Clear-Space Clause

Definition

• A clause in some property insurance policies that stipulates the minimum specified distance an insured property must be from surrounding properties. The clear-space clause exists to reduce liabilities for the insurer by distancing the insured property, or properties near the insured property, from potential hazards such as fire.

Synonyms
margin, open-space, fine print, buffer clause

Related Terms and Acronyms

• Hazard — Definition,
  • Anything that poses a potential risk of injury or damage.
• Hazard Insurance — Definition,
  • Insurance that covers hazards that are considered risky enough not to be covered by a standard insurance policy.