Glossary

A residence employee is an employee of an insured (or an employee leased to an insured by a labor leasing firm) whose duties are related to the residence premises or one who performs comparable (and nonbusiness) duties elsewhere, as defined in the homeowners policy. Personal liability and medical payments under the homeowners policy apply to residence employees provided (1) the loss occurs within the scope of the employee's employment with the insured, and (2) the employee is not eligible to receive workers compensation or occupational disease benefits.

A residential wrap-up is a controlled insurance program implemented for a condominium or other residential development project primarily to provide commercial general liability (CGL) and umbrella/excess liability insurance for the contractors. Unlike most wrap-ups, residential wrap-ups usually do not include workers compensation insurance. Because they are implemented as a way to ensure adequate coverage rather than to reduce project costs, they can be implemented on much smaller projects than would qualify for a traditional wrap-up.

A resident agent is domiciled in the state in which he or she conducts his or her business activities.

A residual market is an insurance market systems for various lines of coverage (most often workers compensation, personal automobile liability, and property insurance). It serves as a coverage source of last resort for firms and individuals who have been rejected by voluntary market insurers. Residual markets require insurers writing specific coverage lines in a given state to assume the profits or losses accruing from insuring that state's residual risks in proportion to their share of the total voluntary market premiums written in that state.

A residual market load (RML) is a a factor insurers apply to workers compensation policies to recover costs assessed them by states for deficits in the residual markets. Its purpose is to compensate insurers for the losses sustained when writing workers compensation risks in the residual market. It is left to the individual insurer to determine how and whether this cost will be passed on to its policyholders. The most common application is as a cost component included in a retrospective rating plan.

Residual value insurance guarantees the owner of leased personal property (e.g., autos or equipment) a particular value at a specified future date, usually the termination of the lease. Covers the difference between the actual liquidated value of property returned to the insured lessor and the expected value of the property specified in the policy.

A resilient bond, also referred to as a resilience bond, is a financing instrument that links catastrophe bond risk transfer with funding for projects that reduce disaster risk. It allows governments, utilities, insurers, or other sponsors to transfer defined catastrophe exposure to investors. It does so by using savings from reduced expected losses to help finance infrastructure or mitigation projects. This is referred to as a resilience rebate. The principal is encouraging investment in resilience while providing financial protection for other remaining catastrophic exposure. Examples include seawalls, flood barriers, retrofits, and other safety measures.

The Resource Conservation and Recovery Act (RCRA) of 1976 is a federal act regulating the handling of hazardous waste from its generation to disposal. The Act defines "hazardous waste" and establishes standards and permit programs for waste generating, treatment, storage, and disposal. It implements detailed recordkeeping requirements and imposes civil and criminal penalties for noncompliance.

Respite care is temporary care provided in a nursing home, hospice inpatient facility, or hospital to allow a family member or friend who is the patient's caregiver time to rest or take time off. This term also encompasses short-term care covered in the hospice benefit provided under Medicare Part A. For Medicare to cover, respite care must be provided in a Medicare-approved facility, such as a hospice inpatient facility, hospital, or nursing home.

Respondeat superior is a Latin phrase meaning "let the superior make answer." It is a legal doctrine under which an employer can be held liable for the actions of employees.