An event that happens by chance and is not expected in the normal course of events, which results in harm to people, damage to property or equipment, or a loss of process or productivity (Insurance Bureau of Canada).
A person other than the named insured who is protected by the terms of the policy. Most automobile policies, for example, insure a specific individual as an insured, but also insure anyone driving with that insured’s consent. The additional insured may be “named” or “unnamed.”
An item of coverage in an Automobile Physical Damage policy insuring against loss or damage resulting from numerous miscellaneous causes such as fire, theft, windstorm, flood, vandalism, etc., collision or upset.
Insurance coverage that provides indemnity and/or compensation for injury or physical damage which ensues from the ownership, use or operation of an automobile.
Boiler and Machinery or Equipment Breakdown Insurance
This coverage protects an organization against any losses that result from a breakdown of heating, refrigeration, air conditioning equipment, pressure vessels, boilers, production machinery, electrical apparatus and/or electronic equipment.
Builders Risk or Course of Construction Insurance
Insurance coverage on property under construction, including loss to temporary buildings, materials and supplies necessary to complete the construction project.
Certificate of Insurance Insurance
An itemized document stating that insurance is in effect. This includes a general statement of the policy’s coverage.
The exercising of a policyholder’s right under a policy to be paid by his or her insurance company for certain financial losses suffered. A claim can be any notification of a possible loss under an insurance policy, whether or not any payment follows. For every claim that is reported, the insurance company must set aside money (“reserves”) sufficient to cover its anticipated cost (Insurance Institute of Canada).
An agreed specified sum to be deducted from the amount of loss and assumed by the insured.
Directors & Officers Liability Insurance
Insurance that provides coverage for members of boards of directors against “wrongful acts,” which might include actual or alleged errors, omissions, misleading statements, and neglect or breach of duty on the part of the board of directors resulting in a financial loss to a third party.
An amendment added to a written document, particularly an agreement between parties, altering its provisions.
Errors & Omissions or Professional Liability Insurance
Insurance covering the legal liability of professionals not usually involved with the care of the human body such as architects, engineers and accountants.
General Liability Insurance
Covers against third party claims for bodily injury and property damage for which the insured is legally liable.
Hold Harmless Agreement
A contract or agreement in which one party assumes legal responsibility for the acts of another.
To compensate the insured for a loss, in whole or in part, by payment, repair, or replacement.
The maximum amount the Insurer is obligated to pay in any one occurrence or accident.
The process of making and carrying out decisions that will minimize potential losses.
A legal form or document that releases someone or some organization from liability.