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Auto insurance basics auto insurance protects against financial loss in the event of an accident. Glossary of insurance terms additional insured a person or organization not automatically included as an insured under an insurance policy that is included or added as an insured under the policy at the request of the named insured. With accident forgiveness not available in ca, ct, and ma on your geico auto insurance policy, your insurance rate wont go up as a result of your first atfault accident actual cash value. Represents the interests of the insured in searching for insurance coverage at the lowest cost and highest benefit to the. Although still used today to insure substandard risks, twowheel motorized vehicles, and commercial autos, the basic auto policy has been primarily replaced by the personal auto policy, which combines both physical damage coverage and liability insurance for claims arising out of the ownership or use of a vehicle. It is a contract between the policyholder and the insurance company. Home consumer information insurance topics automobile auto insurance purchasing planner. Auto insurance terms it only takes a second for a tennessee auto accident to happen, but the effects from the collision can last a lifetime. The language of insurance can be quite complex and confusing. Because insurance laws vary throughout the united states and canada or coverages may not be available in some jurisdictions, the information below may not apply to all situations. By using the planner you will be able to ask your agent or insurance representative more specific questions about what type of coverage is best for you and your family. Consumer glossary national association of insurance.
File and use residential property rates utilize a sys. Nov 01, 2017 collision insurance covers damage to your car caused by an accident. When reading the definitions, please keep in mind that this glossary is provided as a guide only curated from various sources. These glossary terms and definitionsare intended to be educational and may be different from the terms and definitions in your plan. The definitions in this glossary are developed by the naic research and actuarial. The myriad of terms used to describe everything from apples to oranges. The code is a selfregulatory form of regulation, that is, the insurance industry, not the government, is. When bodily injury auto insurance coverage is purchased in split limits, the first limit is the per person limit. The term property insurance includes many lines of available insurance. When auto insurance coverage lapses, it could lead to a higher premium for another new policy, since insurers understand that a driver that has maintained the same coverage is far less likely to make an insurance claim than an individual that has allowed their policy to lapse. If coverage for flood is offered as an additional peril on a property insurance policy, file. Njac subchapter 10 auto physical damage claims regulation pdf salvage title process from nj motor vehicle commission. Pennsylvania insurance department zipcode auto insurance study in october 2016, the pennsylvania insurance department.
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