Auto Insurance Term » Car Insurance

Short Term Auto Insurance – A Day Cover!

admin — Wed, 30 Dec 2009 19:04:08 +0000

• Test drive a vehicle

• Shifting of your house – a friend drives your family members to the new place

• Trip to attend a conference or meeting

• Car under repair and you need friend’s car on emergency

• Share an extra driver while on long drive

Short term auto insurance protects a temporary driver, for a short period of time, roughly 1 to 28 days. In case, you have to go on a long drive and can’t drive it alone, you can have your friend or spouse as an extra driver. Add him on to your current insurance policy under a day’s cover.

On an emergency situation, where in you need to attend a conference to your neighbouring town and your car is under repair, you can opt for one day cover or a temporary cover. Always check other insurance companies and compare the different quotes. Opt for an insurance provider with cheaper premiums. Availing a no obligation quote online helps you compare your quotes online. Car insurance experts can also help you get the required information on short term insurance policy. Protect your self from any untoward incident. Secure your life with a suitable cover, pay lesser insurance premiums.

Complete package with a comprehensive cover.

No obligation quote – compare online

Get your insurance for car in a short time

Insurance plans for family, big or small business

An affordable insurance cover

Even a family member or close friend can be covered if he or she drives your vehicle for a day or two.

Need for short insurance cover arises when you consider travelling short distance. An additional driver needs to be covered fro an emergency situation and online option gives you the scope of availing insurance immediately. Hence, short term auto insurance covers you for a short period. If you wish to take your friend’s car, and still get protected, you can do so by availing auto loan one day insurance.

By: Kirthy Shetty

Auto Insurance Terms Explained

admin — Mon, 14 Dec 2009 05:22:26 +0000

The typical insurance policy will use terms of language that are not used in regular situations. These terms may actually be unique to the auto insurance industry and used exclusively. If you want to be in a knowledgeable position where it comes to your insurance coverage, you should have, at least, some grasp of the auto insurance lingo you might encounter.

There are a few basic things you should understand about car insurance. If you do not have insurance you need to realize that you lack any sort of protection if you happen to get in an accident. Without insurance protection, you can be held legally libel and subject to lawsuits. If sued, you may have to pay for any damages sustained in the accident if it was your fault. On the other hand, if the accident isn’t your fault, you may still have to pay for your medical bills, those of your passengers, as well as repairs or replacement of your automobile. These consequences underscore the need for auto insurance coverage. This fact, of course, explains why most states make some level of auto insurance coverage mandatory.

There are really only five basic terms you might want to understand when reading a policy or discussing it with an agent. Those terms are liability coverage, physical damage coverage, medical coverage, emergency assistance coverage, and unattached equipment coverage.

For many car owners, the above terms might be somewhat recognizable. They may have come up in early conversations about insurance. Other may be less familiar to you. Liability, medical, and physical damage coverage are considered more recognizable to car owners who know a little about insurance or have discussed it in brief. Meanwhile, emergency assistance and unattached equipment coverage are mentioned less frequently and remain more obscure to the average insurance policyholder. They are not typically considered as important as other types of coverage. Still, they do offer some great advantages if added to your policy.

Above all terms, liability will probably be the most familiar to you since it is the most basic coverage. Liability coverage is usually the minimum amount of insurance you can have. It protects the driver from any costs for damages sustained in a collision. When you have liability coverage, the point is to have protection from any fees incurred when damages are done. If you do not have sufficient coverage it may mean you will pay the victim’s damages or injuries yourself. Physical damage insurance is simply that coverage you used to pay for repairs or a to replace a damaged vehicle. Of course, medical coverage is meant to cover not only you but passengers as well by paying for medical expenses.

The last auto insurance terms are not essential. If you have emergency assistance coverage, you can access roadside assistance programs. Once emergency assistance coverage is added to your policy, you can feel safer knowing that you can make use of towing and other services when your vehicle has a problem. Unattached equipment coverage deals with those aspect of your vehicle that may have been added later, after purchase that are not permanent parts of the automobile. They may be expensive additions like fancy lighting, customizations, or sound systems; all may be eligible for protection under this last form of coverage.

