What does Clause mean? Read on to discover the definition & meaning of the term Clause - to help you better understand the language used in insurance policies.
Clause means the financial responsibility of the insurance company to the policyholder as stipulated in the contract. It states what loss it is going to cover. The policyholder can ask for a specific clause to be covered while the insurance company, or its representative, drafts the policy.
We hope the you have a better understanding of the meaning of Clause.