Glossary of terms for your renewal

This page is designed to help you with your renewal declaration. We’ve grouped the information into simple categories with examples to make it easy to understand. Our aim is to help you feel informed and confident while completing your renewal declaration.

General

Term	Definition
Line of business (LOB)	The type of insurance being discussed, e.g. property insurance or motor.
Services	Day‑to‑day activities carried out, for example collecting rubbish, running schools, or fixing roads.
Claims experience	A summary of your past claims history from previous insurer(s).
Claims listings	A detailed list of all your claims, including claim number, the type of cover triggered, details of any accident, the date of the loss, when the claim was opened and closed, the amount that was either paid or is outstanding.
Insurer (previous insurer)	Your current or previous insurance provider.
Inhouse claims handling	Any company other than the insurers that manages claims.
Exposure (outside UK and NI)	Activities or things that might lead to losses in those places, e.g. organising a school trip to France or owning property in Spain, including any expenditure made when abroad.
Budget or turnover estimate	The money you plan to spend or make, for instance ’we expect to spend £1 million and earn £2 million next year’.

Casualty

Term	Definition
Employers’ liability	Insurance that covers you if an employee becomes injured as a result of your negligence.
Wage roll	The total wages paid to all employees. This should be calculated consistently, either including or excluding National Insurance and pensions.
Voluntary aided/Foundation/Trust schools	Types of state schools with different funding or management structures.
Subsidiary companies	Companies owned by you where you hold more than 50% of the voting rights.
Subsidiary companies	Companies owned by a parent company.
Creation/acquisition date	The date a company was established or purchased.
Disposal date(s)	The date a company or asset was sold or shut down.

Official indemnity and professional negligence

Term	Definition
Official indemnity	Insurance for public bodies if errors in official duties lead to claims.
Professional negligence	Insurance covering losses caused by a professional mistake.
Fee income	Income generated from charging fees for professional services.
Incident that could give rise to a claim	An incident known to you that may result in a future claim.
Run-off	The date from which you require protection for claims arising from past actions, e.g. an old policy remains to handle past losses.
New business (NB)	New customers or newly issued policies.

Governors/Directors, Trustees and Officers Liability (DTOL)

Term	Definition
Governors/DTOL	Cover protecting people involved in managing or governing an organisation if they’re accused of wrongdoing in their role.
Incident that could give rise to a claim	An incident known to you that may result in a future claim.
New Business (NB)	New customers or newly issued policies.

Crime

Term	Definition
Fidelity guarantee	Cover for financial losses caused by fraud or dishonesty.
Financial business procedures	Steps a company uses to handle money safely.
Retroactive cover	The date from which your insurance protects you for claims about past actions - so long as you didn’t know about those issues when you bought your policy.
New business (NB)	New customers or newly issued policies.

Material damage

Term	Definition
Material damage	Insurance that covers physical loss or damage to property.
Guide scale uplift	A percentage increase used to keep values up to date, for example inflation.
Declared value	The cost, at the start of the policy, to rebuild your property back to the same condition after damage.
Sum insured (SI)	The maximum amount the insurer will pay, allowing for inflation and cost increases, during the policy.
Schedules and ratings	Lists of items covered and the factors used to price the insurance.
Excess	The part of a claim that you must pay yourself.
Loss	Events where money or property was lost or damaged.
Insured peril	The cause of the damage covered by the policy, for example by a fire or a flood.
Underwriters	People who assess the level of insurance cover that can be provided and the associated cost and terms of it.
Territorial limits	The geographical area where the insurance cover applies.
Construction information	Details about how a building is constructed, such as the materials used, or its design.
Listed building	A building protected due to its special historical or architectural importance.
Vacant	A property that’s empty or not in use.
High‑rise	A building with more than 6 stories or over 18 metres in height.
Non‑standard construction	Buildings made from materials or methods that are different from typical brick/concrete walls and slate/tile roofs.
Combustible	A building construction made with materials capable of igniting and burning when exposed to fire or high temperatures.
Civil Engineering Completed Risks (CECR)	Cover for completed civil engineering structures such as bridges, tunnels, dams.
Specialist items	Unusual or high‑value equipment needing special listing.

Business interruption

Term	Definition
Business interruption	Cover for financial loss when a business can’t run because of an insured event.
Indemnity period	The number of months which the policy provides cover for.
Sum insured	The maximum amount that the insurer will pay for business interruption.
Revenue/rental income	The expected earnings that the insured would expect over the indemnity period.
UK Research and Innovation grants	Funding received from Higher Education bodies in England, Wales or Scotland.
Major research contracts	Significant research arrangements with special details.
Key personnel	People whose expertise is crucial to the project or organisation.
Commercial links	Business partnerships or relationships with companies.
Specialist equipment	Unique or advanced tools or machines that may take longer, or cost more, to replace.
Microbiological activities	Work involving microorganisms.
Hazardous activities	Work that is dangerous or risky.
Disaster recovery plan	A plan for continuing operations or recovering after major disruption.
Dry run	A test of the recovery plan without a real event.
Methodology	The process used to develop the plan.

Money

Term	Definition
Revised limit	The new annual limit the insurer will pay for money losses.
Insurance cover no longer required	Notifying the insurer that this cover is no longer needed.
New items that require insurance	Items to add so they are protected.

All risks

Term	Definition
All risks	Broader cover for specifically named items.

Works in progress

Term	Definition
WIP (Works in Progress)	Cover for new buildings in the course of erection, alterations and additions to existing buildings, and materials used.
Contract information	Key details about the work agreement, e.g. value, dates, scope of works, etc.
Level of cover	Ensuring the insurance fits the size and risks of the project.

Engineering

Term	Definition
Deterioration of stock	Insurance for spoilage of stock (often chilled/frozen goods) due to equipment failure.
Sum insured	The maximum amount the policy will pay for deteriorated stock.

Contractors Plant

Term	Definition
Plant	Heavy machinery and equipment used for building work.
Hired‑in plant	Equipment rented rather than owned.
Hired‑in plant hiring fees	The expected annual rental costs for hired-in plant.

Personal Accident and Travel or School Journey

Term	Definition
Business travel	Work-related travel covered by travel insurance.
Travel pattern changed by ±10%	A significant increase or decrease in travel volume.
Pupil numbers	Expected number of students taking part in school trips.
Standalone	A cover or policy that operates separately from the main policy.

Motor

Term	Definition
Airside	The area of an airport terminal beyond passport and customs control, where special rules apply.
Personnel	Employees or staff members.
Frequency (per annum)	Number of visits made each year.
Zurich Motor Insurance Database (ZMID)	A system holding vehicle and cover details; records must be accurate.
Vehicle locations/garaging	Information that is correct and regularly updated.
Maintenance address	Where vehicles are kept, stored or parked.
Combined market value	The location where vehicles are serviced or repaired. The total value of all vehicles at a location.
Access form	The form used to request access to ZMID.