The Intelligent Agent
The Intelligent Agent

Glossary

P&C insurance terms, in plain English.

Quick definitions of the terms used across The Intelligent Agent and the property and casualty insurance industry. Bookmark it. Share it with new CSRs.

ACORD
Association for Cooperative Operations Research and Development. Publishes the standardized insurance forms used across the industry - e.g., ACORD 25 (Certificate of Liability), ACORD 27 (Evidence of Property), ACORD 28 (Evidence of Commercial Property).
Additional Insured (AI)
A party other than the named insured granted some coverage under a policy via endorsement. Common forms: CG 20 10 (ongoing operations), CG 20 37 (completed operations), CG 20 33 (blanket by contract).
AMS
Agency Management System - the system of record for an agency's policies, customers, activities, and accounting. Examples: HawkSoft, AMS360, Applied Epic, NowCerts, EZLynx.
Binder
A temporary contract of insurance providing coverage pending issuance of the formal policy.
Carrier
The insurance company that underwrites and issues a policy and pays claims under it.
CGL
Commercial General Liability. The standard ISO form is CG 00 01, covering bodily injury, property damage, personal and advertising injury for businesses.
Cluster / Network
A group of independent agencies that share carrier contracts, technology, and back-office services to gain scale while staying independent.
Coinsurance
A property insurance provision requiring the insured to carry coverage equal to a stated percentage of the property's value (often 80%, 90%, or 100%) or share in any loss.
COI
Certificate of Insurance - typically an ACORD 25, 27, or 28 - proving that coverage is in place to a third party who requires it.
CSR
Customer Service Representative inside an agency. Handles servicing, endorsements, certificates, and client questions.
Declarations Page (Dec)
The summary front page of a policy listing the named insured, policy period, limits, premium, forms, and endorsements.
Endorsement
An amendment to a policy that adds, removes, or modifies coverage. Identified by an ISO form number such as CG 21 06 or HO 04 90.
E&O
Errors and Omissions insurance - professional liability covering agents and brokers for negligent acts in the placement and servicing of insurance.
Excess / Umbrella
Liability coverage sitting above the limits of underlying primary policies. Umbrella may also drop down to cover gaps in the underlying form.
Exposure
Anything that creates potential for loss - a building, vehicle, employee, or business activity.
HO-3 / HO-5 / HO-4 / HO-6
Standard ISO homeowners policy forms. HO-3 is the most common (open perils on dwelling, named perils on contents). HO-5 is open perils on both. HO-4 is renters. HO-6 is condo unit-owners.
ISO
Insurance Services Office - the organization that develops the standard policy forms and rating used by most U.S. property and casualty carriers.
Loss Run
A claims history report from a carrier showing past losses for an insured. Used by underwriters to evaluate new submissions.
MGA
Managing General Agent - a wholesaler with binding authority on behalf of one or more carriers, often in specialty or surplus lines.
Named Insured
The person or entity specifically identified on the policy declarations as the insured party.
Occurrence vs Claims-Made
Two liability coverage triggers. Occurrence responds to events that happen during the policy period regardless of when claimed. Claims-made responds to claims first made during the policy period (subject to retro date).
PIP
Personal Injury Protection - no-fault auto coverage for medical expenses and lost wages, mandatory in some states.
Policy Period
The dates during which a policy is in force, shown on the declarations page.
Producer
A licensed insurance agent or broker who sells and services policies.
Quote
A carrier's offer of coverage at a specific price, subject to acceptance and binding by the insured.
Retention / Deductible
The amount the insured must pay before the policy responds to a covered loss.
RLS
Row-Level Security - a PostgreSQL feature that enforces per-tenant data isolation at the database layer. Used by The Intelligent Agent to prevent any cross-agency data access.
Submission
The package of information (application, loss runs, supplements) sent to a carrier underwriter to obtain a quote.
Surplus Lines / E&S
Excess and Surplus lines coverage placed with non-admitted carriers for risks that admitted markets decline.
Subrogation
The insurer's right, after paying a claim, to pursue recovery from a third party that caused the loss.
UM/UIM
Uninsured / Underinsured Motorist coverage on auto policies, responding when the at-fault driver has no or insufficient insurance.
Underwriter
The carrier employee who evaluates risks and decides whether and at what terms to offer coverage.
Wholesaler
A broker who places business with surplus lines carriers on behalf of retail agents who lack direct access.

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