Requirements regarding auto insurance vary state by state, but the following definitions can be helpful for understanding the basics when shopping for auto insurance: Rotational force. An insured individual or a beneficiary who receives a loss payment from an insurer. If you plan to start a new policy or renew your current policy with a different carrier or agency, it is important to review and understand the policy differences behind individual quotes from multiple carriers. www.bls.gov. The cost of repairing or replacing damaged property with property of the same kind and quality, less depreciation (i.e., in the same physical condition as the original property prior to damage). The purchase price and/or the car payments are just the most obvious of costs. Collision and Comprehensive - Collision coverage pays to repair or replace your car Collision coverage pays to repair or replace your car no matter who or what caused the accident. Please note that there is … Often expressed in the form $100/$300/$100, with the amounts referring to thousands of dollars. Insurance plans can differ in which providers you can see and how much you have to pay. Bodily Injury Liability — This covers costs associated with injuries and death that you or another driver causes while driving your car. Record of moving violations and license status. Third-party Liability.This refers to the coverage provided by the insurance company to pay out liability claims against you. This website does not include all of the products and services available nor all of the companies that offer them.950 Tower Ln, Suite 600, Foster City 94404, 950 Tower Ln, Suite 600, Foster City 94404. The section of an insurance contract containing such information as the name, description, and location of insured property; the name and address of the policholders; the period for which the policy is in force; premiums payable; and the amount of coverage. Auto insurance policy periods begin and end at 12:01 am in the local time zone. It is important to identify these unique features in any policy comparison, otherwise a lower price may come at a much higher cost when you have to file a claim for loss or damages in the future. Click here to zoom in. Rotational force. *FREE* shipping on qualifying offers. Other terms, conditions and exclusions apply. A piece of paper that summarizes the most important pieces of information of a policy. Liability for damages even though fault or negligence cannot be proven. Briefly learn about the four basic coverages included in a standard personal auto policy. This includes property damage and inj… This is an example of a typical declaration page, … Insurance for Dummies [Hungelmann, Jack] on Amazon.com. This is in contrast to a split limit policy that has separate limits for bodily injury per person, bodily injury per accident, and property damage per accident. Insurance.com is not affiliated with any state or government agency. Select the first letter of the word or term to locate a definition and brief description. We've curated a list of P&C insurance terms and definitions - to help you better understand the often confusing legal language of insurance. Health insurance, car insurance, and life insurance are a part of everyday life. • Act of God: A flood, earthquake or other non preventable accident resulting from natural causes that occur without any human intervention. Author’s Note: Leasing accounts for a hefty 25% of new-car transactions today, mainly because the monthly payments are much lower than they’d be for a purchase. Glossary of Insurance Terms That Are Good To Know Here is an insurance glossary or list of travel insurance terms that you need to know when searching for a policy. By Jack Hungelmann . In the event of a total loss, the insurance company makes payment to the Loss Payee first. This page provides a glossary of insurance terms and definitions that are commonly used in the insurance business. Permissions beyond the scope of this license may be available at http://www.EINSURANCE.com/creativecommons under terms and conditions which establish fair use and ethical business pratices in accoradance with EINSURANCE. • Accident: An event or occurrence which is unforeseen and unintended. Absolute Liability. Torque is measured in pounds/foot. Our insurance terms glossary is divided alphabetically by insurance terms in a quick reference guide to assist understanding the language commonly used by insurance companies. Includes information such as date of loss, type of loss and amounts paid, and vehicle description. Industries. Deductible. The insurance agents are supposed to explain these terms to you and they will do that as well. If there is any conflict between these definitions and the provisions of the applicable insurance policy, the terms of … Insurance For Dummies Cheat Sheet. If there is a covered accident, collision coverage will pay for the repairs to your … Claims history database created by ChoicePoint. Automobile Insurance Terminology. March 08, 2018 Understanding key health insurance terms. An insurance policy that helps protect company vehicles or vehicles used for work. Property And Casualty Insurance Glossary. Time period during which an insurance policy is in force. 