A clause which requires the policyholder to maintain at all times a certain percentage of insurance to the actual value of the property insured. If they fail to maintain the required percentage, they [..]

Definition A clause in insurance policies covering real property that requires the policyholder to maintain fire insurance coverage generally equal to at least 80 percent of the property's actual [..]

Coinsurance clause is a provision in an insurance policy that limits the liability of the insurer. It determines what percentage of the value of the property must be insured in order to be fully reimb [..]

A clause found in most commercial property and business income insurance policies that requires the insured to carry a specified percentage of insurance to the value being insured, and failing that, recovery of loss is reduced in proportion to the deficiency. Also sometimes known as Average or Contribution Clause

Insurance companies want you to buy insurance to cover the full actual cash value of your home. They include in their policies a “coinsurance clause” that says if you buy a policy for less than 80% of what your home is worth, they can reduce any claims.

A clause found in most commercial property and business income insurance policies that requires the insured to carry a specified percentage of insurance to the value being insured, and failing that, recovery of loss is reduced in proportion to the deficiency. Also sometimes known as Average or Contribution Clause

A provision that requires an insured to maintain insurance equal to some selected percentage of value, normally 80 or 90 percent of actual cash value or replacement value of the property.

A provision in a hazard insurance policy stating the minimum amount of coverage that must be maintained - as a percentage of the total value of the property - in order for the insured to collect the full amount of a loss.