If have a working knowledge of these types of terms, you will be able to approach the topic of auto insurance with far more confidence than before. You will understand what each means so you can better evaluate plans to see if they are fitting your insuring needs.

By: Alisdair Cosgrove

Terms Relating to Car Insurance

admin — Sat, 05 Dec 2009 00:38:32 +0000

The following list of terms are commonly used in the field of car insurance. Being familiar with them will help you understand your minimum lawful requirements when it comes to taking out your annual personal auto insurance policy if you are based in the US. The definitions also relate to auto insurance in general across many countries however, so you may find it useful to take time and check if you are familiar with their meanings.:

Uninsured/Underinsured Motorist This generally represents the level of cover provided for yourself, and relatives and other occupants that may travel in the insured vehicle, in the event that some or all of you sustain bodily injury in an accident in which the driver of another motor vehicle is legally responsible and does not have insurance (uninsured) or does not have enough insurance (underinsured). In the US state of Nevada, for example, state law requires that this cover must be offered by an auto insurance company to the insured (Statutes 687B.145(2)), but does not have to be accepted by the insured ie. it is not part of the mandatory minimum liability cover required under the law of that state. Diminution in Value This refers to the possible reduced value of your car after damage and repair. The rule in general is that a vehicle that has never been in an accident may, in some cases, be considered more valuable than a fully repaired vehicle. If your insurance policy provides for collision or comprehensive coverage under which your vehicle is being repaired, the loss to your vehicle will be measured by the language in the policy, and may not include any diminution in value. For claims against negligent parties’ property damage liability policy, such loss of value may be compensable under some circumstances. Medical Payments This component of your personal car insurance covers the costs of all reasonable and necessary medical expenses, without regard to legal liability, that may result from accidental bodily injury while driving, or being a passenger, in an insured vehicle during an accident or indeed being struck as a pedestrian by a motor vehicle. “MedPay” is generally bought in nominal amounts, such as $1,000, to provide a means for quick payment of minor medical bills without having to deal with the courts or other insurance companies. This cover, like the uninsured/underinsured cover must be offered by the insurance company in most US states for example (eg. Nevada Revised Statutes (NRS) 687B.145(3)), but does not have to be accepted by the insured. Bodily Injury/Property Damage Liability This cover protects you financially if you injure someone else or damage someone else’s property while driving your car. You must be legally liable for the injuries or damages to activate these coverages. Most countries around the world enforce a minimum level of public liability insurance for this very reason ie. it is to protect other people namely from your potential dangerous mistakes. All US states requires that every driver carry some minimum level of liability insurance.

By: Jon James J.

Importance of Car Insurance

admin — Mon, 30 Nov 2009 06:34:49 +0000

Why is car insurance so important? Most older drivers understand the importance of car insurance but some newer drivers may not.

For many newer drivers car insurance is more a pain than a benefit, with the pain part being located in the higher premiums they have to pay. Here are some of the main reasons car insurance is important.

The state in which you live in and drive in probably requires that you carry a certain amount of car insurance on your vehicles. The amount of car insurance that you must carry as a minimum on each vehicle varies from state to state.

States will also mandate what type of car insurance is required. In some states, you only need liability, while other states may require more.

Drivers should understand that in many states if you are pulled over by the authorities and found to be without car insurance you run the risk of having your vehicle impounded on the spot. In some states it is literally illegal for the police to allow you to continue driving once they know you do not have the proper automobile insurance.

In addition to having your vehicle impounded you may also find yourself being charged heavy fees and fines by the courts. Of course, in addition to all these troubles, you may have your driver’s license suspended or revoked for a certain amount of time.

Car insurance protects you from personal liability should you be in an accident. Aside from the legal requirements, this is the main reason you want car insurance. If you are in an accident and you are at fault you can be held personally responsible for the costs of medical bills if a person is injured and major monetary awards if a person is killed. These costs can all but ruin most families.

It can mean selling your home, selling your stocks and bonds, or selling other assets in order to pay the costs. It can also mean years of future payments in the event you cannot pay them all at once, which most people cannot do. Depending on the amount of the rewards, you could spend the rest of your natural life paying them off.

