Definition of Floating policy
Insurance policy intended to supplement specific insurance on property and attaches only when the latter ceases to cover the risk, and the purpose of such policy is to provide indemnity for property which | cannot, because of its frequent change in location and quantity, be covered by specific insurance. Davis Yarn Co. v. Brooklyn Yarn Dye Co., 293 N.Y. 236, 56 N.E.2d 564, 570. See also Floater policy.
That's the definition of Floating policy in Black's Law Dictionary 6th Edition. Courtesy of Cekhukum.com.