Insurance 101: The Ultimate Glossary of Must-Know Terms
Insurance can feel like a maze of confusing jargon. But understanding the key terms is crucial for making informed decisions about protecting yourself, your loved ones, and your assets. Let's decode the insurance lingo together!
General Liability Insurance
Covers claims for bodily injury or property damage caused by your business operations.
General Property Form
A type of flood insurance policy covering property other than buildings.
Generic Drug
A medication that has the same active ingredients as a brand-name drug, but usually costs less.
Grace Period
The extra time you have to pay your premium after it's due before your policy is canceled.
Grade Elevation
The ground level next to a building.
Group Flood Insurance
Temporary flood insurance provided after a disaster declaration.
Guaranteed Issue
A type of insurance policy offered without requiring a medical exam or health questionnaire.
HFIAA Surcharge
An additional fee added to flood insurance premiums.
Health Insurance
Covers medical expenses like doctor visits, hospital stays, prescriptions, and sometimes preventive care.
Heating, Ventilation, and Air Conditioning (HVAC)
Systems for heating, cooling, and ventilation in a building.
Hereditary and Congenital Condition Coverage
Covers hereditary or congenital conditions that your pet may develop.
High Hazard Area
An area with high flood risk, often coastal areas.
High-Rise Building
A building with five or more floors and multiple units.
Higher Standard
Floodplain management regulations that exceed minimum NFIP requirements.
Highest Adjacent Grade (HAG)
The elevation of the ground surface immediately adjacent to the building.
Historic Building/Structure
A building or structure with historical significance.
Homeowners Insurance
Covers damage to your home and belongings due to fire, theft, natural disasters, and other perils.
Hydrodynamic Forces
Water pressure exerted on structures during a flood.
Hydrostatic Forces
Water pressure exerted on structures from standing or slowly moving water.
Illness Coverage
Covers veterinary expenses for illnesses and diseases.
Improvements and Betterments
Tenant-owned additions or alterations to a building.
In-Network Provider
A healthcare provider who has contracted with your insurance company to provide services at a discounted rate.
Increased Cost of Compliance
Additional expenses to meet floodplain management regulations after a flood.
Increased Cost of Compliance (ICC)
Covers the cost of flood mitigation measures, like elevating your house or flood proofing your basement, to reduce future flood risk.
Indemnification
The process of being compensated for a loss.
Don't Be Afraid to Ask!
If you come across an insurance term you don't understand, don't hesitate to ask your insurance agent or company. They are there to help you navigate the complexities of insurance. Remember, knowledge is power when it comes to protecting your financial well-being.
Pro Tip: Always read your insurance policy carefully and ask questions to ensure you have the right coverage for your specific needs and circumstances.