But what about you? What if you are hit by someone who does not have insurance? If you do not have insurance either, chances are good you will be faced with your own medical payments. You can, of course, sue the other person but what if they are destitute and cannot pay? Your own car insurance will usually help with those payments.

In addition, depending on the type of car insurance that you have, your vehicle can be repaired or replaced, thus saving you the out of pocket expense of replacing it yourself.

The last reason for having car insurance has to do with repair of the other vehicle if you hit someone. As you know, vehicle repairs can be very expensive. If you are shown to be at fault in an accident you may be required to pay for the repairs or the replacement of the vehicle that you hit. Again, this is money that has to come out of your pocket.

As an aside to this, you are also responsible for any real property damage that you might cause. For example, if you run into a house and cause a wall to collapse, you would be required to make payment for those repairs. One single accident can all but force you into bankruptcy court if you are not protected by car insurance.

By: Joseph Kenny

Common Auto Insurance Terms – Car Insurance Terms That You Need to Know

admin — Sat, 14 Nov 2009 07:53:14 +0000

Before you start shopping around for auto insurance, you should get a handle on some of the common car insurance terms. In all reality, the more you know about car insurance, the better chance you’ll have at finding the perfect coverage for your vehicle. Sure, you’d love to think that all companies would be upfront and honest with you about what you need and what you don’t need. But come on, what company doesn’t want to make some profit? This is why having the basic knowledge when it comes to car insurance can make all the difference when it comes to your auto coverage. Read on to learn some common auto insurance terms and then see how much money you can save!

Absolute Liability

This is liability without fault, also known as liability without regard to fault or strict liability. You may see this pop up when something considered contrary to public policy happens, even though the event wasn’t intentional.

Liability Insurance

In a nutshell, liability insurance is risk transference. Not only does give you protection against loss that arise from third parties, it covers your legal liability from injures to other people or their property.

Collision Insurance

This type of insurance is optional. Collision insurance provides coverage for the insured’s vehicle, subject to a deductible, that is involved in an accident. Basically, this covers you whether the accident was your fault or not.

Deductible

Also known as excess, this is the amount you agree to pay toward the total amount of an insured loss, whether it is per claim or per accident. Usually a fixed rate, the deductible must be paid before the policy benefits can be applied to a claim.

Uninsured and/or Underinsured Coverage

This type of insurance is great protection for you and your family if you happen to be hit by someone without insurance coverage. Having uninsured or underinsured coverage allows you and your family’s bodily injury to be paid for.

Comprehensive Coverage

Comprehensive insurance covers your vehicle in case of non-collision related incidents such as fire, theft, weather, impact with animals and vandalism.

Gap Insurance

This insurance is good for people who have just purchased a new vehicle. In a nutshell, new cars depreciate right after leaving the dealership lot. Gap insurance covers the difference between what an insurance company says your car’s worth and what you would actually owe on the vehicle.

Gap insurance usually only covers theft and accidents, but that can vary depending on the insurance policy. You can also purchase gap insurance from the dealership. However, you can expect to pay even higher premiums.

Property Damage Coverage

This covers any damage you may cause to another’s vehicle. Basically, if you cause it, you’re covered.

Claim

This is your request for reimbursement concerning a loss covered by your auto insurance policy.

Full Coverage

Actually, full coverage isn’t really what it sounds like. Technically, full coverage is a combination of collision and comprehensive coverage, meaning that your car’s physical damage is covered.

Secondary Driver

Also known as an occasional driver, this person is covered for driving the insured vehicle. However, this coverage does not mean that they’re the primary driver.

Shop Around To Find Cheap Auto Insurance

Familiarizing yourself with the above common car insurance terms will result in you making a wise decision when it comes to your auto coverage. Take your time and shop around before committing to a provider and you will be find the cheapest auto insurance company that will still meet your coverage needs.

The above terms are just the ones most frequently talked about or that affect the majority of drivers on the road. There are more common car insurance terms, but they are mainly state specific. The best way to find out what’s required in your state is by visiting your local DMV’s website.

