Glossary

Labor union group life insurance refers to an insurance plan for members of a union that usually offers annual renewable term life insurance policies, but some plans provide permanent life insurance policies.

The Lamb-Weston rule prescribes a way of apportioning coverage among multiple applicable policies that imposes pro rata sharing of covered losses, regardless of the policies' "other insurance" provisions.

Lapse concerns the termination of an insurance policy due to the insured's failure to pay the premium.

Lapse ratio refers to the number of policies that lapse during a period to the total number of policies written at the beginning of that period.

A laptop exclusion is one found in cyber and privacy insurance policies that excludes coverage for both first-party property and third-party liability claims caused by lost or stolen laptop and notebook computers.

A large deductible plan is a cash flow workers compensation insurance program that allows the insured to retain a portion of each loss through a substantial deductible and to transfer onto an insurer losses in excess of that deductible.

Large line capacity concerns an insurer's financial ability to assume a significant exposure under a single primary or excess insurance policy.

A laser exclusion is an exclusionary endorsement under a claims-made commercial general liability (CGL) policy that excludes liability arising from the products, locations, accidents, or work specified in the endorsement.

The last injurious exposure is a trigger used to establish which employer and workers compensation insurer are responsible for occupational disease that has manifested in an employee.

Last in, first out is an accounting method for inventory and cost of sales in which the last items produced or purchased are assumed to be sold first.