Glossary

Auto is defined in the commercial auto and commercial general liability (CGL) policies as any land motor vehicle, trailer, or semitrailer designed for travel on public roads; or any other land vehicle subject to a compulsory or financial responsibility law or other motor vehicle insurance law where it is licensed or principally garaged.

Automatically convertible term life insurance refers to a term life insurance policy that converts on a specific predetermined date to permanent life insurance without the express instructions of the policyholder.

An automatic additional insured endorsement is sometimes attached to liability insurance policies and automatically grants insured status to a person or organization that the named insured is required by contract to add as an insured.

Persons or organizations that are provided with insured status by the terms of an unendorsed policy are called automatic insureds.

An automatic premium loan is an optional provision in life insurance that authorizes the insurer to pay from the cash value any premium due at the end of the grace period.

An automatic treaty is a reinsurance treaty under which the ceding company must cede exposures of a defined class that the reinsurer must accept in accordance with the terms of the treaty.

An Automobile Claim Law Associate (ACLA) is a designation offered by the American Educational Institute (AEI).

An Automobile Claim Law Specialist (ACLS) is a designation offered by the American Educational Institute (AEI).

Automobile liability excess indemnity provides excess limits for bodily injury (BI) and property damage (PD) liability for persons unable to secure more than minimum limits under their basic liability policy.

Automobile liability insurance protects the insured against financial loss because of legal liability for automobile-related injuries to others or damage to their property by an auto.