Business Insurance Terms
Commercial coverage lines and the documents that prove them: general liability, property, workers compensation, professional liability, umbrella, business owners policies and certificates of insurance.
11 definitions
Business Interruption Insurance
Business interruption insurance replaces lost income and keeps paying fixed costs while a covered loss shuts your business. See the trigger, the limits, and the traps.
Business Owners Policy (BOP)
A Business Owners Policy (BOP) bundles general liability and commercial property cover, usually with business interruption, into one policy for small businesses.
Certificate of Insurance (COI / ACORD 25)
A Certificate of Insurance (COI), usually an ACORD 25 form, summarises a policy's limits, dates and endorsements. It is evidence of coverage, not the policy itself.
Commercial Property Insurance
Commercial property insurance covers a business's own building, inventory and equipment against fire, storm and theft — damage to what you own, not what you cause.
Commercial Umbrella Liability Insurance
A commercial umbrella sits above your general liability, auto and employers' liability limits, paying the large judgment that would otherwise exceed them.
Cyber Insurance
Cyber insurance covers breach response costs and third-party liability from network attacks. See what first-party and third-party coverage actually pay for.
Employment Practices Liability Insurance (EPLI)
EPLI covers employee claims of wrongful termination, discrimination, harassment and retaliation — which general liability excludes — including defence costs.
General Liability Insurance (CGL)
Commercial general liability (CGL) covers third-party claims of bodily injury, property damage and advertising injury arising from your business operations.
Parametric Insurance
Parametric insurance pays a fixed amount when a measured index crosses a threshold, without adjusting a loss. See how it works, and what basis risk costs you.
Professional Liability / Errors & Omissions (E&O)
Professional liability, or errors and omissions (E&O), covers claims that your advice or work product cost a client money — being wrong, rather than causing injury.
Workers' Compensation Insurance
Workers' compensation pays medical bills and lost wages for employees injured on the job, in exchange for the employee giving up the right to sue the employer.