

assigned risk definition - business

assigned risk

A substandard risk an insurance company would prefer to avoid but for which it is required by law to provide coverage. States frequently establish assigned-risk pools for motorists with poor driving records and homeowners who live in hurricane-prone locations.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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