Glossary

A dry pipe sprinkler system is an automatic sprinkler system that can be used in an unheated building without risk of freezing and subsequent bursting of pipes, because the system fills with water only when the sprinkler heads are triggered by the heat of a fire.

A dual agency refers to a situation in which an individual may serve as an agent for two parties in the same transaction.

Dual capacity is the principle, defined in a number of court cases, that a business may stand in relation to its employee not only as employer, but also as supplier of a product, provider of a service, owner of premises, etc.

A dual life stock insurance company is a life insurer formed as a stock company that issues both participating and nonparticipating life insurance policies.

Due diligence is the exercise of proper care and attention to a business transaction.

Duplication is a risk control technique that entails the utilization of backups or spares.

Duty to defend is a term used to describe an insurer's obligation to provide an insured with defense to claims made under a liability insurance policy.

The term "duty to pay" is used to describe the nature of an insurer's defense obligations under directors and officers and employment practices liability insurance policies.

Dwelling is a homeowners and dwelling property term denoting the structure on the residence premises that is listed in the declarations and used principally as a private residence, including attached structures.

Dwelling property coverage forms are alternatives to homeowners policies that may be used to insure physical damage to dwellings and personal property.