Commercial Lines
Type of insurance that pertains to business, mercantile or manufacturing establishments.
Abandonment
The abdication of insured property into the hands of another, or into the possession of no one in particular.
Boarder
a person who lives with someone else for an agreed upon price, usually for a considerable amount of time
Breach
breaking or failing to observe a law or agreement
Counterfeit
fraudulent imitation, forgery
Debris
remains of anything broken down or destroyed
Direct damage
physical damage to property that results from the inability to use the damaged property
Incidental
something occurring as a minor accompaniment to something else
Incidental occupancy
minor uses that are accessory to or support the predominant occupancy (e.g., a piano teacher giving lessons in her home)
Mercantile
relating to trade or commerce; commercial
Monoline
a policy that covers one type of insurance; for example, workers compensation or commercial auto
Ordinance
a law that must be complied with
Overinsurance
when a property's insurance coverage exceeds its cash value
Personal effects
privately owned items normally worn or carried on the person
Prepackaged
a policy designed to fit the general needs of a business; insured usually cannot elect to exclude coverage that is automatically provided in the package
Vandalism
intentional destruction or damage to property
Liability
Responsibility under the law
Deductible
The portion of the loss that is to be paid by the insured before any claim benefits may be paid by the insurer.
Insured
The person or organization that is protected by insurance; the party to be indemnified.
Exclusions
Causes of loss, exposures, conditions, etc. listed in the policy for which the benefits will not be paid.
Conditions
The section of an insurance policy that indicates the general rules or procedures that the insurer and insured agree to follow under the terms of the policy.
Named Peril
The cause of loss specifically covered by the insurance policy. No coverage is provided for unlisted peril
Loss
The reduction, decrease, or disappearance of value of the person or property insured in a policy, by a peril insured against.
Theft
Any act of stealing or removing property from its rightful owner. Theft encompasses both burglary and robbery.
Exclusions
Causes of loss, exposures, conditions, etc. listed in the policy for which the benefits will not be paid.
Concealment
The withholding of known facts which, if material, can void a contract.
Cancellation
The termination of an in-force insurance policy by either the insured or the insurer prior to the expiration date shown in the policy.
Liberalization
A property insurance clause that extends broader legislated or regulated coverage to current policies, as long as it does not result in a higher premium.
Premium
A periodic payment to the insurance company to keep the policy in force.
Liability
Responsibility under the law
Insurance
The transfer of the possibility of a loss (risk) to an insurance company, which in turn spreads the costs of unexpected losses to many individuals.
Open Peril
Term used in property insurance to describe the breadth of coverage provided under an insurance policy form that insures against "any risk of loss" that is not specifically excluded.
Declarations
The section of an insurance policy containing the basic underwriting information, such as the insured's name, address, amount of coverage and premiums, and a description of insured locations, as well as any supplemental representations by the insured.
Vacant
A property that has no contents, furnishings, or occupants.
Endorsement
A printed addendum to a contract that is used to change the policy's original terms, conditions, or coverages.
Theft
Any act of stealing or removing property from its rightful owner. Theft encompasses both burglary and robbery.
Appraisal
An assessment of property to determine either the correct amount of insurance to be written or the amount of loss to be paid.
Insurer
An entity that indemnifies against losses, provides benefits, or renders services (also known as the "company" or "insurance company")
Nonrenewal
A termination of a policy by an insurer on the anniversary or renewal date.
Pair and Set Clause
A clause included in many property and inland marine policies, which provides that the insurer is not obligated to pay for the total value of a set of items if only one item has been lost, damaged or destroyed
Assignment
The transfer of a legal right or interest in an insurance policy. In property and casualty insurance, assignments of policies are usually valid only with the prior written consent of the insurer.
Subrogation
The acquisition by an insurer of an insured's rights against any third party for indemnification of loss or other payment, to the extent that the insurer pays the loss.
Auto
A land motor vehicle, trailer or semi-trailer designed for use on public roads, including attached machinery or equipment; auto does not include mobile equipment
Transfer
A basic principle of insurance under which the risk of financial loss is assigned to another party.