information

We use cookies to give you the best possible experience online. By continuing to use our website, you agree to receiving our cookies on your web browser. Visit our cookie policy page to find out more and how to change your cookie settings.

skip to main content

Glossary

Explanations of some of some of our financial terms

Glossary

Use this glossary of common – and not so common – insurance terms to help you understand words and phrases you may not have come across before.

MNO

  • Main driver

    Found in: Car Insurance

    The main driver is the person who uses the car the most; whether for social purposes or for travel to and from a place of business, duty or study. See fronting.

  • Major organ transplant

    Found in: Life Insurance

    Major organs are classed as bone marrow, complete heart, kidney, liver, lung or pancreas.

  • Market value

    Found in: Car Insurance

    Market value is the cost of replacing your vehicle with another of the same make, model, age and condition at the time of an accident or loss not the price you paid for it. (See UK market value for breakdown insurance definition.)

  • Mastectomy

    Found in: Life Insurance

    The surgical removal of one or both breasts.

  • Medical condition

    Found in: Car Insurance

    As far as your car insurance policy is concerned, medical condition means any condition that you've had to report to the DVLA because it may affect your driving.

  • Modified car

    Found in: Car Insurance

    A modified car is one that's been altered to affect (usually improve) its performance. See Cosmetic modification.

  • Money

    Found in: Home Insurance

    Money means cash, bank and currency notes, cheques, postal and money orders, bankers' drafts, luncheon vouchers, saving stamps and certificates, bonds, current postage stamps, travellers cheques, travel tickets, season tickets and gift tokens belonging to, or the responsibility of, you or your family.

  • MOT

    Found in: Car Insurance

    MOT is the Ministry of Transport test, usually referred to as an MOT. It's an annual safety and roadworthiness test that applies to all UK-registered cars over three years' old.

  • Motor Insurance Groups

    Found in: Car Insurance

    Cars used to be rated by insurance companies on a scale of 1 to 20. On 1 January 2010, a scale of 1 to 50 was introduced. The rating is based on the engine size, repair costs, risk of theft etc. and cars with a lower rating are usually cheaper to insure.

  • Motor Insurers' Bureau (MIB)

    Found in: Car Insurance

    The Motor Insurers' Bureau is an organisation established in 1946 to compensate the victims of negligent uninsured and untraced motorists. www.mib.org.uk

  • Motor Neurone disease

    Found in: Life Insurance

    A neurological disease which affects the cells that control voluntary muscle activity including speaking, walking, breathing, swallowing and general movement of the body.

  • Motorail

    Found in: Car Insurance

    Motorail is a specific European Rail Service for transporting vehicles across Europe. Motorail services do not include Channel Tunnel rail services.

  • Multi-car insurance

    Found in: Car Insurance

    Multi car insurance means different things to different insurance companies; some companies put more than one car on the same policy, some offer a discount for a second, or subsequent, car insurance policy. LV= goes one stage further than that and actually offers a multi-insurance discount if you take out any combination of LV= insurance policies, not just multi-car insurance.

  • Multiple sclerosis

    Found in: Life Insurance

    This is an inflammatory condition in which the fatty layers around the brain and spinal cord are damaged. It affects the ability of nerve cells in the brain and spinal cord to communicate with each other.

  • Mutual life assurance company

    Found in: Life Insurance

    Mutual organisations are not owned by external shareholders (like PLCs are) but work for, and only answer to, their customers. See Friendly Society.

  • National Insurance Contributions (NICs)

    Found in: Life Insurance

    You pay National Insurance Contributions from your pay to qualify for some social security benefits such as the State Pension, Jobseeker's Allowance and Employment Support Allowance.

  • New Drivers Act

    Found in: Car Insurance

    Under the New Drivers Act, if you get six or more penalty points on your licence within two years of passing your driving test, the DVLA will revoke your driving licence and you'll need to reapply for a driving licence as a learner driver and re-sit your driving test.

  • No claim bonus

    Found in: Car Insurance

    See definition for no claim discount.

  • No claim discount

    Found in: Car Insurance

    No claim discount or no claim bonus gives you a reduced premium for not making a claim on your car insurance policy. The longer the period of no claim, the higher the discount, up to a maximum, usually 75%. Note: it's a no claim bonus, not a no blame bonus. Also see Guaranteed no claim discount or bonus.

  • Office equipment

    Found in: Home Insurance

    Office equipment includes computers, keyboards, visual display units and printers, word-processing equipment, desktop publishing units, multi-user small business computers and fax machines.

  • Optional extra

    Found in: Car Insurance, Home Insurance, Travel Insurance

    An optional extra is an additional feature that you may wish to buy when you take out a policy.

LV=, County Gates, Bournemouth, BH1 2NF, UK