To help you have a clear understanding of Insurance: You have to buy it, might as well understand it right?

At fault: The degree to which you caused or contributed to an accident, or are “at fault,” and determines whose auto insurance company pays what portion of the damages. The method by which this is determined varies from state to state. A representative of an auto insurance company who investigates and settles claims to ensure that all parties – you, your auto insurance company, and anyone else involved – receive fair compensation. When you suffer a loss that’s covered by your insurance, such as an automobile accident, you submit a request to your auto insurance company to pay or reimburse you for expenses, damages and other financial obligations. By definition, that request is called a claim. If you are at fault for an automobile accident, bodily injury coverage on an auto insurance policy pays the medical expenses and additional damages for which you are liable for other individuals injured in the accident. The degree to which you caused or contributed to an accident, or are “at fault,” and determines whose auto insurance company pays what portion of the damages. The method by which this is determined varies from state to state. A representative of an auto insurance company who investigates and settles claims to ensure that all parties – you, your auto insurance company, and anyone else involved – receive fair compensation. When you suffer a loss that’s covered by your insurance, such as an automobile accident, you submit a request to your auto insurance company to pay or reimburse you for expenses, damages and other financial obligations. By definition, that request is called a claim.

Deductible: Any damage to yourself, your vehicle, or other people or property that is covered under your insurance policy. Coverage that pays for damages to your vehicle resulting from a covered loss other than a collision, such as fire, theft, vandalism or contact with persons, animals, birds or falling objects.
Comprehensive: Coverage that pays for damages to your vehicle resulting from a covered loss other than a collision, such as fire, theft, vandalism or contact with persons, animals, birds or falling objects.

Collision: Coverage that pays for physical damage to your vehicle caused by rolling over or a collision with another vehicle or object, such as a building, fence or telephone pole.

Independent Agency: An insurance Agent or agency not directly employed by an insurance company. By definition, independent Agents may represent multiple insurance companies and can help you find the best fit for your personal auto insurance needs.

Motor Vehicle Record: A state record of licensing status, violations, suspensions, and other infractions you’ve had over the last several years. The MVR is one of many factors used by your auto insurance company to fairly determine your premium, based on the probability that you’ll have a claim in the future. Coverage that pays for reasonable medical expenses or death benefits to anyone covered under your policy in the event of an auto accident, regardless of fault.

Premium: The amount you pay for your insurance coverage; can be paid monthly, quarterly, yearly or according to different payment plans that you select. A state record of licensing status, violations, suspensions, and other infractions you’ve had over the last several years. The MVR is one of many factors used by your auto insurance company to fairly determine your premium, based on the probability that you’ll have a claim in the future.