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Comparative Negligence
The percentage of fault shared by each driver in an accident in which both contribute to causing the collision.
Gap Insurance
Insurance that pays the difference between the actual cash value of a vehicle and the amount still to be paid on the loan. Some gap policies may also cover the amount of the deductible.
Exclusion
A contractual provision in an insurance policy that denies coverage for certain perils, persons, property, or locations.
Private Passenger Automobile
Four-wheeled motor vehicles of the private passenger, station wagon, or van type. Private passenger automobiles are designed for use on public highways and subject to motor vehicle registration.
Commissioner of Insurance
The title of the head of most state insurance departments. In some states, the Director or Superintendent of Insurance is used instead.
Comprehensive Coverage
Pays for damage to your car caused by reason other than collision, such as fire, theft, windstorm, flood, etc.
Underinsured Motorist Coverage
Pays for bodily injury or wrongful death caused by an underinsured motor vehicle (that is, a vehicle which is insured, but at an amount that is less than your uninsured motorist bodily injury (UMBI) limits).
Limits
The maximum amount of benefits the insurance company agrees to pay in the event of a loss.
Producer
A term applied to an agent, solicitor or other person who sells insurance.
Salvage
Property taken over by an insurer to reduce its loss.
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