These terms and definitions are intended for information purposes only. They do not replace or otherwise alter the definitions or provisions that are part of an individual insurance policy. The coverage they refer to may or may not be included in a particular policy.
Additional Living Expense
Covers reasonable and necessary additional costs of temporary housing and living expenses if an insured is unable to live in their insured home after a loss that is covered under their homeowner’s policy.
Auto Medical Coverage
Optional coverage that pays medical expenses for an insured or passengers in the event of an auto accident, regardless of who is at fault.
Collision and Rollover Coverage
Optional coverage in an auto insurance policy that covers the damage to an insured car from a collision or rollover.
Comprehensive Coverage
Optional coverage in an auto insurance policy that covers theft or other damage not covered by collision coverage (such as hail, wind, or fire).
Debris Removal Coverage
Part of a property insurance policy that covers the removal of debris resulting from an insured peril causing loss to an insured home.
Declarations
Part of an insurance policy that identifies the policyholder, property or vehicles being insured, coverage, deductible, limits of coverage, premiums and supplemental policy information.
Deductible
Amount of money that an insured pays out of pocket before reimbursements from the insurance company begin.
Endorsement
An attachment to an insurance policy that alters the policy’s coverage, terms, provisions or conditions.
Exclusions
A provision in an insurance policy that excludes or limits certain coverage for certain perils, persons, property, activities, events or locations.
Inland Marine Coverage
Insurance coverage for property that is mobile in nature and may be of high value, such as jewelry, sports equipment, fine arts, antiques, or coin or stamp collections.
Limits of Coverage
The maximum amount of insurance that can be paid for a covered loss, as stated in the policy.
Mortgagee Clause
A clause in your insurance policy that makes a claim jointly payable to an insured and the party that holds the mortgage on your property.
Nonassessable Policy
A type of mutual insurance company insurance policy under which an insured cannot be assessed for additional amounts to make up shortfalls in the cost of operating the company.
Peril
A specific risk or cause of loss covered by an insurance policy, for example fire, hail, windstorm, theft or collision.
Premium Tax
Tax paid to the state by the insurance company based on premiums paid by its customers.
Subrogation
Legal process where the insurance company, after paying for a loss, seeks to recover the amount of the loss from another party who is legally liable for it.
