What does 'mid-term adjustment' mean in insurance terminology?

Answer 1

When you have a policy in place and you have a need to make a change in the policy before the designated time period for making changes, the change or adjustment to the information or terms related to the policy would be made as a "mid-term adjustment". It may or may not make a difference in the amount of the premiums, etc., and some changes can not be made mid-term by the terms of the policy.

Using a property/casualty policy that insures a motorized vehicle, as an example, some insurance companies might allow you to make some of the following changes as a mid-term adjustment:

• Sale of the vehicle
• Purchase of a replacement vehicle
• Adding vehicle(s) to the policy
• Adding coverage for family member(s)
• You want to extend the cover from leisure use to leisure and competition use
• Change of Address of the vehicle
• Change the renewal date
• Extend or increase policy coverage terms
  
• Change of the renewal date
• Other changes that impact the risk to the insurer