The RISE Glossary
Explore commonly used Insurance and Risk terms
A
Accredited Customer Service Representative (ACSR)
A professional designation indicating that an individual has completed a course of study and passed an examination in the field of customer service, typically in the insurance industry.Activities of Daily Living (ADL)
Basic tasks necessary for self-care and independent living, such as eating, bathing, dressing, mobility, and toileting.Associate in Claims (AIC)
A professional designation for individuals who specialize in the handling and settlement of insurance claims.Associate in Insurance Services (AIS)
A professional designation for individuals who have a broad understanding of insurance principles and practices and specialize in insurance agency operations and customer service.Americans with Disabilities Act (ADA)
A federal law in the United States that prohibits discrimination against individuals with disabilities and requires employers, businesses, and other entities to provide reasonable accommodations to individuals with disabilities.Automobile Liability (AL)
Insurance coverage that protects against claims for bodily injury or property damage caused by an insured’s vehicle.Associate in Risk Management (ARM)
A professional designation for individuals who specialize in identifying, analyzing, and managing risks in an organization.Actuarial Statement of Practice (ASOP)
A set of professional guidelines and standards issued by actuarial organizations that provide guidance on actuarial practices and procedures.Associate in Underwriting (AU)
A professional designation for individuals who specialize in the evaluation and selection of risks for insurance coverage. Average Weekly Wage (AWW): The average earnings of an employee in a week, often used as a basis for calculating workers’ compensation benefits.B
Business Auto Policy (BAP)
An insurance policy that provides coverage for vehicles used in a business or commercial setting.Bodily Injury (BI)
Physical harm or injury caused to a person by the actions or negligence of another party.Business Interruption (BI)
Insurance coverage that compensates a business for lost income and extra expenses incurred as a result of a covered loss or event that interrupts normal business operations.Business Owners Policy (BOP)
A packaged insurance policy designed for small and medium-sized businesses that combines multiple coverages, such as property, liability, and business interruption insurance, into a single policy.C
Catastrophe (CAT)
A large-scale disaster or event that causes significant damage and loss, often resulting in a high volume of insurance claims.Continuing Education (CE)
Education or training that professionals, such as insurance agents and adjusters, are required to complete to maintain their licenses and stay up-to-date with industry regulations and developments.Cash Flow Return on Investments (CFROI)
A financial metric that measures the return on investment based on the cash flow generated by an investment.Commercial General Liability (CGL)
Insurance coverage that protects businesses against liability claims for bodily injury and property damage arising from their premises, operations, or products.Commercial General Liability (CGL)
Comprehensive General Liability is a business insurance policy that provides coverage for customer injuries, customer property damage, and lawsuits related to both.Construction Risk and Insurance Specialist (CRIS)
A professional designation for individuals who specialize in risk management and insurance for the construction industry.Certified Risk Manager (CRM)
A professional designation for individuals who have expertise in identifying, analyzing, and managing risks in an organization.Certified Insurance Counselor (CIC)
A professional designation for individuals who have advanced knowledge and expertise in insurance coverages and risk management.Centers for Medicare and Medicaid Services (CMS)
A federal agency within the U.S. Department of Health and Human Services responsible for administering the Medicare and Medicaid programs.Chartered Property Casualty Underwriter (CPCU)
A professional designation for individuals who have in-depth knowledge and expertise in property and casualty insurance.Consolidated Omnibus Budget Reconciliation Act (COBRA)
A federal law that allows individuals who lose their job or experience certain other life events to continue their employer-sponsored health insurance coverage for a limited period of time.Certificate of Insurance (COI)
A document issued by an insurer to show you have business insurance.D
D&O: Directors and officers (liability insurance)
Insurance coverage that protects directors and officers of a company from legal claims alleging wrongful acts in their capacity as company executives.DME: Durable Medical Equipment
Equipment and supplies prescribed by a healthcare professional for medical use, typically for an extended period.DOB: Date of birth
The date on which a person was born.DOD: Date of death
The date on which a person passed away.DOI: Date of injury
The date on which an injury occurred.DOD: Date of disability
The date on which a person became disabled.DOL: Date of loss
