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Reference guide

Insurance Glossary

Plain-language definitions of common insurance terms across policies, coverage, and claims. Check your policy or plan documents for the terms that apply to you.

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Showing 20 of 92 matching terms

Terms beginning with C

Contractors equipment floater

Business insurance
Inland marine coverage for a contractor’s mobile tools, machinery, and equipment, subject to its terms.

Contractual liability

Business insurance
Liability a business assumes in a contract, which may be covered only to the extent provided by the policy.

Contractual liability exclusion

General insurance
A provision limiting coverage for liability the insured assumed under a contract, subject to stated exceptions.

Conversion privilege

Life insurance
A provision that may allow eligible term life coverage to be converted to permanent coverage without new medical underwriting.
Also called: term conversion

Convertible term life insurance

Life insurance
Term life insurance that can be converted to an eligible permanent policy during a stated period without new evidence of insurability.
Also called: convertible term policy

Coordination of benefits

Health insurance
Rules that determine the payment order when a person is covered by more than one health plan.
Also called: COB

Copayment

Health insurance
A fixed amount a member may pay for a covered health care service under a plan’s rules.
Also called: copay

Cost-sharing reduction

Health insurance
A program that lowers deductibles, copayments, and coinsurance for eligible Marketplace enrollees who choose a qualifying plan.
Also called: CSR

Cost basis

Life insurance
The policyowner’s investment in a life policy or annuity, generally used in determining taxable distributions.

Cost sharing

Health insurance
The portion of covered health care costs paid by a member through deductibles, copayments, or coinsurance.
Also called: member cost sharing

Counteroffer

General insurance
An insurer offer to issue coverage on terms different from those requested in the application.

Coverage determination

Claims
An insurer’s decision about whether a reported loss is covered under the policy terms.

Coverage gap

Health insurance
A stage in Medicare prescription drug coverage in which cost-sharing rules may change after certain spending thresholds are reached.
Also called: Medicare donut hole

Coverage territory

General insurance
The geographic area where a policy says its coverage applies.

Credentialing

Health insurance
A health plan’s verification of a provider’s qualifications, licenses, training, and professional history.

Credit life insurance

Life insurance
Life insurance designed to help repay a covered borrower’s outstanding debt if the borrower dies.

Custom parts and equipment coverage

Auto insurance
Optional coverage for qualifying aftermarket equipment or modifications beyond the amount included in standard auto coverage.
Also called: CPE coverage

Cyber business interruption

Business insurance
Coverage that may address qualifying lost income and extra expense from a covered network interruption.

Cyber extortion coverage

Business insurance
Coverage that may help with qualifying costs from a cyber extortion threat, such as ransomware, subject to policy terms.
Also called: ransomware coverage

Cyber liability insurance

Business insurance
Coverage that may help a business respond to covered data breaches, cyberattacks, privacy claims, and recovery costs.
Also called: cyber insurance