Insurance policies and snow contracts are full of terms that are easy to skim past and expensive to misunderstand. This glossary explains the ones snow removal contractors see most often, in plain language, with an example of how each shows up in snow and ice work. Where possible, definitions come from the Insurance Bureau of Canada, with IRMI used where IBC has no entry.
Contract Terms
- Additional insured: someone other than the named insured who is protected by your policy.
- Hold harmless agreement: a clause where one party takes on certain liabilities of the other.
- Indemnity clause: a promise to cover another party's losses or liability.
- Primary and non-contributory: wording that sets which policy pays first.
- Waiver of subrogation: an insurer giving up its right to recover from another party.
- Certificate of insurance: a document showing that insurance is in effect.
Coverage and Limits
- Per occurrence limit: the most an insurer pays for one occurrence.
- Aggregate limit: the most an insurer pays over the policy period.
- Deductible: the amount you pay on a claim before the insurer pays.
- Umbrella liability: extra limits above your primary policies.
- Completed operations: coverage for work that is already finished.
- Non-owned auto: liability for vehicles your business uses but does not own.
- Contractors equipment floater: property coverage for equipment that moves between sites.
Claims and Legal Terms
- Occupiers' liability: the duty of whoever controls a property to keep visitors reasonably safe.
- Subrogation: an insurer recovering a paid claim from the party responsible.
Keep Learning
See the FAQ for short answers, the guides for longer explanations, or the full list of coverage types.
Further reading: Insurance Bureau of Canada: Insurance glossary; Insurance Bureau of Canada: Types of business insurance coverage
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