Glossary

Advertisement is, under general liability insurance, information disseminated to the public at large or to targeted segments of the public for the purpose of attracting customers or supporters. The term was introduced into standard general liability policies in 1998 as a substitute for "activities in the course of advertising." Courts have interpreted the latter phrase very broadly to include even marketing efforts (such as sales calls) directed at a single person.

Advertising injury is general liability coverage combined in standard commercial general liability (CGL) policies with personal injury (PI) coverage that insures the following offenses in connection with the insured's advertising of its goods or services: libel, slander, invasion of privacy, copyright infringement, and misappropriation of advertising ideas.

An advisory endorsement is one developed by a rating bureau and distributed to member insurers but not filed with the state insurance departments on behalf of the member insurers. Each individual insurer must make its own filing.

Aerobic treatment is a process by which microbes decompose complex organic compounds in the presence of oxygen and use the liberated energy for reproduction and growth. Such processes include extended aeration, trickling filtration, and rotating biological contractors.

An affiant is the person who makes an affidavit by signing it and swearing to its truth before a notary public or another person authorized to take oaths, such as a county clerk.

An affidavit is a written statement of facts, made voluntarily by an affiant under an oath or affirmation administered by a notary public or other officer who has the authority to administer such oath or affirmation.

Affiliated companies are insurance companies linked together through common ownership or interlocking directorates.

Affiliated risks are risks of the owners of the captive or their affiliates or of the participant in a captive cell when describing risks insured in a captive. They can be either first-party or third-party risk.

An affinity sale is the sale of insurance through groups such as business or professional associations. For example, one of the largest insurers in the country sells only to current and former officers of the US military.

An affirmative defense is defense in which the defendant introduces new evidence not addressed by the allegations of the plaintiff's complaint, which, if found to be credible, will negate the defendant's civil or criminal liability. For example, a defendant in a products liability suit might claim that the plaintiff or a third party modified or altered the product after it left the defendant's possession.