Tag Archive for: policy

Decode Your Auto Insurance Jargon with This Glossary

Decode Your Auto Insurance Jargon

Confused by insurance lingo? These terms help you to understand your auto insurance policy.

Do you know the difference between comprehensive and collision coverage? Perhaps you’re lost on liability and limits. Either way, a policy full of terminology is going to look like nonsense to the average consumer. While most insurance agents are happy to fill in the gaps and decode jargon for those looking for a policy, it’s wise to familiarize yourself with industry jargon before securing an auto insurance policy.

Here are the common terms that you need to know:

Actual Cash Value (ACV) – The value of your property, based on the current cost to replace it, minus depreciation.

Bodily Injury Liability (BI) – When an insured person is legally liable for an accident, BI coverage pays for injuries or death to people involved in the accident other than the insured driver.

Collision Coverage – Damage to your car when you’re involved in an accident with a vehicle or someone’s property. Insurance will pay for the repair or up to the actual cash value of your vehicle, minus your deductible.

Comprehensive Coverage – This is damage to or loss of your vehicle from causes other than an accident such as hail, vandalism, flood, fire, and theft.

Deductible – A pre-determined amount that the insured will pay in a claim before the insurance steps in to handle the costs.

Liability Coverage – Coverage for injuries to the other party and damages to the other vehicle resulting from an accident that you were at fault for.

Limits – An insurance coverage limit is selected by you when purchasing a policy. It is a pre-arranged amount that describes the maximum an insurance company will pay for damage or injuries for a covered loss.

Medical Payments (MedPay) Coverage – MedPay is an optional coverage that pays for necessary medical and funeral expenses for covered people, as a result of an auto accident.

Premium – A premium is the amount of money paid to an insurance company in return for coverage. Depending on how you pay, you may have a monthly or annual premium.

Uninsured/Underinsured Motorist Coverage – If you’re involved in an accident with a driver who has no insurance coverage or too little to cover the costs of the expensive accident, this coverage kicks in to help with the remaining costs for your medical bills and car repair costs.

Need help finding the right price and cover for your needs? Visit Chambers & Company Insurance Brokers for a quality auto insurance policy today.

How Auto Insurance Can Help in the Aftermath of an Accident

auto insurance

Whether you brace for the collision ahead or are tapped from the behind, here’s how your auto insurance can help.

Any car accident or crash can leave you feeling a bit flustered. After a crash, you don’t want to be fumbling about trying to Google what to do or forget a critical step in the process. Fortunately, this guide can help make the moments after an accident less stressful as well as making the claims process that much smoother. Do you know how to handle a car accident and file a claim for your auto insurance?

Move to a safe area. If you can, pull over to the side of the road, out of the flow of ongoing traffic. If moving your car isn’t possible, turn on your hazard lights to warn other drivers that your vehicle is stopped. Make sure that everyone is okay in both vehicles, and call the police pronto.

After an accident, collect information. From the moment you collide with another vehicle, person, or property, keep good records. Take note of the time, the other driver’s name, location, license number, insurance company, and contact information. Once the police have arrived and taken statements, ask for a copy and write down the officer’s names.

Contact your insurance company. Let your insurance company know that you were in an accident and provide all the specifics of the crash. If you took photos or a video of the scene, send them over to your insurance agent as they may help during the claims process.

Work with the claims adjustor. When filing a claim, many insurers will send an adjuster out to inspect the damage to your vehicle. After this, you’ll be sent a settlement offer, you’ll pay the deductible, and have your insurance kick in to cover the rest.   

Being involved in a crash is never ideal, especially if you have to worry about financial hardships. Minimize this risk by knowing how to handle an accident and ensuring that you have sufficient coverage on your auto insurance. To determine the right amount of protection that best suits your vehicle, needs, and budget, contact one of our helpful agents at Chambers & Company Insurance Brokers today!