GLOSSARY
This Insurance Glossary of Terms is produced and maintained by the National Alliance Research Academy. 
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Probable Maximum Loss (PML)

An estimate developed for property insurance underwriters that represents the worst amount of loss that is likely to happen, as opposed to the worst possible result that could happen. A PML estimate includes adverse conditions, such as the impairment or failure of a sprinkler system, a delayed fire alarm, insufficient water supply or delayed firefighting response, if such conditions seem reasonable.

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