Coverage Opinion — Insurance Claims Definition
Industry
A legal or technical analysis of whether a policy covers a particular loss or claim scenario.
Coverage counsel issues formal opinions for insurers on ambiguous facts and policy language. Adjusters may request informal coverage notes before reserving rights or denying.
Examples
After a ransomware event, home office data loss triggers a formal coverage opinion on the computer property sublimit and business exclusion.
Common Mistakes
Insureds without counsel misread preliminary coverage emails as final denials when they are interim analysis.
