Massachusetts Health & Accident Insurance Practice Exam

What term is used to describe the total amount in an insurance context?

1. Entire

2. Aggregate

3. Gross

4. Totality

The correct answer is: Gross

In the context of insurance, the term that best describes the total amount is "gross." In insurance terminology, "gross" refers to the total amount of premiums collected by an insurer before any deductions for expenses or losses. It encompasses the full figure that an insurance company receives from its policyholders. The other terms provided, such as "entire," "aggregate," and "totality," do not specifically capture this concept in the same way. "Aggregate" is often used in risk management and insurance to describe the total amount of claims over a period, but it is not as universally referenced to denote the total premiums collected. "Entire" and "totality" are more general terms that do not have a specific meaning tied to insurance totals. Therefore, "gross" is quintessential to understanding the complete financial picture within an insurance context.