Generally, that property remaining or saved after a loss. Also that portion of property which is taken over by the insurer after payment of a claim for loss. The insured may retain possession of the salvage property, at which time the insurance company will deduct the salvage value from the amount of the claim paid.
A comprehensive listing of property, locations and amounts insured, and the applicable conditions. Also, a formula applied to determine an insurance rate.
(a) Amount of risk a self-insurer agrees to assume. (b) On Umbrella Liability Insurance Policy, that amount to be assumed by insured before policy will pay.
A semi-detached home is a unit where one of the walls is shared by one other person's residence.
Sewer Back-up Option
A regular property policy provides coverage any damages caused by a "sudden, accidental discharge of water in your home." This includes coverage for freezing pipes and the overflow of water from public water mains carrying drinking water (e.g. a bathtub overflow)
Short Rate Cancellation
When the insured terminates the policy prior to its expiry, the insurer is entitled to calculate the refund on a short rate basis, the amount of which is less than the proportionate part that remains unearned.
Standard Mortgage Clause
Clause designed to protect the interest of the mortgagee. Contains terms agreed to by mortgagee and insurer respecting the insurance policy, e.g., provides for payment to mortgagee in circumstances where insureds themselves would be denied coverage, outlines requirements where policy changes or termination requested, etc.
Standard of Care
In law of negligence, that degree of care which a reasonably prudent person should exercise under same of similar circumstances.
Statement of Values
Statement required to be filed by insured indicating value of all property insured. May be required to be verified by appraisal or other means acceptable to insurer.
Statute of Limitations
Prescribes the periods within which actions may be brought or within which certain rights may be enforced.
Legislated policy conditions outlining duties and responsibilities of insured and insurer under contracts of automobile insurance, accident and sickness insurance and fire insurance.
A merchant’s or tradesman’s good and wares kept for sale and traffic. In commercial property insurance policies may include all merchandise usual to the business of the insured, packing, wrapping and advertising materials are similar property belonging to others which the insured is under and obligation to insure or for which he is legally liable.
A person is presumed to be guilty of an offence without the requirement of the plaintiff to prove negligence. This is generally applicable when injury or damage is caused by dangerous activities, hazardous products, etc.
The lawful substitution of a third party in place of a party having a claim against another party. In insurance and surety contracts, the insurer has the right to “step into the shoes” of the party whom it has compensated and sue any party whom the compensated party could have sued.
One in which a group of insurers have agreed to participate.
A writ delivered to a person advising that an action has been commenced against him/her in a court of law and requested his/her appearance on the date specified to answer to the charge.