Auto Insurance Terms

In other words you want to be sure that the quotes you get are for identical or at least very similar auto insurance policies.

Auto insurance terms. Basic auto insurance terms. Car insurance deductible a car insurance deductible is the amount of money you pay out of pocket before the insurance company covers the remainder if you re involved in a covered loss. Property damage liability coverage part of a standard auto insurance policy that covers you up to the policy limit for losses that result when you damage or destroy someone else s personal property. Updated on monday february 12 2018 by steve bowen.

If you want to pay the lowest rates and have the right amount and types of auto insurance coverage you need to know these commonly used words. The payment required for an insurance policy to remain in force. 10 common car insurance terms. A policyholder s request for reimbursement from an insurance company for a loss of property.

Although still used today to insure substandard risks two wheel 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. Once you have a better idea of the type of coverage you re looking for in a policy this will be easy. When comparing car insurance quotes it helps to compare apples to apples. It can also help you compare car insurance rates accurately as you re shopping for car.

An insurance company can only cancel an insurance policy for reasons stated in the policy and permitted under the law of the state in which the policyholder resides. Auto insurance premiums are quoted for either 6 month or annual policy periods.