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Top 10.5 insurance acronyms! ~ by Mark Kelly, Business Development Manager (TWG Insurance)


As a recent, late-life career changer, I have fully embraced the vocabulary of my newly chosen profession in the insurance world. Or at least I thought I had. The problem is that once I knew the basics like split limit, pro-rata, first insured, and subrogation, then I started paying attention to my co-worker’s conversations and they were chock full of acronyms. 

All very confusing until you check the glossary…….

1. P & C stands for Property and Casualty, the most common types of insurance. You know them on a personal level as home and auto. On the business side of things, they are known as property and liability coverage.

2. BOP stands for Businessowners Policy. It’s like homeowner’s insurance in that it combines property and liability coverages together but is for small/medium size companies that need a variety of coverages for their businesses.

3. BAP – Business Auto Policy, just what it says!

4. BI stands for bodily injury and is usually used when limits of your policy in this area are being expressed.

5. D & O stands for Directors and officers as it relates to liability coverage. It covers the actions of the people running your business.

6. E & O is simply an abbreviation for errors and omissions, another part of liability insurance.

7. NFIP – National Flood Insurance Program, self-explanatory!

8. LTD/STD – Don’t worry, it’s not contagious. Long Term Disability and Short-Term Disability.

9. TRIA – Terrorism Risk Insurance Act…who knew? This protects insurance companies from large losses due to terrorism.

10. CGL – Commercial General Liability is business insurance for a variety of risks.

10.5 Last but not least, PTO. Thankfully this still stands for Paid Time Off. This is not necessarily an insurance-based acronym but is one of my faves non the less.

So, while you enjoy your PTO over the holidays, you may want to consider raising your BI limit on your BAP and/or CGL. Just sayin’! Happy New Year!