P&I
Abbreviation with 3 meanings
| Stands for | Principal and interest |
|---|---|
| Meanings | 3 |
| Categories | Business & Finance, Transportation & Travel |
P&I has three meanings. The most common are Principal and interest (real estate & mortgage) and Protection and indemnity insurance (insurance); it can also stand for Protection and indemnity.
Meanings of P&I at a glance
| # | P&I stands for | Context |
|---|---|---|
| 1 | Principal and interest | Business & Finance › Real Estate & Mortgage |
| 2 | Protection and indemnity insurance | Business & Finance › Insurance |
| 3 | Protection and indemnity | Transportation & Travel › Maritime |
1. Principal and interest
Business & Finance · Real Estate & Mortgage Abbreviations
Portion of a mortgage payment that repays the loan balance and pays interest, excluding escrowed taxes and insurance. On a fixed-rate loan, the P&I amount stays the same for the entire term.
Example: The P&I is $1,996, but the full payment with escrow is about $2,600.
With an amortizing loan, early payments go mostly to interest and later ones mostly to principal, which an amortization schedule shows month by month. In marine insurance, P&I means protection and indemnity.
2. Protection and indemnity insurance
Business & Finance · Insurance Abbreviations
Marine liability insurance covering shipowners' third-party risks, such as crew injuries, cargo damage claims, collisions with fixed objects, pollution and wreck removal, usually provided by mutual associations called P&I clubs.
Example: The vessel's P&I club posted security to release the ship from arrest.
The 12 clubs of the International Group of P&I Clubs insure most of the world's ocean-going tonnage. Physical damage to the ship itself is covered separately by hull and machinery (H&M) insurance. In mortgages, P&I means principal and interest.
3. Protection and indemnity
Transportation & Travel · Maritime Abbreviations
Marine insurance covering a shipowner's third-party liabilities, such as crew injuries, pollution, cargo damage claims, collision liabilities and wreck removal. It is provided mainly by mutual associations called P&I clubs.
Example: The P&I club posted security to release the ship after the oil spill claim.
The 12 clubs of the International Group of P&I Clubs insure about 90 percent of the world's ocean-going tonnage. Clubs date back to 19th-century Britain, when shipowners pooled risks not covered by hull insurance. P&I cover is separate from hull and machinery insurance.
Related abbreviations
More real estate & mortgage abbreviations
- NN – Double net lease
- NNN – Triple net lease
- NOD – Notice of default
- NOI – Net operating income
- PITI – Principal, interest, taxes and insurance
- PMI – Private mortgage insurance
- POA – Property owners association
- PSA – Purchase and sale agreement
See all 95 real estate & mortgage abbreviations →