Office of Risk Services
Department of Institutional Audit, Compliance and Risk Services
Northeastern University
360 Huntington Avenue
122 Saint Stephen Street
Boston, MA 02115
phone: 617.373.5997
fax: 617.373.8996
Developed byDefinition Of Terms
| Appraised Value | Value placed on property by a qualified expert |
| Auto Physical Damage | Damage to University-owned vehicles |
| Bond | Guarantee to pay if specific conditions are met |
| Business Interruption | Coverage for lost revenue due to a covered occurrence |
| Certificate of Insurance | Form that evidences insurance including insurer, coverage and limits |
| Collision | A type of physical damage resulting from collision with another vehicle or other object. |
| Comprehensive | A type of physical damage not resulting from collision |
| Claims Made Coverage | Coverage that responds to incidents arising on or after the policy retroactive date and which are reported during the term of the policy. |
| Excess Insurance | A layer of insurance coverage that is second to primary insurance |
| Indemnification | Agreement wherein one party agree to pay for the loss or damage it causes to another |
| Liability | Legal obligation to reimburse for damages to third parties |
| Liquor Liability | Amounts the University is legally obligated to pay to reimubrse for damages to third parties arising out of the serving of alcohol |
| Occurence Coverage | Coverage that responds to incidents arising from the coverage period - regardless of when those claims are reported. |
| Premiums | Amounts charged for insurance coverage. Premium factors include loss experience and exposure. |
| Primary Insurance | The first layer of insurance coverage |
| Replacement Cost | The cost incurred to replace property with like, kind and quality |
| Reserve | The amount estimated to be paid to resolve a claim |
| Restitution | Proceeds recovered from a third party as recovery for damages or losses incurred by the University |
| Retention | The deductible amount of an insurance policy |
| Risks | The term used to denote the exposure to damages involving human or physical assets. |
| Salvage | Any proceeds from repaired, recovered or scrapped property |
| Self-Insurance | University funds set aside to meet losses it retains |
| Subrogation | Any proceeds of negotiations or legal action taken against negiligent third parties. |
| Total Incurred | The sum of amounts and reserved for a claim |
| Umbrella Coverage | A layer of insurance coverage that is second to more than one layer of primary insurance |
| Volunteer | A person providing authorized services to the University without compensation |