Any type of coverage that cannot be placed with an insurer admitted to do business in a certain jurisdiction. Risks placed in E&S lines markets are often substandard as respects adverse loss experience, unusual, or unable to be placed in conventional markets due to a shortage of capacity. Captives sometimes qualify as E&S companies. Hefty local premium taxes are payable by the broker.

(1) Insurance to cover losses above a certain amount, with losses below that amount usually covered by a regular policy. (2) Insurance to cover an unusual or one-time risk, e.g., damage to a musician’s hands or the multiple perils of a convention, for which coverage is unavailable in the normal market. (See also “Umbrella liability” and “surplus lines.”)

A policy issued to provide limits in excess of an underlying liability policy. The underlying liability policy can be, and often is, an umbrella liability policy. An excess liability policy is no broader than the underlying liability policy; its sole purpose is to provide additional limits of insurance.
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A policy issued to provide limits in excess of an underlying liability policy. The underlying liability policy can be, and often is, an umbrella liability policy. An excess liability policy is no broader than the underlying liability policy its sole purpose is to provide additional limits of insurance.

A broker licensed to place insurance not available in the domestic state, through insurers licensed in states other than where the broker operates.

Specific conditions or circumstances listed in the policy for which the policy will not provide benefit payments.
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Specific situations, conditions or circumstances that are listed in the contract as being not covered.

Doctrine in workers compensation insurance which states that workers compensation benefits should be the exclusive or sole source of recovery for workers who have a job related accident or disease; doctrine has been eroded by legal decisions.

Used in workers compensation rating to reflect the degree to which a particular employer has experience that is better or worse that expected for that industry. Weighted by employer’s credibility factor.

Unit of measurement used in insurance pricing.
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The number of exposure units used to determine the premium or pure premium for a policy or group of policies. Also, a unit such as a payroll, receipts, area, gate receipts, automobiles, etc. used to measure exposure.

An endorsement to a standard fire policy adding coverage for the following perils
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An endorsement to a standard fire policy adding coverage for the following perils windstorm, hail, explosion (except of steam boilers), riot, civil commotion, aircraft, vehicles, and smoke. The EC perils are now included in most property policies without the need for a separate endorsement.

Endorsement that can be added to an automobile liability insurance policy that covers the insured while driving any non owned automobile on a regular basis.