Mid-term adjustment
term in insurance policy
In insurance, mid-term adjustment (MTA), also called a mid-term modification or mid-term change, refers to a change to an insurance policy prior to the end of the policy period (when coverage is offered).
The change to the policy may cause a change in the premium: an increase is often called AP (for an additional premium) whereas a decrease is often called RP (returned premium).
An additional transaction may also be payable to cover e.g. costs for revised insurance documents. Some insurers also use this fee to discourage changes, although few openly admit this.
A cancellation is often treated as a special-case MTA, where the cover decreases to zero. Such transactions may attract special fees too.
Begin with the source’s own compact description: “Mid-term adjustment” is term in insurance policy. The dossier treats that line as a proposition to test through Mid-term, adjustment and term, not as a finished interpretation.
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This entry incorporates text from “Mid-term adjustment” on English Wikipedia. Contributors are listed in the page history. Text is available under the Creative Commons Attribution-ShareAlike 4.0 License. Selected authority identifiers and statements are retrieved from Wikidata under CC0; their references and qualifiers remain part of the verification path.