A type of insurance one has when you think you're about to take an "L" or loss.
Example 1.

Person A: You're really gonna fight him? He's a heavy weight champ.
Person B: Don't worry...I got that L insurance. I'll bounce back.

Example 2.

Person A: I wound't race that Mustang if I were you...He's pushing 800hp to the wheels.
Person B. It's cool. I have L Insurance. I'll claim I couldn't get traction down the line.
by 23T_Duratec_XR May 10, 2017
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