Insurance Term of the Day: Exposure

In the insurance world, exposure means more than the result of your fly being down, or the plumber working on your pipes. Exposure relates to your potential risk that’ll cause a loss which requires filing a claim.

Insurance companies will measure your exposure based on numerous factors. These factors play a role in the final premium. These exposures put you at risk for a loss. If your risk is too high, insurance companies could deny coverage.

To get a better understanding of exposure, here are a few examples:

  • Living in an area with more traffic and car accidents
  • Driving around frequently

These factors help to determine the odds that you will have a claim. Insurance companies are hesitant to insure someone who may end up costing them a boat load of money because it can affect their business’s profits.

If you ever hear this term from an insurance company, ask them what your exposures are and see if there’s anything you can do to change it to decrease your rates.


Do you have questions about your insurance? Find an insurance agent near you with our Agent Finder

Buzz Your
Insurance Agent

Search for a local agent with our agent finder map.

Agent Finder

Search All Blogs

Generic filters

Buzz Your
Insurance Agent

Search for a local agent with our agent finder map.

Agent Finder

Want to learn more about
our blog writer?

Read more about KayLynn's background.

Search All Blogs

Generic filters

Read More Insurance Blogs

Declutter Your Life: Beyond the Physical to a More Streamlined Existence

Tired of clutter? Discover actionable tips to declutter not just your belongings, but also your finances and digital life for a more streamlined and stress-free life.

Your Life Insurance Journey: Start Small, Dream Big, Build Security

Don’t wait for the perfect policy. Discover how starting small with life insurance is the key to building long-term financial security for your family.

Small Steps, Big Impact: Achieving a Healthier Lifestyle Without Radical Overhaul

Forget extreme diets and intense workouts. Learn how simple, everyday choices can add up to a healthier lifestyle.

Weaving Family History: The Power and Importance of a Family Timeline

More than just dates: Crafting a family timeline to connect generations and preserve memories.

Family Fitness Adventures for Lasting Memories

Ditch the couch: Active family fun for a healthier, happier life.

Beyond Upfront Payments: Pre-Planning Your Final Arrangements with Peace of Mind

Pre-planning your farewell: Affordable options and peace of mind.

Life Insurance: Investment or Protection? Decoding Cash Value Policies

Is life insurance an investment? Understanding cash value policies.

From Picky Eaters to Healthy Habits: Nurturing Lifelong Wellness in Children

Beyond the clean plate: Fostering healthy eating habits that last a lifetime.

Embracing the New Era of Celebrations of Life

Discover the growing trend of celebrations of life and how they are transforming the way we say goodbye to our loved ones. Learn about the unique aspects of these celebrations and the role of life insurance in ensuring financial peace of mind.

Rediscovering the Joy of Cycling: 7 Reasons to Hop on Two Wheels

Get pedaling! 7 reasons to rediscover the joy of cycling.