Glossary

A flood exclusion is a provision found in nearly all property insurance policies (even in all risks policies) eliminating coverage for damage by flood.

The flood insurance rate map is the official flood insurance map of a community on which the Federal Emergency Management Agency (FEMA) has indicated both the special flood hazard areas and the risk premium zones for the designated community.

A floor is an agreement obligating the seller to make payments to the buyer in which each payment is based on the amount by which a predetermined number, sometimes called the floor rate or price, exceeds a reference price, level, performance, or value of one or more underlying interests.

Fluvial flooding is the overflow of water from lakes and rivers.

Following the fortunes is the clause in a reinsurance contract stating that it is the reinsurer's duty to "follow the fortunes" of the insured as if the reinsurer were a party to the original insurance.

Follow form is when an umbrella policy provision follows the underlying policy as to how the provision applies.

A follow form professional liability endorsement in an umbrella liability policy indicates that coverage applies under the same basis as in the underlying professional liability policy.

The Food and Drug Administration is a federal agency within the Department of Health and Human Services that sets safety and quality standards for food, drugs, cosmetics, and other household substances sold as consumer products.

A for-hire motor carrier transports goods for other entities, as opposed to transporting its own commodities exclusively.

Forced placed refers to insurance that is purchased by a bank, mortgage company, or other lender on financed property when the borrower has failed to comply with the lender's insurance requirements for the property, with the premium charged back to the borrrower.