Actual Cash Value (ACV)
The amount equal to the replacement cost minus depreciation at the time of loss.
Adjuster
A person who investigates and settles insurance claims on behalf of the company.
Binder
A temporary insurance contract providing coverage until a permanent policy is issued.
Claim
A formal request by a policyholder to an insurance company for coverage or compensation for a covered loss.
Deductible
The amount you pay out-of-pocket for expenses before your insurance company begins to pay.
Endorsement
An amendment or addition to an existing insurance contract which changes the terms of the original policy.
Liability Insurance
Insurance that provides protection from claims arising from injuries or damage to other people or property.
Premium
The amount of money that an individual or business must pay for an insurance policy.
Replacement Cost
The actual cost to replace an item or structure with one of similar kind and quality without deduction for depreciation.
Underwriting
The process through which an individual or institution takes on financial risk for a fee.