The date on which an insured event or loss occurred.DOS: Date of service
The date on which a particular service or treatment was provided.E
EAP: Estimated annual premium
An approximate calculation of the yearly premium for an insurance policy.EAP: Employee Assistance Program
A workplace program that offers counseling, support, and resources to employees facing personal or work-related challenges.EH&S: Environmental health and safety
The branch of study and practice that focuses on protecting human health and the environment from potential hazards and risks.EIN: Employer Identification Number
A unique nine-digit number assigned by the Internal Revenue Service (IRS) to identify a business entity for tax purposes.E&O: Errors and omissions (insurance)
Insurance coverage that protects professionals from liability claims arising from errors, mistakes, or negligence in their professional services.EPA: Environmental Protection Agency
A federal agency in the United States responsible for regulating and enforcing environmental laws and policies.EPD: Expected policyholder deficit
A projected shortfall between an insurer’s liabilities and its assets.EPL: Employment practices liability
Liability insurance that protects employers against claims made by employees alleging wrongful employment practices, such as discrimination, harassment, or wrongful termination.EPLI: Employment practices liability insurance
Insurance coverage that provides protection against claims related to employment practices liability.EMA: Expert Medical Advisor
A medical professional who provides specialized expertise and advice in legal or insurance matters.EE: Employee
An individual who is hired to work for an employer under an employment agreement.ER: Employer
An individual or organization that hires employees to perform work in exchange for wages or salary.ERM: Enterprise risk management
A strategic approach to identifying, assessing, and managing risks across an entire organization.F
FAIR: Fair Access to Insurance Requirements
Legislation or regulations aimed at preventing insurance discrimination and ensuring fair access to insurance coverage.FALU: Fellow of the Academy of Life Underwriting
A professional designation for individuals with advanced knowledge and expertise in life insurance underwriting.FCAS: Fellow of the Casualty Actuarial Society
A professional designation for individuals with advanced knowledge and expertise in casualty actuarial science.FCM: Field Case Manager
A healthcare professional who oversees and coordinates the medical treatment and rehabilitation of injured individuals.FCN: Field Case Nurse
A nurse who provides medical case management services for injured individuals in a field or community setting.FAP: Family automobile policy (more commonly PAP)
An insurance policy that covers multiple vehicles owned by members of a single family.ERM: Enterprise risk management
FCPL: Farmers comprehensive personal liability – An insurance policy that provides personal liability coverage for individuals and families.FCRA: Fair Credit Reporting Act
A federal law in the United States that regulates the collection, dissemination, and use of consumer credit information.FIRM: Flood insurance rate map
A map issued by the Federal Emergency Management Agency (FEMA) that identifies areas at risk of flooding and determines flood insurance requirements.FIRREA: Financial Institutions Reform Recovery and Enforcement Act
A federal law enacted in response to the savings and loan crisis that reformed regulations for financial institutions.FMLA: Family Medical Leave Act
A federal law in the United States that allows eligible employees to take unpaid leave for certain family and medical reasons.FROI: First Report of Injury
The initial report is submitted to an insurance company or employer to notify them of an injury or accident.FTCAC: Fire, theft, and combined additional coverage
Insurance coverage that protects against fire and theft, as well as additional perils specified in the policy.G
GAP: Guaranteed auto protection
Insurance coverage that covers the difference between the actual cash value of a vehicle and the amount owed on an auto loan or lease in the event of a total loss.GCD: Guaranteed cost discount
A discount given on insurance premiums when the cost of coverage is guaranteed and not subject to adjustment based on claims experience.GIO: Guaranteed insurability option
A provision in an insurance policy that allows the policyholder to purchase additional coverage at certain intervals without evidence of insurability.GKLL: Garagekeepers legal liability (insurance)
Insurance coverage that protects auto repair shops and garages from liability for damage to customers’ vehicles while they are in the shop’s care.GL: General liability
Insurance coverage that protects against claims for bodily injury, property damage, and personal injury arising from business operations.GVW: Gross vehicle weight
The total weight of a vehicle, including its passengers, cargo, and fuel.GWP: Gross written premium
The total premium income generated by an insurance company before deductions for reinsurance and expenses.H
HAZMAT: Hazardous materials
