Couch Braunsdorf: Glossary of Terms Property Definitions

This glossary is intended to provide a general overview of policy types and available coverage. Specific policy language must be referenced to determine the exact coverage, terms, conditions, and exclusions contained in that policy.

Boiler & Machinery protects your business in the event of a mechanical equipment failure, which results in financial loss. Coverage includes losses to your property and property of others. In the event an insured's covered equipment causes an "accident", the boiler and machinery policy pays for damage and repair of property, but excludes any subsequent fire related damage, which is covered by your property insurance policy.

Property Insurance is designed to protect your company's buildings, property, and contents. It protects against loss from perils including: fire, lightning, hail, windstorm, explosion (except when caused by boiler), civil commotion, riot, aircraft, vehicles, smoke, volcanic eruption, sprinkler system leakage, sinkhole collapse, vandalism, or malicious mischief. The above is referred to as basic insurance coverage and can be broadened to include other perils.

Business Interruption helps to defray your overhead costs and lost income where operations cannot continue due to an insured loss. Included is coverage for:

• reimbursement of actual business income lost
• salaries and lost wages
• insurance premiums
• property depreciation resulting from business interruption
• taxes
• interest on indebtedness

This protection is designed to provide the funds necessary to maintain your financial condition, as if no loss had occurred.

Extra Expense pays for additional expenses incurred to continue business operations after an insured loss causes damage to your premises. Examples of qualifying expenses are relocation, new phone lines, subcontracting of work, necessary rents, etc.

Electronic Media and Records "EDP" coverage pays for replacement of your computer and/or software due to damage or destruction of your computer or data processing media.

Crime coverage is designed to protect your business in the event of loss due to burglary, robbery, or employee dishonesty.

Burglary coverage protects your business from loss or disappearance of property as a result of a burglary inside your premises.

Robbery coverage provides protection in the event of loss of property due to robbery in which you or your employees are forced to relinquish goods, or where a safe is burglarized and a similar loss results.

Employee Dishonesty will protect your business in the event fraudulent or dishonest acts are committed by any employee, resulting in loss of money, securities, or property.