GENERAL KNOWLEDGE

Detailed explanation-1: -Aggregate Limits > A yearly limit, rather than a per occurrence limit. Once an insurance company has paid up to the limit, it will pay no more during that year. Aleatory Contract > A legal contract in which the outcome depends on an uncertain event. Insurance contracts are aleatory in nature.

Detailed explanation-2: -An aggregate limit is a maximum amount an insurer will reimburse a policyholder for all covered losses during a set time period, usually one year. Insurance policies typically set caps on both individual claims and the aggregate of claims.

Detailed explanation-3: -An annual aggregate deductible is a deductible-type program under which the insured agrees to reimburse its insurer for its own losses during the policy year up to the agreed upon annual aggregate amount.