Garage Insurance
A term for a package insurance policy designed for motor traders which can include many different types of insurance such as road risks, employers liability, public liability & defective workmanship, property, money, loss of profits, personal accident & inspection.
GIT
An abbreviation for Goods in Transit insurance. Also a derogatory term for someone with whom you have a difference of opinion.
Goods in Transit
Insurance in respect of goods being transported either domestically within the UK or internationally. The insurance can cover either the goods themselves or the carriers legal liability for them.
Green Card System
Designed to assist the movement of vehicles across international borders and also to ensure that victims of accidents with foreign registered vehicles are not disadvantaged.
Hotel Insurance
A term for a package insurance policy designed for hotels, guest houses & similar venues which can include many different types of insurance such as employers liability, public & products liability, property, money, loss of profits, personal accident, goods in transit & loss of liquor licence.
Indemnity
The strict definition is 'the making good of a loss by means of a monetary payment'. It means putting the person back in the same (financial) position that they were before the incident occurred - therefore this cannot include any payment for betterment or (new for old) because that would represent an improvement in their financial position. When calculating a sum insured on an indemnity basis, you should therefore deduct an adequate figure for wear & tear.
Inspection
A service usually undertaken by an insurance company to ensure that plant & machinery is safe & operating legally. As it is a service not an insurance policy - this is usually the only time we get involved in charging VAT, which we collect on behalf of the insurance company & pass straight back to them.
Insurable Interest
In order to be valid, the policyholder must be related to the subject-matter so that he will benefit from its survival or suffer loss or damage from its absence. In the absence of such interest the insurance will be invalid. Everyone has an insurable interest in their own life and spouses are deemed to have an interest in the life of their wife/husband.
Nothing to do with elephants. A term for an exceptionally large risk or insurance.
Jurisdiction Clause
A clause stipulating which country's courts shall have jurisdiction in the event of a dispute under the policy.
Kidnap and Ransom
A class of insurance which provides ransom payments for a kidnapped person.
Knock for Knock
An agreement between insurance companies to reduce costs so that in the event of an accident, neither insurer will seek to recover their costs from the other insurer.
Legal Expenses Insurance
Insurance in respect of legal costs & expenses incurred in pursuing and/or defending litigation. Usually provided with helpline facilities so you can find out how to deal with a matter before it turns nasty.
Libel Insurance
Usually effected by publishers or professional persons against liability for libel or slander. Often excludes criminal and intentional libel and all claims would be subject to an excess.
Lightning
A specified peril covered under a material damage policy.
Limit of Indemnity
The maximum amount payable under the contract. It may be expressed 'per accident', 'per event' or 'per annum'.
Livestock Insurance
Insurance against the death of livestock, can be extended to include specified diseases e.g. foot & mouth disease.
Loss Adjuster
Usually employed on behalf of an insurance company to negotiate & settle claims on their behalf.
Loss of Licence
Insurance against the financial consequences of losing liquor or entertainment licence, usually available as an option to a pub, club or hotel insurance policy.
Loss of Profits Insurance
Also known as Business Interruption and/or Consequential Loss insurance. Insurance of loss arising from interruption of the business by an unforeseen & insured event, or put another way, it pays the gross profits you would have continued to earn if the business hadn't suffered the disaster or catastrophe which stopped it trading. Most businesses without this cover never recover after a serious fire or flood.
Lutine Bell
The ship's bell of H.M.S. Lutine, wrecked in 1799 whilst carrying a cargo of gold valued at £1.4 Million. The bell hangs at Lloyds & is rung when important announcements are to be made.
