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Glossary
Plain-language definitions of insurance terms.
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Cash Surrender Value
The amount a permanent life policyholder receives if they cancel the policy, equal to the cash value minus any surrender charges and outstanding loans.
Life
Cash Value
The savings component of certain life-insurance policies (whole, universal) that grows over time and can sometimes be borrowed against.
Life
Certificate of Insurance (COI)
A one-page document that proves a business carries certain insurance, listing coverages, limits, and dates. Clients and landlords often request one before doing...
Business
Claim
A formal request to your insurer for payment under a policy after a covered loss.
COBRA
A federal law that lets many employees keep their employer health coverage for a limited time after leaving a job, usually by paying the full premium themselves...
Health
Coinsurance
The percentage of a covered cost you pay after meeting your deductible — common in health policies (e.g., "insurer pays 80%, you pay 20%").
Health
Collision Coverage
Auto coverage that pays for damage to your own vehicle from a collision with another vehicle or object.
Auto
Commercial Auto Insurance
Coverage for vehicles a business owns or uses for work. Personal auto policies usually exclude business use, so a separate policy is often needed.
Business
Comprehensive Coverage
Auto coverage for non-collision damage to your vehicle: theft, vandalism, hail, fire, hitting an animal, etc.
Auto
Contestability Period
A window, usually the first two years of a life policy, during which the insurer can investigate and deny a claim for material misstatements made on the applica...
Life
Coordination of Benefits
The rules that decide which plan pays first when you are covered by more than one policy, so the total paid does not exceed the actual cost of the loss.
Copay
A fixed dollar amount you pay for a covered service — common in health insurance ("$30 office visit").
Health
Cyber Liability Insurance
Coverage that helps a business respond to data breaches and cyberattacks, including notification costs, legal expenses, and sometimes ransom and recovery.
Business