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Restoration glossary

The restoration coverage terms, in plain language.

The words that show up in your policies, certificates, and referral requirements, from contractors pollution liability to care, custody, and control, defined simply, so you know what you are buying and what a claim would turn on.

Contractors Pollution Liability (CPL)

Coverage for bodily injury, property damage, and cleanup costs from pollution conditions arising out of your operations, which general liability commonly excludes. In restoration it addresses contaminated water, soot, sewage, and, on many forms, mold.

Care, Custody, and Control

The property that is in your care while you work on, handle, or store it. Standard general liability commonly excludes damage to such property, which for restoration is the customer's building and contents. Care, custody, and control coverage responds to it.

Pollution Condition

The presence of a contaminant such as smoke, soot, sewage, mold, or hazardous material that causes injury, damage, or cleanup cost. General liability's pollution exclusion is written around it, which is why contractors pollution liability matters in restoration.

Mold Exclusion

A provision in most general liability and property policies that excludes or sharply limits coverage for mold and microbial matter. For water and mold restoration it can exclude the core work, so coverage that addresses mold specifically is needed.

Difference in Conditions (DIC)

A companion policy that adds coverage another policy does not include. In some restoration and property structures it broadens perils or fills gaps left by a base policy.

Professional Liability (E&O)

Coverage for claims that your professional services were negligent or inadequate, such as a failed clearance or incomplete remediation. General liability, focused on accidents, generally does not cover these protocol and scope disputes.

Clearance Testing

Post-remediation verification that a space meets the agreed standard, common in mold and biohazard work. A failed or disputed clearance is a frequent professional-liability claim, which is why E&O matters for remediation.

Category 1, 2, and 3 Water

An industry classification of water by contamination level, from clean (1) to grossly contaminated (3). Category 2 and 3 water can be treated as a pollutant, which is why general liability's pollution exclusion can apply to water restoration.

Pack-Out

The process of removing, inventorying, cleaning, and storing a customer's contents after a loss. Because the property is in your care through the process, it creates care, custody, and control exposure that standard general liability often excludes.

Inland Marine

Coverage for movable and off-premises property, air movers, dehumidifiers, scrubbers, generators, and materials, in transit and at the loss, where standard property insurance tied to a fixed location does not reach.

Completed Operations

Coverage for injury or damage arising from your finished work after you have left the site. In restoration reconstruction it is often the largest and longest-tailed exposure, and referral sources may require completed-operations additional insured status.

Additional Insured

An endorsement that extends your liability coverage to another party, such as a client, property manager, or insurer, for claims arising from your work. Restoration referral sources commonly require it. The endorsement, not the certificate, is what provides the coverage.

Certificate of Insurance (COI)

A document that summarizes your coverage as of the date it is issued. It is evidence a policy existed, but grants the holder no coverage by itself and can be out of date the next day. The endorsements behind it are what matter.

IICRC

The organization associated with widely recognized restoration standards and technician certifications, such as those for water damage restoration, structural drying, and mold remediation. Insurers and referral networks often prefer or require certification.

EPA RRP Rule

The federal Renovation, Repair and Painting rule governing work that disturbs lead-based paint in pre-1978 housing and child-occupied facilities. Restoration in older buildings can fall under it, and lead is also a pollutant that intersects with pollution coverage.

Builders Risk

Coverage for property under construction or renovation against causes like fire, wind, water, and theft, usually for the duration of the project. Relevant to the reconstruction side of restoration and often required by the owner or lender.

Independent, restoration-first

A term you do not recognize in a referral requirement?

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