Insurance glossary

What property was worth right before a loss, usually replacement cost minus depreciation.

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The at-fault driver is generally responsible for others' covered losses. Ohio is an at-fault state.

Ohio note: Ohio is at-fault (tort).

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A party added by endorsement to share certain liability protection.

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Pre-agreed payout amount for a total loss of scheduled property.

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Insurer licensed by the state insurance department.

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Specialty coverage; ATVs are often limited on personal auto.

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Person who investigates and resolves claims.

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Post-term review of payroll/sales to true-up commercial premium.

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Process to dispute the amount of a property loss.

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Hazards that may draw children (pools); liability concern.

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ACV subtracts depreciation; replacement cost generally does not after you replace.

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Contract for income, often in retirement—not P&C insurance.

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Independent opinions of insurer financial strength.

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Specialty liability for certain venues; often limited on standard GL.

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Pays others for covered injuries when you are at fault in an auto crash, up to limits.

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Temporary proof of insurance until the formal policy is issued.

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Package of property + general liability for many small businesses.

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Property coverage while a building is under construction.

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Can replace income during a shutdown after a covered property loss.

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Coverage for boats; larger craft usually need separate policies.

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Who receives life insurance proceeds.

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When repairs leave property better than before; policies may limit paying for it.

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One limit covering multiple locations/items.

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Limits personal auto when used for certain deliveries/business.

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Optional coverage for non-collision losses: theft, vandalism, fire, hail, animals.

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Optional coverage for crash damage to your vehicle, subject to a deductible.

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A snapshot of coverage on a date; not the policy itself. Existing SHI clients can request a certificate in the SHI Client Center (Get Certificates). For special wording, call the agency.

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Claims-history report used in personal lines underwriting.

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Insurance for vehicles used in a business.

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Covers certain breach response, ransomware costs, and cyber liability.

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Covers business buildings and/or business personal property.

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Generally represents one insurer brand.

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Score some insurers use (where allowed) blending credit attributes with loss prediction—not a lending score.

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Can reduce a claim if you underinsured the building relative to required percentage.

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Ending a policy before expiration.

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Liability from finished work—key for contractors.

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Covers certain theft/fraud including employee theft.

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Party listed on a COI; not automatically an additional insured.

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HO-6 coordinating with association master policy.

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Savings component of permanent life.

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Backup beneficiary if the primary has died.

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What you pay toward a covered loss before insurance pays. Higher deductibles usually mean lower premiums.

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Policy summary: who/what is covered, limits, deductibles, endorsements, and term. For a copy, call Stockton-Hill Insurance or send a request through the SHI Client Center; an agent can help if the document is not available for self-download.

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Loss of value from age and wear; subtracted in ACV settlements.

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Basic dwelling fire form, often named-peril and limited.

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Broader dwelling form often used for rental properties.

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Physical damage from a covered peril.

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Limit that insures the house structure.

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Insurer's duty to defend covered liability suits.

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Insurer's duty to pay covered judgments/settlements up to limits.

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Covers certain management wrongful-act claims.

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Post-repair loss in market value; not automatically paid everywhere.

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A form that adds, removes, or changes policy coverage. To request a change, use Request for Change in the SHI Client Center or call the agency.

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A provision saying something is not covered.

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Separate coverage; standard homeowners usually excludes earthquake.

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Employment Practices Liability for certain employee claims (discrimination, wrongful termination allegations).

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Pays extra costs to keep operating after a covered loss.

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Covers certain mechanical/electrical equipment breakdowns.

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Workers' comp rating factor from claim history. Ohio BWC uses its own system.

Ohio note: BWC rates most Ohio state-fund employers.

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Can pay a percentage above dwelling limit if rebuild costs spike.

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Formal claim questioning the insurer may require.

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Covers certain financial losses if an event is canceled for covered reasons.

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A bond posted to meet financial responsibility rules; different from an SR-22 filing.

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Separate flood coverage; standard homeowners usually excludes flood.