2. This glossary provides insurance terms definition and explanation commonly used in insurance business world. Use features like bookmarks, note taking and highlighting while reading Insurance for Dummies. Lower policy premiums may be the result of decreased payout benefits, higher deductibles, or maximum damages allowed. Nearly every state requires car owners to carry the following auto liability coverage: 1. Is coverage for injuries that you cause to others that you become legally liable … Misrepresentation Written or verbal misstatement of a material fact involved in the contract on which the insurer relies. Homeowners Insurance Glossary of Terms. Compensation may impact where they appear, including the order in which they appear. A statement added to an insurance policy that alters, deletes or adds coverage, terms or provisions of the policy. It can sometimes also cover your passengers and/or other types of expenses. 1. © Copyright - EINSURANCE - All rights reserved by E-Insure Services, Inc. Creative Commons Attribution-No Derivative Works 3.0 United States License, http://www.EINSURANCE.com/creativecommons, Chartered Property and Casualty Underwriter, Directors’ and Officers’ Liability Insurance, Insurance Considerations for Domestic Partners, Independent Insurance Agents & Brokers of America. Comprehensive pays to repair or replace your car if it's stolen or damaged as a result of a storm or other natural event. If you are going to get a car, understanding car insurance basics is vital. Sample declaration page. (2010). Comprehensive coverage pays to repair your vehicle, subject to a separate deductible. We've curated a list of advanced and basic insurance terms and their definitions to better help you understand the often confusing world of insurance. Split limit policies have three separate amounts for liability payment limits: one for bodily injury per person, one for bodily injury per accident, and one for property damage per accident, usually in that order. New terms will be added to the glossary over time. To gain insight into your company’s insurance policy, it’s helpful to have a grasp of basic business insurance terms. Every industry has its own jargon, and the property and casualty insurance business is no exception. Please read your official policy for full details about coverages. Insurance for Dummies Certain … Glossary of Commercial Insurance Terms Commercial insurance is divided into two main categories: property insurance and casualty insurance. One of the key decisions in deciding what car to buy is assessing how much all the other costs are that come with ownership. Also know as a "dec page" or "dec sheet.". Comprehensive: In the event of hail damage or a tree limb falling on your car (risks not involving an automobile collision), this coverage insures you. Ask Customer Service for assistance. Copyright © 2020 Insurance.com. So, if your deductible was $2,500, you’d pay for half of the $5,000 worth of damage first, then insurance would cover the rest. Based on a work at www.EINSURANCE.com. Collision: If you’re in an automobile accident, regardless of who is at fault, collision insurance provides protection to replace or repair your vehicle, subject to a deductible. EINSURANCE Glossary by E-Insure Services, Inc. is licensed under a Creative Commons Attribution-No Derivative Works 3.0 United States License. Car servicing customer satisfaction survey results. These definitions do not alter or modify the terms of any insurance contract. Commercial auto insurance Employment practices liability insurance Directors & officers insurance View all policies. Insurance companies can access your claims information when underwriting or rating a policy. No insurance website could be complete without offering and index of insurance terms and definitions. Insurance for Dummies - Kindle edition by Hungelmann, Jack. But most folks don’t end up knowing if their lease deals are good or bad, and they typically can’t explain what they’re paying for or how their payments were […] Combined single limit (CSL) auto insurance policies have a single amount for liability payment limits for both property damage and bodily injury. The term "property insurance" includes many lines of available insurance. All Rights Reserved. Some states only record 75 percent of incidents on an average MVR. The amount your business will need to pay before the insurance policy covers the remaining balance. Liability, as the word implies, pays for damages for which you are found liable. Since the invention of the first car with an internal combustion hydrogen engine in 1807, automotive terminology has confused those not “in the know”. Download it once and read it on your Kindle device, PC, phones or tablets. According to the Insurance Information Institute, consumers spend an average of $866.31 on car insurance annually. Auto Insurance Glossary of Terms. PDF download: DEFINITIONS OF HEALTH INSURANCE TERMS. If you feel like you need to take a foreign language course to "speak insurance" don't worry, you're not alone! We’ve listed the most common car terms and their meanings in order from most important to least important. Policy documents contain a number of insurance terms because they typically define the limitations of risk and liability on the insured and any exclusions of coverage. This is the amount you’ll have to cover before insurance pays a cent. Medical Insurance Terminology For Dummies. Property Damage Liability — This coverage will reimburse others for damage that you or another driver operating your car causes to another vehicle or other property, such as a fence, building or utility pole. Car Insurance Terms & Definitions for Dummies. Property insurance provides coverage for property that is stolen, damaged, or destroyed by a covered peril. Dictionary of Insurance Terms -A- • Absolute Liability: Liability for damages even though fault or negligence cannot be proven. Car servicing customer satisfaction survey results. A glossary of auto insurance terms can really help you understand your policy as you deal with a claim. 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