What does Secondary Market mean? Read on to discover the definition & meaning of the term Secondary Market - to help you better understand the language used in insurance policies.
The secondary market refers to the situation in which the first customers of a financial product trade that product to another set of customers. This is popularly known as the stock market, where stocks or other securities were originally bought from companies in an initial public offering or IPO.
More Insurance Terms And Definitions
The Merriam-Webster Dictionary defines insurance as:
b: Coverage by contract whereby one party undertakes to indemnify or guarantee another against loss by a specified contingency or peril.
c: The sum for which something is insured.
We hope the you have a better understanding of the meaning of Secondary Market. If you are looking for the meanings of other important insurance terms and their definitions, just click on the letter below to find the words & concepts you are looking for: