When a policyholder gives up all rights to damaged property and claims a total loss from the insurance company.

An unexpected, unintended event that causes injury or damage. Must be sudden and not gradual.

The replacement cost of property minus depreciation. What your item is worth today, not what you paid for it.

A person or organization added to your policy who receives coverage under your policy.

Coverage for extra costs when you cannot live in your home due to a covered loss. Includes hotel, meals, and temporary housing.

An insurance company representative who investigates claims and determines how much the insurer should pay.

A licensed professional who sells insurance policies on behalf of one or more insurance companies.

A policy that covers all perils except those specifically excluded. Also called "open perils" or "special form."

A process to resolve disputes about the value of a loss when you and your insurer disagree.

The transfer of policy benefits or rights to another party.

Another term for the insured or policyholder - the person protected by the insurance policy.

A temporary insurance contract that provides coverage until the permanent policy is issued.

A single coverage amount that applies to multiple items or locations rather than specific limits for each.

Physical harm to a person, including sickness, disease, or death resulting from an accident.

An independent professional who represents the buyer (you) in finding insurance, not the insurance company.

Coverage for additional costs to bring your home up to current building codes during repairs.

Theft involving forced entry into a building. Different from robbery, which involves force against a person.

Coverage for lost income when a business cannot operate due to a covered loss.

The termination of an insurance policy before its expiration date by either the insurer or policyholder.

The insurance company that issues your policy and pays claims. Also called the insurer.

A large-scale disaster that causes significant losses, like hurricanes, earthquakes, or wildfires.

A formal request to your insurance company for payment under your policy for a covered loss.

A unique identifier assigned to your claim for tracking and reference purposes.

The person making a claim against an insurance policy.

A clause requiring you to insure your property for a certain percentage of its value (usually 80%) or face a penalty.

Auto insurance that pays for damage to your vehicle from hitting another object or vehicle.

Auto insurance that covers damage from non-collision events like theft, vandalism, or weather.

The rules and requirements in your policy that you must follow for coverage to apply.

Insurance for your personal belongings inside your home, separate from the building itself.

A licensed professional who performs repairs or reconstruction work on damaged property.

The protection provided by your insurance policy against specific risks or perils.

The maximum amount your insurance company will pay for a covered loss.

Coverage for the cost of removing debris from your property after a covered loss.

The first page of your policy showing your name, address, coverage amounts, deductibles, and premium.

The amount you pay out of pocket before insurance kicks in. Higher deductibles mean lower premiums.

When an insurance company refuses to pay a claim because it is not covered or policy conditions were not met.

The decrease in value of property over time due to age, wear, and obsolescence.

Damage caused directly by a covered peril, as opposed to indirect or consequential damage.

A sudden event causing widespread damage, often declared by government authorities.

Information you must provide to the insurance company about your property and risk factors.

Insurance that covers the physical structure of your home, including attached structures.

Separate coverage for earthquake damage, which is excluded from standard homeowners policies.

The date your insurance coverage begins.

An amendment to your policy that adds, removes, or modifies coverage. Also called a rider.

A detailed breakdown of repair costs prepared by a contractor or adjuster.

A formal, recorded interview where you answer questions about your claim under oath.

Insurance that pays after your primary policy limits are exhausted.

Specific situations, perils, or property that your policy does NOT cover.

The date your insurance policy ends and must be renewed.

Additional perils covered beyond the basic policy, such as windstorm, hail, and vandalism.

The price a willing buyer would pay a willing seller for property in its current condition.

Federal Emergency Management Agency - provides disaster relief and administers the National Flood Insurance Program.

The process of formally notifying your insurance company of a loss and requesting payment.

Destruction or harm to property caused by flames, smoke, or heat from a fire.

The initial report of a claim to your insurance company, starting the claims process.

Separate coverage for flood damage, typically purchased through the National Flood Insurance Program (NFIP).

Intentionally deceiving an insurance company to receive payment you are not entitled to.

The cost to replace damaged property with something that performs the same function, even if different.

Insurance that protects against claims of bodily injury or property damage to others.

A period after your premium due date during which you can pay without losing coverage.

Coverage that pays to rebuild your home even if costs exceed your policy limit.

Damage caused by hailstones, commonly affecting roofs, siding, and vehicles.

A condition that increases the likelihood or severity of a loss.

The most common homeowners insurance policy, covering the dwelling on an open-perils basis.

A portion of the claim payment withheld until repairs are completed, common with RCV policies.

A package policy that covers your home, personal property, liability, and additional living expenses.

A separate, often higher deductible that applies specifically to hurricane damage.

The principle that insurance should restore you to your pre-loss financial condition, no better or worse.

An adjuster who works for an independent firm, not directly for the insurance company.

An endorsement that automatically increases your coverage limits to keep pace with inflation.

An examination of your property by an insurance representative to assess risk or verify damage.

A financial stake in property that would cause you loss if it were damaged or destroyed.

A number based on your credit history that insurers use to predict the likelihood of claims.

The person or entity protected by an insurance policy. Also called the policyholder.

The insurance company that issues your policy and pays covered claims.

A detailed list of your personal property, including descriptions, values, and receipts.

When an insurance policy terminates due to non-payment of premiums.

Protection against claims for bodily injury or property damage you cause to others.

Replacement with materials of similar type, grade, and quality as the original.

The maximum amount an insurance policy will pay for a covered loss.

An individual entry in an insurance estimate, representing a specific repair or replacement.

Damage or destruction of property, or injury to a person, that may be covered by insurance.

Coverage for your share of assessments by a homeowners association for damage to common areas.

Coverage for additional living expenses when you cannot live in your home due to a covered loss.

A party with a financial interest in your property who receives claim payments, such as a mortgage lender.

The price your property would sell for on the open market in its current condition.

A dispute resolution process where a neutral third party helps you and the insurer reach agreement.

Steps taken to prevent further damage after a loss, which policyholders are required to do.

Damage caused by mold growth, often resulting from water damage. Coverage varies by policy.

A provision protecting your mortgage lender's interest in your property.

A premium reduction for having multiple policies with the same insurer.

The person or entity specifically named on the policy as the primary policyholder.

A policy that only covers losses from perils specifically listed in the policy.

Failure to exercise reasonable care, resulting in damage or injury to another.

When an insurance company decides not to renew your policy at the end of its term.

An accident or event that results in a claim, including continuous exposure to conditions.

Coverage that protects against all risks except those specifically excluded. Also called all-risk.

Coverage for additional costs to comply with building codes when repairing or rebuilding.

Insurance for detached structures on your property, like garages, sheds, and fences.

The contractor's markup for managing a project, typically 10% overhead and 10% profit.

A specific cause of loss, such as fire, wind, theft, or water damage.

Your belongings and possessions, as opposed to the building itself.

The written contract between you and your insurance company detailing coverage, limits, and conditions.

The time during which your insurance policy is in effect, typically one year.

The person who owns an insurance policy. Also called the insured.

The amount you pay for your insurance policy, typically monthly or annually.

A sworn statement documenting the details and value of your loss, required for many claims.

Physical harm to tangible property, including destruction or loss of use.

A proportional distribution, often used for premium refunds or shared coverage.

A licensed professional who represents policyholders in negotiating insurance claims.

An estimate of how much your insurance policy will cost based on your information.

The depreciation amount that can be recovered after repairs are completed under an RCV policy.

Restoring a lapsed or cancelled policy to active status.

Insurance purchased by insurance companies to protect against large losses.

Continuing your insurance policy for another term, usually with updated rates.

The cost to replace damaged property with new items of similar kind and quality, without deducting for depreciation.

A letter from your insurer stating they may deny coverage while still investigating your claim.

An endorsement that adds or modifies coverage on your policy.

The chance of loss or the property/person exposed to loss.

Harm to your roof from perils like wind, hail, falling objects, or age-related wear.

Damaged property that retains some value and can be sold by the insurer after a total loss payment.

A list of specific items covered under your policy with their individual values.

A detailed description of all repairs needed to restore damaged property.

The payment made by an insurance company to resolve a claim.

Insurance for damage caused by sinkholes, often required in certain geographic areas.

Damage caused by smoke from a fire, including discoloration, odor, and residue.

Maximum coverage amounts for specific categories of personal property, like jewelry or cash.

An adjuster who is a direct employee of the insurance company.

A document detailing the items damaged or destroyed and their values.

Property damage caused by severe weather events like hurricanes, tornadoes, or thunderstorms.

Damage to the load-bearing elements of a building, such as foundation, walls, or roof framing.

The insurer's right to pursue a third party who caused the loss to recover claim payments.

An additional claim payment for damage discovered after the initial estimate.

An additional premium charge, often due to claims history or risk factors.

Emergency repairs to prevent further damage, covered as part of your claim.

The unlawful taking of property, covered under most homeowners policies.

When property is completely destroyed or repair costs exceed its value.

Damage caused by fallen trees or branches, typically covered if caused by a covered peril.

Extra liability coverage that kicks in when your primary policy limits are exhausted.

Having insufficient coverage to fully replace or repair damaged property.

The person or system that evaluates risk and determines policy terms and pricing.

A property where residents have temporarily moved out but intend to return.

A property with no occupants and minimal personal property, which may affect coverage.

The method used to determine the value of damaged property for claim purposes.

Intentional damage to property by someone other than the owner.

A time period after purchasing coverage before certain perils are covered.

The voluntary giving up of a right or requirement.

Damage caused by water from various sources, with coverage depending on the cause.

Property damage caused by high winds, including damage from wind-driven rain.

Insurance protection against damage from high winds and wind-driven debris.

Industry-standard software used by adjusters to create repair estimates.