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Covered Damages

What are Covered Damages?

Covered Damages refers to the losses, costs or expenses that are covered by an insurance policy. It is an important term in insurance terminology and may refer to the losses or costs that are covered by a particular insurance policy or contract. These losses, costs or expenses may include property damage, bodily injury, and medical expenses.

Covered Damages in More Detail

The definition of Covered Damages will depend on the type of insurance policy or contract in question. Generally speaking, some common types of Covered Damages include property loss or damage resulting from a covered peril, such as a fire, windstorm, or theft; medical expenses resulting from injury or illness; and costs related to legal defense in the event of a lawsuit.

Common Types

  • Property loss or damage: resulting from a covered peril such as fire, windstorm, or theft.
  • Medical expenses: arising from injury or illness.
  • Legal defense costs: incurred in the event of a lawsuit.

Exclusions

Covered Damages typically exclude losses that are caused by the insured’s intentional acts, as well as losses that are caused by events that are not covered by the policy. Some policies may have exclusions or limitations that limit the amount of coverage available for certain types of losses or expenses.

Determining Coverage

In order to determine whether a particular loss is covered, it is important to carefully review the terms and conditions of the policy. In some cases, policyholders may need to contact their insurance company if they have questions about what is and what is not covered.

Adam Thompson

Adam Thompson

With 25 years in the insurance industry, beginning at just 19, Adam cultivated a deep love for all aspects of retail agency operations — from sales and client service to accounting and management. He holds a CPCU designation and a…

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