1. purchasing insurance coverage that exceeds the actual value or need
Usage: present participle of overinsure

Examples

• The homeowner was overinsuring his property by buying coverage worth twice its market value.
• Many people end up overinsuring their cars with unnecessary add-on policies.
• The financial advisor warned against overinsuring and recommended reviewing all policies annually.
• By overinsuring their business, they were paying premiums that far exceeded potential losses.
• She realized she was overinsuring her jewelry collection after getting it appraised.
• The insurance agent discouraged overinsuring, explaining it wouldn’t increase claim payouts.