At Greenland Global Insurance Services, LLC, we understand that you may not have a lot of experience using the language of the insurance industry. We’ve decided to provide this glossary as a resource, in the hope that you clearly understand your options and know exactly what you’re paying for.

The terms defined here mainly refer to types of coverage. We’ve also included an assortment of other terms that may be unfamiliar to you. We hope this helps.

▢ Types of Coverage

◾ Broad Form Liability Coverage
Protects the insured from expenses related to injuries or property damage caused by the insured. Some policies also cover accidental fuel spill liabilities and wreckage removal.

◾ Collision Coverage
Pays to repair damages in automobiles, motorcycles and other non-recreational vehicles. Limits can be determined based on the agreed value of your vehicle.

◾ Comprehensive Coverage
Pays to repair or replace a stolen, vandalized or damaged vehicle. Does NOT cover collisionrelated damages. Types of damage may include fire, cracked windshields, floods, falling objects, and wind.

◾ Custom Parts & Equipment Coverage
Policies that pay for customized parts and equipment for motorcycles and some other vehicles, often at no extra charge. Feel free to ask us for further details.

◾ Emergency & Roadside Assistance
Pays for the cost of towing or emergency service for automobiles and boats. For RVs, it also covers housing and transportation costs if the RV becomes uninhabitable and covers the loss of the insured’s personal property. Some policies also provide roadside assistance for motorcycles.

◾ Employer’s Liability
Part of a workers compensation policy that covers lawsuits filed by injured employees.

◾ Employment Practices Liability Coverage
Liability coverage for employers; covers wrongful termination, discrimination, or sexual harassment toward the insured’s employees or former employees.

◾ Errors and Omissions Coverage
A professional liability policy that covers the insured for negligent ‘acts and omissions’ that might harm their clients.

◾ Excess Liability
This terms is often used interchangeably with “umbrella” and refers to extended liability coverage. This coverage is meant to supplement your current coverage if the damages exceed normal liability coverage. Feel free to talk to us about what your excess liability covers.

◾ Extended Replacement Cost Coverage
Coverage that pays a certain amount (generally 120-125 percent) above the limit to replace a damaged home.

◾ Fidelity Coverage
A type of coverage often purchased by businesses to protect them against loss from employee dishonesty (such as theft of money, equipment, or other assets).

◾ Identity Theft Insurance
Coverage for expenses incurred as the result of an identity theft.

◾ Malpractice Insurance
Professional liability coverage for physicians, lawyers, and other specialists against suits alleging malpractice.

◾ Medical Coverage (Home)
Covers medical expenses for guests injured on the insured’s property, and in certain cases covers off-property injuries as well. It does not cover healthcare costs for the insured or members of their household.

◾ Medical Coverage (Auto, Boat & Personal Watercraft, Motorcycle, RV)
Provides for medical expenses resultant from vehicle-related injury.

◾ Liability & Personal Liability Coverage
For homeowners, this coverage applies if someone is injured or property is damaged and the insured to blame; it applies anywhere in the world. Factors to consider when choosing this type of coverage include salary and value of belongings. (Liability coverage should be high enough to protect belongings if the insured is sued.)

◾ Personal Property Coverage
Coverage that helps repair or replace furniture, clothes, sports equipment, and other items of personal value if they are lost, stolen or destroyed as a result of an insured event.

◾ Physical Damage Coverage for Watercraft
Pays to repair the damage done to the insured’s watercraft due to an accident. It also generally pays to repair or replace said watercraft for situations such as theft, fire, vandalism or other noncollision damages that occur in or out of the water.

◾ Property or Dwelling Coverage
Pays to repair or rebuild the insured’s home when damaged or destroyed by an insured event, in most cases.

◾ Scheduled Personal Property Coverage
Additional coverage for special possessions such as jewelry, art, antiques or collectibles.

◾ Special Form Liability Coverage
Provides what is referred to as ‘all risks coverage’: coverage for loss from any cause except those that are specifically excluded.

◾ Umbrella Insurance
Umbrella insurance is the coverage that may kick in when losses under other insurance policies, such as homeowner’s and auto coverage, have exceeded policy limits. Sometimes referred to as ‘excess liability.’

◾ Uninsured/Underinsured Motorist Coverage
Pays for damages associated with bodily injury or death resulting from an accident caused by an uninsured, underinsured or hit-and-run driver; includes injuries sustained as a pedestrian.

◾ Unattached Equipment Coverage
Pays to repair or replace equipment that isn’t permanently attached to an off-road vehicle. Workers Compensation. Pays for the medical care and rehabilitation of injured workers and helps to replace wages lost while unable to work.

◾ Wrap-Up Insurance
Covers liability exposures for a large group of businesses that have something in common

▢ Other Terms

◾ Additional Living Expenses
Refers to living expenses paid by an insurance company while the insured in unable to live in their home; paid while damage is assessed and the home is repaired or rebuilt.

◾ Businessowners Policy (BOP)
Combines property, liability, and business interruption coverages for smaller businesses.

◾ Commercial General Liability Insurance
Usually abbreviated as CGLI; a broad commercial policy (as in, covering a commercial entity rather than an individual or group of individuals) that covers all liability exposures of a business that are not specifically excluded.

◾ Commercial Multiple Peril Policy
A commercial insurance policy that offers at least two forms of coverage; the types of coverage offered usually include business crime, business automobile, boiler and machinery, marine and farm.

◾ Declaration
Part of a property or liability policy that states the name and address of the policyholder, the insured property and its location and description, the policy period, and premiums, and any supplemental information. Often referred to as a ‘dec page.’

◾ Deductible
The money paid ‘out-of-pocket’ by an insured person in the case of a loss, the amount of which is agreed to when the coverage is purchased. The deductible chosen often affects how much is paid for the premium. (A higher deductible usually means a lower premium.) In the case of a covered loss, insured must only pay the deductible, while the company covers the excess.

◾ Endorsement
A form attached to an insurance policy that alters the policy’s coverage, terms or conditions. Also known as a ‘rider.’

◾ Exclusion
A provision in a policy that eliminates coverage under certain circumstances.

◾ Indemnity
To provide indemnity means to financially restore someone after a loss, through payment, repair or replacement.

◾ Insurance Score
A Credit Based Insurance Score (CBIS) is derived from information attained from the insured’s credit report. The number measures the likelihood of having an insurance claim – it is not a measure of credit worthiness. Insurers use CBIS along with a number of other factors, including driving records, claims history, and the type of home or vehicle owned, to evaluate new and renewal auto and homeowner insurance policies.

◾ Loss of Use
A provision in homeowners’ or renters’ policies that reimburses the insured for any extra living expenses due to having to live elsewhere during the restoration of the home following a disaster.

◾ Non-Admitted Insurer
Insurers licensed in some states, but not others; referred to as ‘non-admitted’ in states where they are not licensed. Usually sell coverage not available through insurers licensed in the state.

◾ Package Policy
A single policy that combines several coverages previously sold separately.

◾ Personal Watercraft (PWC)
A personal watercraft is a recreational watercraft that the rider sits or stands on, rather than inside of. Models have an inboard engine driving a pump jet that has a screw-shaped impeller to create thrust for propulsion and steering.

◾ Premium
The payment made in exchange for one term of policy coverage.

◾ Replacement Cost
Insurance that pays the amount needed to replace damaged personal property without deducting for depreciation.

◾ Underwriter/Underwriting
The process of assessing risks when deciding whether to issue a policy of insurance.