Dangerous Wild Animals Act 1976
Persons who keep dangerous wild animals need a licence. In order to get a licence the owner must hold Public Liability insurance.
Days of Grace
A period after the renewal date during which cover continues providing that the policyholder has the intention of renewing and that the premium is paid before the end of the period.
Declaration
It has two definitions. The first is a statement on the proposal form which stipulates that the information provided is the truth and that nothing has been omitted. A declaration is also a periodic statement of information upon which the premium has been based, such as wages (in respect of Employers Liability) or profits (in respect of Business Interruption) which allows the deposit premium to be adjusted.
Deterioration of Stock Insurance
Insurance for the contents of freezers and cold rooms against the damage caused by an unplanned change in temperature.
Directors & Officers Liability
A form of liability insurance which covers directors & officers of a company in respect of claims made against them personally for negligence and breach of duty.
Employers Liability
Insurance taken out by employers in respect of their liability to employees for injury or disease. It is a common misunderstanding that the definition of 'employee' is the same across all legislation & government departments. It isn't - you need EL insurance even if you engage just casual part time (cash in hand) labour or a YTS or YOP school trainee, if in doubt check - this type of insurance is compulsory in the UK & the fines for not having it are heavy.
Engineering Insurance
The insurance of various perils arising out of plant & machinery such as the explosion or collapse of boilers or the breakdown of electrical or mechanical plant, plus resultant damage to surrounding property.
Engineering Interruption Insurance
Similar to Business Interruption insurance except that it covers the losses arising from a failure of supply (i.e. electricity or water) or the breakdown of machinery.
Ex Gratia
A payment made by an insurer without any admission of liability.
Excess
It has two definitions. The first relates to a monetary amount, being the first part of the cost of a claim, which the policyholder has to bear himself. (Also see Voluntary Excess and Compulsory Excess.) The second definition relates to 'top up' or additional cover which is provided over and above the underlying (or primary) policy.
Explosion
A specified peril covered under a material damage policy. It excludes boiler explosions or acts of terrorism, both of which can be insured separately.
Farm Insurance
A term for a package insurance policy designed for farmers which can include many different types of insurance such as livestock, employers liability, public liability, property, goods in transit, money, loss of profits, personal accident & growing crops.
Fidelity Guarantee
Insurance against dishonesty (fraud) or the failure to perform an obligation.
Fire
A specified peril covered under a material damage policy. Defined as actual ignition of something that should not be on fire, the cause being accidental or fortuitous.
Fire Mark
A physical sign commonly in use in the 17th & 18th centuries which were affixed to the side of a building & identified with which insurer, insurance cover had been placed.
Flood
Insurance against the risk of flood. Easily obtainable where the risk is slight, but virtually impossible to obtain where the risk is high.
Franchise
Nothing to do with McBurger or any other wonderful business opportunity. A franchise is similar to an excess except that once the figure has been attained the claim is paid in full. For example - a £1,000 claim with a £500 excess means that £500 would be paid. A £1,000 claim with a £500 franchise means that £1,000 gets paid.
Fraudulent Misrepresentation
A lie. Legally defined as a misrepresentation made knowingly with the intention of deceiving, otherwise known as, a lie.
Freezer Insurance
See Deterioration of Stock Insurance.
A type of insurance policy which is commonly effected by contractors & which can cover materials, equipment & liability on site.
