under insured

Popular Terms
A term given to those who do not possess the proper level of insurance coverage against a particular form of personal loss, including auto, home or healthcare expenses or who are not able to meet coinsurance criteria. In addition, the term 'under insured' can also be applied to a policy that does not provide sufficient benefits. For example, an individual who lives in a high-risk flood area but purchases a homeowner's policy that does not reimburse for loss due to water damage would be considered under insured.


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