discrimination
(1) The act or process of evaluating insurable risks and determining premiums
on the basis of likelihood of loss. Insurance laws prohibit "unfair discrimination"—that
is, the formulation of rates on the basis of criteria that do not fairly measure
the actual risk involved. (2) Unfair or illegal treatment of or denial of rights
to persons on the basis of certain arbitrarily chosen attributes or characteristics,
including race, gender, religion, creed, age, medical condition, pregnancy,
sexual orientation/preference, physical appearance, marital status, physical
or mental disability, or national origin. Discrimination does not usually fall
within the coverage terms of the commercial general liability (CGL) policy (and
may even be specifically excluded by endorsement) but may be covered as a form
of personal injury (PI) under some umbrella policies. However, employment practices
liability insurance (EPLI) covers a variety of employment-related claims, including
discrimination.
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CLI XI.D;
PLI XXI.B