Property and Casualty Vocabulary Latest 2022 Rated A

Abandonment The abdication of insured property into the hands of another, or into the possession of no one in particular. Absolute Liability some things are inherently so dangerous that liability is absolute or statutory, as in keeping a tiger as a pet, or keeping explosives in the home Accident anything that happens by chance without an apparent cause Actual Cash Value (ACV) The required amount to pay damages or for property loss, which is calculated based on the property's current replacement value minus depreciation. Additional Coverage A provision in an insurance policy that allows for more coverage for specific loss expense without increase in premium. Additional Insureds Individuals or businesses that are not named as insured on the declaration page, but are protected by the policy, usually in regard to a specific interest.