43 terms
- Actual cash value (ACV)
- The value of damaged property at the time of loss, usually replacement cost minus depreciation.
- Additional living expense (ALE)
- Coverage for extra costs of living elsewhere while your home is uninhabitable after a covered loss.
- Amount of loss
- The dollar value of a covered loss. Appraisal resolves disagreements about this figure.
- Appraisal award
- The written decision signed by two of the three panel members setting the amount of loss.
- Appraisal clause
- The policy provision that allows either party, or both, to resolve a disagreement over the amount of loss through appraisal.
- Bad faith
- A legal claim that an insurer unreasonably denied, delayed or underpaid a claim. Decided by courts, not appraisal panels.
- Caliche
- A hard, cemented soil layer common in Southern Nevada that can complicate excavation and foundation work.
- Concrete tile
- A roof covering of molded concrete tiles, very common in Southern Nevada, laid over underlayment on battens or deck.
- Contents
- Personal property such as furniture, clothing and electronics, usually Coverage C on a homeowners policy.
- Coverage A
- Dwelling coverage on a homeowners policy: the house and attached structures.
- Coverage B
- Other structures coverage: detached garages, block walls, fences, sheds and similar.
- Declarations page
- The summary page of your policy listing coverages, limits, deductibles and the policy period.
- Deductible
- The portion of a covered loss you pay before the insurer pays.
- Depreciation
- A reduction in value for age, wear and condition.
- Detach and reset
- Removing an item, such as solar panels or a satellite dish, to allow repairs and reinstalling it afterward.
- Earth movement exclusion
- A common policy exclusion for earthquake, landslide and similar ground movement.
- Ember intrusion
- Wildfire embers entering a building through vents, gaps or openings and igniting material inside.
- Estimate
- An itemized list of repair tasks, quantities and prices used to value a loss.
- Flood
- Surface water from outside rising onto normally dry land. Usually excluded from homeowners policies and covered by separate flood insurance.
- Ice dam
- A ridge of ice at the eaves that traps meltwater, which can back up under roofing and leak inside.
- Impartial appraiser
- An appraiser without a financial interest in the outcome. Many policies require appraisers to be competent and impartial.
- Line item
- A single task or material in an estimate, with quantity, unit and price.
- Matching
- The question of whether repaired areas must reasonably match undamaged areas in color, texture and appearance.
- Microburst
- A sudden, localized thunderstorm downdraft producing damaging straight-line winds.
- Mitigation
- Reasonable steps to prevent further damage after a loss, such as tarping or drying.
- Monsoon
- Southern Nevada’s summer thunderstorm season, usually July through September.
- Nevada Division of Insurance
- The state agency that regulates insurers, licenses adjusters and handles consumer complaints.
- Ordinance or law coverage
- Coverage for added costs of meeting current building codes during repairs.
- Overhead and profit (O&P)
- A general contractor’s charge for coordinating multiple trades, often 10% and 10%.
- Percentage deductible
- A deductible calculated as a percentage of the dwelling limit rather than a fixed dollar amount.
- Proof of loss
- A sworn statement of the claimed loss, often required within a set time after the insurer requests it.
- Recoverable depreciation
- Depreciation held back from the first payment and paid after repairs are completed.
- Replacement cost value (RCV)
- The cost to repair or replace damaged property with like kind and quality, without deduction for depreciation.
- Scope of loss
- The full list of damage and the repairs needed to restore the property.
- Slab leak
- A leak in water lines beneath or within a concrete slab foundation.
- Square
- One hundred square feet of roof surface.
- Stucco
- A cement-based exterior wall finish common in Nevada, applied over lath and building paper.
- Suit limitation
- The policy’s deadline for filing a lawsuit against the insurer.
- Supplement
- A request to add missed items or revise an estimate after the first inspection.
- Surplus lines insurer
- An insurer not licensed as an admitted carrier in the state, allowed to write coverage that admitted carriers won’t.
- Umpire
- The neutral third member of an appraisal panel who decides items the appraisers can’t agree on.
- Underlayment
- The waterproof layer beneath roof tiles or shingles.
- Washoe Zephyr
- A strong afternoon westerly wind common in the Reno area.