THEFT – Any act of stealing. Theft includes larceny, burglary and robbery.

THIRD PARTY INSURANCE – Protection of the Insured against liability for damage to or destruction of the bodies or property of others.

TOTAL LOSS – A loss of sufficient size so that it can be said there is nothing left of value. The complete destruction of the property. The term is also used to mean a loss requiring the maximum amount a policy will pay.

TRANSFER OF RISK – Shifting all or part of a risk to another party. Insurance is the most common method of risk transfer, but other devices, such as hold harmless agreements, also transfer risk. One of the four major risk management techniques. (See ‘Risk Management’).

TRANSHIPMENT – Taking goods off one vessel and loading them onto another.

TRANSIT CLAUSE - A clause in marine and aviation cargo policies providing that the cover attaches from the departure from the place of storage at a place named in the policy until the cargo arrives at a place of storage at a named destination or at some alternative place.

TREATY REINSURANCE – A contractual agreement between an insurance company and a reinsurer which allows the insurer to automatically cede or ‘give away’ part of the risks that they accept.