Common Insurance Terminology and Definitions

Terms & Definition  

Certificate of Insurance (COI) A document issued by an insurance provider that verifies a vendor’s insurance coverage. 

Additional Insured A party (e.g., property management company) added to a policy, granting them coverage under the same terms as the vendor. 

Waiver of Subrogation A clause that prevents the insurer from seeking reimbursement from the additional insured for claims paid. 

Policy Limits The maximum amount the insurance provider will pay for claims under a specific coverage type. 

General Liability Insurance Coverage that protects against claims of bodily injury, property damage, and personal injury. 

Workers’ Compensation Insurance Coverage for employee injuries sustained while working. 

Auto Liability Insurance Coverage for accidents involving business vehicles during work activities. 

Endorsement A legal addition or modification to an insurance policy that specifies additional terms (e.g., waiver of subrogation, additional insured). 

Named Insured The individual or business explicitly named in the insurance policy. 

Effective Date The start date of the insurance coverage period. 

Expiration Date The end date of the insurance coverage period.