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Rebuilds with modern materials that serve the same function.

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Coverage for farm dwellings, outbuildings, liability, and related exposures.

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Claim under your own policy.

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Covers alleged mistakes managing employee benefit plans.

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Mapped flood risk area affecting NFIP pricing/requirements.

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State law requiring proof you can pay for damage you cause—usually via liability insurance.

Ohio note: Ohio requires FR (ORC 4507.212, 4509.101).

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Plumbing leaks may be covered by HO; flood usually needs a flood policy.

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Can help pay the difference between ACV and what you owe on a loan/lease after a total loss.

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Business liability for covered bodily injury, property damage, and some advertising injury.

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Covers customer vehicles in a shop/lot's care.

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Rare endorsement that can pay full rebuild above limit, with conditions.

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Common homeowners form; dwelling often open perils, contents often named perils.

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Broader homeowners form; dwelling and contents often open perils except exclusions.

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Condo unit-owners policy coordinating with the association master policy.

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Renters policy for personal property and liability; does not insure the building.

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Liability for rented vehicles or employees' cars used in business.

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A condition that increases chance of loss.

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Contract clause shifting certain liability; insurance endorsements may be needed.

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Package for dwelling, belongings, liability, and loss of use (flood/quake usually separate).

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Tighter underwriting and generally higher prices.

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Covers movable equipment, tools, or goods in transit.

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Can offer policies from multiple companies. SHI is independent.

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Follow-on financial loss (like lost rents) needing separate coverage.

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Card showing auto liability for proof-of-insurance stops. Existing SHI clients can get an ID card in the SHI Client Center.

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Adjudicates many disputed Ohio workers' comp issues.

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Legal stake required when insurance is issued.

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Automatically raises dwelling limits by a percentage.

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Covers materials being installed at a job site.

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Commercial stock/merchandise coverage.

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Limited expense help sometimes endorsed on homeowners.

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$25,000 bodily injury per person / $50,000 per accident / $25,000 property damage. Ohio's minimum auto liability.

Ohio note: Ohio minimum auto liability is 25/50/25.

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Insurer report of prior claims; commercial underwriters often want 3–5 years.

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Helps pay extra living costs if a covered loss makes the home unlivable.

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Condo coverage for certain association assessments after a covered loss.

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Coverage for a rental dwelling you own but do not occupy.

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A gap in coverage after cancel/expire without renewal.

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Pays others for covered injury/damage you are legally responsible for.

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Pays a death benefit to beneficiaries when the insured dies while covered.

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For alcohol service exposures often excluded on standard GL.

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Optional coverage for covered medical bills for you and passengers after a crash, usually without deciding fault first.

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State where private insurers generally cannot write workers' comp. Ohio is one.

Ohio note: Ohio BWC is the exclusive state fund for most employers.

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Sale price of property; insurance usually uses rebuild cost, not market value.

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Liability and optional physical damage for motorcycles.

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Important false application statement that can void coverage under law.

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Loss without known cause; often excluded on HO, sometimes covered when scheduled.

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Covers goods a trucker hauls for others.

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Private policies helping with Original Medicare costs.

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Private Medicare Part C plans; different from Medigap.

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Liability coverage for someone who does not own a car but needs insurance (borrowed cars or SR-22).

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Requires PIP and limits lawsuits. Ohio is not a no-fault state.

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Person/entity listed on the declarations as the policy owner.

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Insurer declines to offer another term at expiration.

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Deductible applying when a storm is named.

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Owner-operator liability when not under dispatch (bobtail).

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Investigation does not waive insurer coverage defenses.

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Helps with extra costs to meet current building codes after a covered loss.

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Occurrence covers incidents during the period; claims-made covers claims first made during the period.

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Detached structures like sheds or fences.

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State agency providing WC insurance for most Ohio employers.

Ohio note: Exclusive state fund for most employers.

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The price of an insurance policy, billed monthly, quarterly, or annually. Existing clients can pay a premium bill in the SHI Client Center with Make Payments, or through the carrier portal.

