Coverages on a policy line

A coverage is a type of loss covered by a policy for a specific property or liability exposure. Coverages are the fundamental building blocks of a policy. Coverages determine what the policy actually covers, and, for the most part, how much the policy costs. In general:

• Liability coverages typically attach at the PolicyLine level.
• Property coverages typically attach to other coverable objects.

In some cases, a coverage specifies not only the type of loss but the cause. For example, collision coverage covers damage to a car from auto accidents. Comprehensive coverage covers damage from incidents other than auto accidents (weather, fire, or theft, for example). Suppose that a policy covers a given car for collision but does not provide comprehensive coverage. If a windshield becomes damaged, the cause of loss is relevant to determining whether the policy covers the loss.