Car Insurance Quotes Key Terms

Put yourself in the driver's seat by knowing car insurance quotes key terms

Whether you're a first-timer looking for a quote to secure car insurance, you've been through the process a number of times or your business requires that you keep up with the insurance market, first understand car insurance-related terminology to find the insurance or information your company needs. The words that follow are some key terms you should know to avoid hitting roadblocks as you set out to obtain car insurance quotes.

 

Premium

A premium is simply the amount of money you pay for insurance coverage. The premium is typically paid either annually or semiannually.
Try: Read the information-packed article on car insurance premiums and factors that affect them at CarInsurance.com.

Deductible

All car insurance policies have a deductible. The deductible is the amount of money that you are responsible for paying before your car insurance kicks in. Deductible amounts vary, but they typically range from $100-$1,000 per incident.
Try: You can find an informative, easy-to-read article on car insurance deductibles at Christianet.

Collision coverage

This type of coverage pays for the damage to your insured vehicle if it hits another vehicle or object, is hit by another vehicle or object or if the vehicle overturns.
Try: It's a good idea to read the blog about collision coverage at Michael James on Money for a better understanding of the coverage and why you might or might not need it.

Comprehensive coverage

Comprehensive coverage, as its name implies, is the element of car insurance that covers anything that happens to your vehicle other than a collision. Those things could include natural disasters such as hurricanes and floods, theft and vandalism.
Try: Nationwide offers a brief educational description of what comprehensive coverage is and what it covers.

Uninsured motorist coverage

This coverage is designed to pay for your injuries or property damage caused by a driver who has no insurance or, in some cases, motorists who don't have enough insurance coverage to pay your claim.
Try: There's a great article at Insurance.com that details the whats and whys of uninsured and underinsured motorist coverage.

Personal injury protection

Personal injury protection (PIP) is a type of coverage designed to pay for medical treatment, lost wages or other expenses related to the accident-regardless of who caused it.
Try: Take a look at the definition and description of personal injury protection at Auto Insurance Remedy.

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