Substances or materials that pose a risk to health, safety, or the environment due to their chemical or physical properties.HIPAA: Health Insurance Portability and Accountability Act
A federal law in the United States that protects the privacy and security of individuals’ health information.HPL: Hospital professional liability (insurance)
Insurance coverage that protects healthcare providers and institutions against liability claims arising from professional services rendered in a hospital setting.I
IAC: Industrial Accident Commission
An administrative agency that oversees workers’ compensation and workplace safety issues.IAHU: International Association of Health Underwriters
A professional organization that represents health insurance agents, brokers, and consultants.IME: Independent medical exam
An examination conducted by a medical professional who is not involved in the ongoing treatment of an individual, often used to assess disability or evaluate the need for continued medical care.IW: Injured Worker
An individual who has sustained an injury or illness related to their employment.J
JSA: Job safety analysis
A process used to identify and address potential hazards associated with specific job tasks.JV: Joint Venture
A business arrangement in which two or more parties agree to collaborate and contribute resources to pursue a specific project or business opportunity.L
LTD: Long Term Disability
Insurance coverage that provides income replacement for an extended period for individuals who are unable to work due to a long-term disability.M
MMI: Maximum Medical Improvement
The point at which an injured individual’s condition has stabilized and is unlikely to improve further with additional medical treatment.O
OSHA: Occupational Safety and Health Administration
A federal agency in the United States that sets and enforces workplace safety and health regulations.P
P&C: Property and casualty
Insurance coverage that protects against property damage and liability for bodily injury or damage to others’ property.PD: Property Damage
Damage to someone else’s property caused by a covered incident or accident.PI: Personal Injury
Physical or psychological harm suffered by an individual, often resulting from negligence or intentional actions.PIP: Personal injury protection
Insurance coverage that provides medical and related expenses for injuries sustained in an auto accident, regardless of fault.PIR: Permanent Impairment Rating
An assessment of the extent of permanent impairment resulting from an injury or illness.PRIMA: Public Risk Management Association
A professional organization that promotes effective risk management practices in the public sector.PPE: Personal protective equipment
Equipment worn or used to minimize exposure to hazards and protect against injuries or illnesses.PTD: Permanent Total Disability
A condition in which an individual is permanently unable to perform any gainful work due to a disabling injury or illness.R
RIMS: Risk and Insurance Management Society, Inc.
A professional association dedicated to advancing the practice of risk management and insurance.RM: Risk Management
The process of identifying, assessing, and mitigating risks to minimize potential losses or negative impacts on an organization.RPLU: Registered Professional Liability Underwriter
A professional designation for insurance professionals specializing in professional liability insurance.RTW: Return to work
The process of an injured or disabled individual returning to their job or occupation after a period of absence or disability.RX: Prescription Drug
Medication prescribed by a healthcare professional for the treatment of a specific condition or illness.S
SIR: Self-insured retention
The amount of risk that an insured party agrees to retain and pay before insurance coverage kicks in.STD: Short Term Disability
Insurance coverage that provides income replacement for a limited period for individuals who are temporarily unable to work due to a disability.SSN: Social Security Number
A unique nine-digit number assigned to individuals in the United States for identification and employment purposes.T
TDB: Temporary disability benefits
Financial benefits provided to individuals who are temporarily unable to work due to a non-work-related injury or illness.TPA: Third-party administrator
An organization that handles administrative tasks, such as claims processing and benefit management, on behalf of insurance companies or self-insured employers.TPD: Temporary partial disability
A condition in which an individual is partially unable to perform their job duties for a temporary period due to a disabling injury or illness.TTD: Temporary total disability
A condition in which an individual is completely unable to work for a temporary period due to a disabling injury or illnessU
UR: Utilization Review
The process of reviewing and evaluating the medical necessity, appropriateness, and efficiency of healthcare services or treatments.W
WC: Workers’ Compensation
Insurance coverage that provides benefits to employees who suffer work-related injuries or illnesses, including medical expenses and lost wages.X
XS: Excess Policy
An insurance policy that provides coverage above the limits of primary insurance policies.No result found
