Definition, Meaning & Synonyms

coinsure

verb

ˈkɔɪnʃʊr

Definition

To share insurance coverage with another party or entity, typically involving multiple insurers covering the same risk.

Examples

The homeowner decided to coinsure the property with another insurance provider to spread the risk.
In many health plans, patients often must coinsure a portion of their healthcare costs.
The company chose to coinsure its liability coverage, minimizing its risk exposure in case of a large claim.

Meaning

Coinsurance is a risk-sharing arrangement between two or more insurance companies or between an insurer and a policyholder, where each shares the responsibility for insurance claims based on a specified percentage.