By: James J. Robinson

Car Insurance Jargon Un-Muddled Part 2

admin — Thu, 12 Nov 2009 08:02:31 +0000

Continuing into the other options available from insurers are the following choices. Be sure to read the small print before committing to any policy as there are always differences between companies, even if they are small.

Pay as you Go insurance:

This type of insurance is a very new concept and is currently not offered by all the insurance companies out there, but is certainly proving to be popular with those who drive rarely or mostly at night. The idea is pretty straight forward – you pay only for when you drive your car! You will have a GPS receiver signal placed within your car which will be able to see where you are driving, what type of road you are on and what time of day it is. So of course if you are driving down the motorway at three at the morning you will be paying less than if you where doing so at five in the afternoon on a Thursday commute home.

Grey Car Import Insurance:

This insurance is for those who wish to drive a car within the United Kingdom that was not intended to be driven here, and has no “equivalent” which is. They are usually very specific or highly unusual road cars, so if you have any concerns that your vehicle may need special insurance be sure you check it out before opting for regular policies – you may not be covered at all!

Short Term / Temporary Car Insurance:

This is ideal for those who have recently passed their driving test and have not taken out a full policy yet. If you have your own car and wish to drive it right away, by taking out short term insurance you are able to drive legally for anytime up to a month. This will allow you to use your car while searching for the perfect policy.

This type of insurance is also great if you have to lend out your car to a friend or co worker. If they take out a policy for the specific amount of time they need to use the vehicle it will not be expensive but will protect your no claims bonus for damage!

By: Jennifer Quirk

Understanding Auto Insurance Jargon

admin — Wed, 04 Nov 2009 02:41:12 +0000

When reading through an auto insurance policy, it can seem almost impossible to understand. This is because there are various words that we do not use in our everyday language. Actually, those words are not really used outside of the insurance industry or outside of a conversation involving insurance. If you don’t have an understanding of those words, then it can seem as if someone is speaking a foreign language to you. That is why you should learn some of the insurance jargon that is thrown around because insurance happens to be a large part of your life.

Without insurance, you do not have any type of protection in case you are in a car accident. If you don’t have protection, then you can be sued. Being sued means you’ll have to pay for any damages sustained in an accident if the accident was your fault. Even if the accident wasn’t your fault, you still have to worry about your medical bills, replacing your car and the medical expenses of anyone in the car with you. This in itself makes it obvious why auto insurance is a necessity. Luckily, states mandate that people must have a minimum amount of auto insurance.

Basic terms

There are really only five basic terms that you need to know when talking about car insurance. Those terms are:

- Liability coverage
- Physical damage coverage
- Medical coverage
- Emergency assistance coverage
- Unattached equipment coverage

A few of these may look a bit familiar to you, but there are a couple of them may not. We frequently hear the terms liability coverage, physical damage coverage, and medical coverage when talking about car insurance and reading our policies. What we don’t hear much of is emergency assistance coverage and unattached equipment coverage. These are, of course, not as important as the other aspects of your coverage, but that does not mean that they should be ignored since they are great add-ons to your policy.

The most common of the terms you will hear is liability coverage. Liability coverage is the part of your policy that covers damages caused by you in the case of an accident. You should always make sure this coverage is enough to cover damages. If not, then you may have to pay an out of pocket expense to the person who was the victim in the crash. Medical coverage covers you and any passengers within your vehicle as a result of a crash. Physical damage coverage will help you repair or replace your vehicle.

As for the two terms that are a bit different, emergency assistance coverage is like a type of roadside assistance. Adding this to your plan provides you with tow service so that you’re not stranded on a highway in unfamiliar territory. Lastly, unattached equipment coverage provides coverage for that equipment that is not a permanent attachment to your car. That may include something such as a satellite radio system. If you have expensive attachments on your car, you want to make sure that you insure those as well so that you don’t have to pay for their replacement or can have those items repaired by your insurance.

Having an understanding

Knowing these terms is the first step in understanding some of the confusing but important terms that you will see and hear. If you don’t understand them, you cannot understand what type of home and car insurance coverage you have or even how it works. Knowing how it works helps you determine if what you have is adequate enough for your particular needs.

By: Amy Nutt