Glossary (D-E)
DAMAGES - Money, compensation or satisfaction for injury sustained to the body or to property.
DEBRIS REMOVAL CLAUSE- This clause is usually added to a Fire Insurance policy. This clause holds the company responsible to remove the debris left from the peril.
DECLARATIONS (DEC SHEET) - This is the portion of the contract that has the information, for example, the name, address, property insured, its location and description, the policy period, the amount of insurance coverage, the applicable premiums, and supplemental representations by the insured.
DECLINATION - This is when the insurer rejects an application for insurance.
DEDUCTIBLE - This is a portion, as set forth in the policy, of a first party physical damage loss that the insured must pay. For example, the insured pays the first $250 of any repairs to his automobile resulting from accident.
DEFENDANT - The party against whom relief or recovery is sought in an action.
DEMOLITION CLAUSE - If demolishing is necessary for the building, this clause states they will not pay for the demolishing costs.
DEPRECIATION - Decrease in the value of property over a period of time to wear and tear and obsolescence.
DIAGRAM - An adjuster prepared scaled drawing of the scene of an accident or any other claim situation, which helps to clarify the positions of the various components of an accident.
DUE PROCESS OF LAW - This is the regular course of administration of the law through the courts. It implies a judicial determination rather than the passage of a law by a legislative body.
ENDORSEMENT - A form that gives the language to use to change the terms of the policy to fit different circumstances.
ESTIMATE - This is an itemized statement of the probable cost to repair property, such as an automobile damage estimate or an estimate to repair damage to a burned building.
EXCESS LETTER - This is a form letter written by the insurance company or adjuster advising the insured of the amount that he or she is being sued for and informing him that this amount exceeds the amount of his insurance coverage.
EXCLUSIONS - These are causes, conditions or property listed in the policy which the policy does not cover.
EXPERIENCE- This is the loss record of an insured, a class of coverage, or of an insurance company.
EXPIRATION - The date the policy stops covering the insured.
EXPIRE - This is the Termination of a Term policy at the end of the term period.
EXPOSURE - (1) The state of being subject to the possibility of loss; (2) the extent of risk as measured by payroll, gate receipts, area, or otherwise; (3) the possibility of loss to a risk being caused by its surroundings; and (4) the surroundings producing the possibility of loss to a risk being caused by its surroundings.
EXTENDED COVERAGE ENDORSEMENT - This is usually attached to a Standard Fire policy and usually provides coverage for windstorm, hail, explosion, riot, riot attending a strike, aircraft, vehicular damage, and smoke.
EXTRA EXPENSE COVERAGE FORM - This form was made to cover the extra expenses the business needs to remain in operation after a property loss.
EXTRA EXPENSE INSURANCE - This insurance provides the extra funds a business needs after damage, but it does not assume any loss of income.