Gap coverage - Insurance for a lessee designed to cover the difference in selling price between a vehicle’s actual cash value, and the payout left on a lease.
Garage policy - One of the early package policies, it is written for automobile dealers and may include liability insurance for garage operations, automobile operations, physical damage coverage on garage owned autos, bailee's coverage on customers cars, and auto and premises medical payments coverage.
Garage-keepers liability - A bailee coverage applying to automobiles. Commonly included in garage policies, it may be written to provide coverage for limited perils or for comprehensive physical damage, with or without collision damage coverage. Coverage may be expressed as covering the legal liability of the garage-keeper or amended to cover on a direct basis, as primary insurance or excess.
Garnishment – The legal process by which property due to a debtor and in the hands of a third person is attached.
General Liability Insurance/ see Commercial General Liability.
Glass Insurance - Commercial property form that covers plate glass, glass signs, lettering, etc.
Governing Classification – The classification code on an employer's workers' compensation insurance policy that generates the most payroll aside from standard exception classifications such as clerical or outside sales (unless there is no other workplace classification applicable other than a standard exception).
Gross Earnings Coverage - An outdated term for business income coverage.
Guarantee – To assume the liability for such debts of another in the event of his default.
Guaranteed Cost – A Workers' Compensation insurance policy that is not subject to adjustment due to losses that occur during the policy term. In a Guaranteed Cost policy, the only variable affecting premium that should change between policy inception and audit is payroll. This is in contrast to the various kinds of Loss Sensitive plans, such as Retrospective Rating, Retention Plans, or Sliding Scale Dividend Plans, where there is a premium adjustment made based on losses incurred during the policy term.
Guarantee Funds - State mandated funds collected from licensed insurers and maintained as backup protection for policyholders of bankrupt insurers.
Guaranty – A contract by which one undertakes to be liable to the debt of another person in the event of his default.
Guiding Principles - Suggested procedures for establishing primacy of coverage in situations involving loss under a variety of coverage forms and, perhaps, more than one interested party. Last promulgated in the 1960s, the spirit of the principles survives because insurers apparently find that the prescribed procedures commonly lead to equitable settlements for all parties.
