24/7 Disaster Response # 877-557-7911

24/7 Disaster Response # 877-557-7911

Glossary of Terms

If you cannot find the information you are looking for…ask your question here.

Additional Living Expense

Also called loss of use. This coverage pays for the extra, above normal costs of expenses such as food and lodging incurred while the policyholder’s home is being repaired. These expenses are generally not applicable to children living away at college.

Adjuster

A person licensed by the Department of Insurance whose job is to evaluate the amount of loss and to recommend the amount the insurance company will pay.

Agent

A person licensed by the Department of Insurance to solicit and service insurance policies.

At-Fault

Negligent.

Cancellation

Termination of an insurance policy by the insurance company or policyholder before a policy expires.

Claim

A request to an insurance company for payment of a loss.

Coverage

The amount of risk covered by an insurer.

Deductible

The portion of each covered claim you are responsible for paying.

Endorsement

An amendment to an insurance contract, creating a change in the original terms.

Exclusion

A provision in an insurance contract that removes coverage for certain losses or property.

Experience Period

The three years immediately preceding the date of application or the preparation of renewal.

Family Member

A person related to you by blood, marriage or adoption who is a resident of your household, including a ward or foster child.

Floater

Sometimes called a rider, this is additional coverage for special items such as expensive jewelry or antiques.

Insurer

The insurance company that is underwriting the contract of insurance.

Liability Insurance

Provides protection for the insured against loss arising out of legal liability to third parties.

Limits

The maximum amount the insurance company will pay in the event of a loss.

Insured

The person or persons covered by the insurance contract.

Negligence

The failure to act as a reasonably prudent person would have acted under similar circumstances.

Occupying

Means in; upon; getting in, on, or off.

Premium

The amount paid in consideration for an insurance policy.