Glossary

Event risk is the possibility of loss associated with fortuitous occurrences such as fires, hurricanes, or tortious conduct. Event risk, which is synonymous with pure risk, hazard risk, or insurance risk, presents no chance of gain, only of loss. The perils covered by traditional property and casualty (P&C) insurance products are within the realm of event risk.

Event triggered financings refer to capital drawn under certain predetermined scenarios. This results in optimizing capital resources.

Evidence-based medicine (EBM) refers to the use of current best-quality scientific and medical evidence formulated from credible scientific studies, including peer-reviewed medical literature and other current scientifically based texts, and treatment and practice guidelines in making decisions about the care of individual patients. The idea of EBM is to provide a systematic approach to treating injured workers based on the best available science.

Evidence is anything that can be used to prove or disprove an alleged fact.

Evidence of insurability refers to underwriting information needed for an insurance policy.

Ex-medical coverage is workers compensation insurance without medical coverage. The insured pays all medical and hospital services required by law.

Exacerbation refers to a temporary increase in symptoms from a preexisting condition. Can be differentiated from an aggravation in that it does not advance the underlying pathology of the preexisting condition.

An examination under oath (EUO) is an important tool to allow an insurer to cross-examine the proofs of loss to avoid potential fraud. Its purpose is to enable the insurer to obtain the information necessary to process the claim. The EUO is taken under the authority provided by a condition of the insurance policy, usually statutorily imposed, that compels the insured to appear and give sworn testimony on the demand of the insurer. A certified court reporter and notary are present to give the oath to the witness and take down all of the words spoken during the interview.

Exceptions limit the application of an exclusion such that it does not apply to the described circumstances. For example, an exception to the commercial general liability (CGL) policy's watercraft and aircraft exclusion leaves coverage in place for liability assumed in an insured contract.

Excess in an insurance context refers to insurance to cover unanticipated or catastrophic losses. Excess coverage can be specific excess, which begins paying when any single claim reaches the preestablished retention, or aggregate excess, which begins paying when the cumulative cost of all claims reaches the preestablished retention.