What part of an insurance policy outlines losses that are specifically not covered?

The correct answer is the section of an insurance policy that outlines exclusions. This part of the policy details specific situations, damages, or circumstances that are not covered by the insurance. Understanding exclusions is crucial for policyholders, as these are the limitations of coverage that can significantly impact a claim's validity.

For instance, if a policy excludes losses caused by certain natural disasters or specific activities, and an insured event occurs under these excluded conditions, the policyholder should be aware that they would not receive compensation for those losses. Therefore, being familiar with the exclusions is vital for any insured individual, as it informs them of what risks they are not financially protected against under their policy.

While definitions provide clarity on terms, conditions outline the obligations and procedures of both the insurer and the insured, and the insuring agreement summarizes the coverage provided, it is the exclusions that specifically delineate what is not covered and are essential for understanding the overall insurance contract.