In insurance policies, what does the term "endorsement" refer to?

In the context of insurance policies, the term "endorsement" refers to a modification or addition to an existing policy. This could involve changing the terms of the coverage by adding new provisions, altering existing ones, or even excluding certain coverages depending on the agreement between the insurer and the insured. Endorsements allow for flexibility in tailoring a policy to better meet the unique needs of the insured, accommodating changes in circumstances or requirements that arise after the original policy has been issued.

For instance, if a homeowner wishes to add coverage for a valuable item not included in their standard policy, an endorsement can be added to reflect this change. This customization is essential for ensuring that the insured has the necessary protection to cover their specific risks.