A quick reference for the terms that show up across almost every kind of policy, regardless of whether it is home, auto, or business insurance. Looking for terms specific to one line of coverage? See our full Insurance Terms index for Homeowners, Auto, General Liability, Certificates, and Workers Compensation.
Additional Insured
A person or business added to someone else’s policy so they get some of the same protection. This comes up a lot in contracts, like when a property owner requires a contractor to add them to the contractor’s policy. It also comes up constantly in commercial contracts; see our General Liability Terms glossary for more.
Adjuster
The person who investigates a claim and determines what your insurance company will pay.
Binder
A temporary document proving coverage is in place while the actual policy is being issued.
Cancellation / Non-Renewal
Cancellation ends a policy before its term is up. Non-renewal means the company chooses not to continue the policy at the end of its term. They’re handled differently under New York law.
Certificate of Insurance (COI)
A document that proves you have insurance in place, often requested by a landlord, client, or general contractor. See our Certificate Terms glossary for more on how these work.
Claim
A formal request to your insurance company to pay for a loss you’ve had.
Declarations Page (Dec Page)
The summary page at the front of your policy showing who’s covered, what’s covered, your limits, and your premium. It’s the fastest way to see what you actually have.
Deductible
The amount you pay out of pocket before your insurance starts paying on a claim. A $1,000 deductible means you pay the first $1,000 and your insurance covers the rest, up to your policy limit.
Effective Date
The date your coverage officially begins.
Endorsement
A change or addition to your policy that adjusts what’s covered. Think of it as an amendment attached to your original policy.
Exclusion
Something your policy specifically does not cover. Every policy has a list of these, and they’re worth reading.
Loss Run
A report showing a policyholder’s claims history, often requested when moving to a new insurance company.
Named Insured
The person or business listed on the policy as the one being insured.
Policy Limit
The most your insurance company will pay for a covered loss. Once a claim hits that number, you’re responsible for the rest.
Premium
The amount you pay for your policy, whether that’s monthly, twice a year, or annually.
Renewal
When your policy term ends and continues for another term, usually with updated pricing.
Subrogation
The process where your insurance company seeks reimbursement from the party responsible for your loss, after paying your claim.
Umbrella Policy
Extra liability coverage that sits on top of your home and auto policies, kicking in once those limits are used up.