Glossary

Solvency ratio refers to a statutory ratio test, which is usually net written premiums divided by capital and surplus.

A sophisticated insured is an insured that is knowledgeable as to risk management, insurance, and risk financing practices and does not require the same level of protection under insurance laws as an average insurance consumer.

Source revelation provisions are provisions in media liability policies indicating that in the event of a claim against the insured, the insured is not compelled to reveal to the insurer defending the claim the source of the material that is the subject of a claim.

Spamming involves sending unwanted and unsolicited email to an individual's or corporation's communications system. A massive spam attack on a company's email system can take up so much space on its server that it causes the system to crash. Such risks can be insured against under Internet/online policy forms that cover business interruption losses.

The Spearin doctrine is the legal principle that when a contractor follows the plans and specifications furnished by the owner, the contractor is not liable to the owner for any loss or damage resulting from the defective plans and specifications. Courts in virtually all states have adopted this rule. The name is derived from the case that established this legal principle, United States v. Spearin , 248 U.S. 132 (1918).

Specialty risks describe unusual coverage features or types of risks not underwritten by most commercial insurers.

Special acceptance refers to an agreement by a reinsurer to include under a reinsurance contract coverage for a risk that was not automatically included under the terms of the contract.

A special causes of loss form is one of the three Insurance Services Office, Inc. (ISO), commercial property insurance causes of loss forms. Causes of loss forms establish and define the causes of loss (or perils) for which coverage is provided. The Special Causes of Loss Form (CP 10 30) provides what is referred to as all risks coverage: coverage for loss from any cause except those that are specifically excluded. The other two ISO causes of loss forms (the basic causes of loss form and the broad causes of loss form) provide what is referred to as named perils coverage: coverage for loss from only the particular causes that are listed in the policy as covered.

Special crime insurance covers losses arising from the kidnap and holding for ransom of a corporate employee or from the threat to do harm to a person or to certain property if a ransom is not paid. Accordingly, special crime policies are also termed "kidnap, ransom, and extortion" insurance. The policies generally cover some or all of the following perils: Kidnapping an insured person; Bodily injury extortion (a threat to kidnap, injure, or kill an insured person); Property damage extortion (a threat to damage or pollute property, tamper with the insured's product, or reveal a trade secret or other proprietary information of the insured); Wrongful detention (involuntary confinement of an insured person); or Hijacking. The categories of loss covered by the policies include ransom money payments; wrongful detention costs (costs of attempting to locate and secure the release of the victim); in transit/delivery expenses (for confiscation, disappearance, or destruction of ransom money during delivery); other expenses (reward payments to informants, interest on loans of ransom money, fees for security consultants); judgments, settlements, and defense costs (for lawsuits by a victim or victim's family alleging negligence on the part of the employer); and death or dismemberment payments (for a victim or insured person involved in handling the incident). Most policies impose separate limits for each of these categories of loss, as well as an annual aggregate limit. Special crime insurance can be included in a commercial crime policy, written on a stand-alone basis, or may be available as part of a management liability "package" policy,

Special damages are objectively assessed monies awarded to an injured party for quantifiable, tangible losses, such as wage loss, loss of use, nursing care, and medical expenses.