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Pays for covered damage you cause to others' property when at fault.

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First-party benefits used in some no-fault states. Ohio does not require PIP.

Ohio note: Ohio is at-fault; PIP not required.

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Covers certain mistakes in professional services; different from GL.

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A cause of loss (fire, theft, wind).

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Your belongings; subject to limits and sub-limits.

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ID card or other FR evidence. Ohio drivers must show proof when required. Existing SHI clients can download an ID card from the SHI Client Center.

Ohio note: Required at stops, crashes, inspections, BMV requests.

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Adjuster you hire to represent you on a property claim.

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Injury/damage from products you make or sell.

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Injury claims at locations you own or occupy.

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Your policy pays first without seeking contribution from another party's insurance.

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Scheduled coverage for high-value items.

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Covers damage to property you own or are responsible for.

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Dominant covered cause in a loss chain.

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Limits coverage when you rent out your car or home on sharing platforms.

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Sworn claim statement sometimes required before payment.

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Vet bill coverage; separate from home/auto.

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How insurers value loss to part of a pair/set.

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Pays to repair or replace with like kind and quality without subtracting depreciation, subject to limits.

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Common word for an endorsement, especially in life insurance.

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Specialty coverage for motorhomes or travel trailers.

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Putting a canceled/lapsed policy back in force; may leave a gap.

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Money insurer sets aside for expected claim payments.

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Tool estimating rebuild cost to set dwelling limits.

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HO-4: belongings and liability for tenants.

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Helps pay for a rental while your car is repaired from a covered claim.

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Towing/flat/lockout help; optional.

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Covers app-based driving periods personal auto may not fully cover.

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Insurer investigates/defends but may deny coverage later.

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A certificate filed with the state proving you carry required liability insurance—not a policy type.

Ohio note: Ohio may require SR-22 after certain offenses.

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Insurer pays your claim then seeks repayment from the at-fault party.

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A listed maximum that may still pay the lesser of stated value or ACV.

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Items listed with their own limits (jewelry, arts, instruments).

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Three-party guarantee of performance; principal may repay the surety.

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Non-admitted market for hard-to-place risks.

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Specialty coverage for Airbnb/VRBO-style hosting.

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Industry pricing cycle terms.

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Amount a business pays before umbrella/excess responds.

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Employer approved to pay its own WC claims instead of state fund.

Ohio note: Requires BWC approval.

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Damaged property insurer takes after a total loss.

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Smaller inner limit for specific items (cash, jewelry, water backup).

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Short-term liability for weddings/festivals.

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Competitive market with generally lower prices.

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Separate limit per listed location/item.

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Combining UM/UIM limits across vehicles where allowed.

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Death benefit if death occurs during a set term; usually no cash value.

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Optional driving-data programs that can affect auto pricing.

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Lets you report later claims after a claims-made policy ends.

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Claim someone makes against your liability coverage.

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When repair cost exceeds insured value under the valuation method.

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Trip cancellation/medical/baggage coverage.

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Covers contractors' tools off-site and in transit.

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Can help with covered injuries when an at-fault driver has no liability insurance.

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Can help when the at-fault driver has insurance that is too low for your covered injuries.

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Extra liability above auto/home limits to help protect assets.

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Flexible permanent life with cash value.

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Insurer process of evaluating risk and setting terms/price.

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When umbrella covers something underlying policies exclude—only if the form allows.

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Uninsured motorist property damage—availability varies by state/carrier.

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Vehicle Identification Number used for rating and claims.

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Limits coverage after a building is vacant for a stated period.

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Insurer agrees not to recover paid claims from a named third party.

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Endorsement for sewer/drain backup or sump overflow—often excluded on base policies.

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Pays medical costs and wage benefits for work injuries. In Ohio, most employers use BWC.

Ohio note: Ohio is monopolistic; most WC is through BWC.

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Permanent life with death benefit and cash value.

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Special deductible for wind/hail losses.

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