[E074]

exposure unit

1) During the premium computation phase of insurance issuance, the exposure unit is the unit of measure that is used to associate the premium charged with some credible factor that relates directly to the exposure covered by the insurance policy. Examples are: per $100 of property value, per square foot area of a building, per $100 or $1,000 of payroll, admissions or gross receipts.

2) The property or location covered by the insurance policy.