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Cancellation
The termination of an insurance policy before its normal expiration date.
Total Loss
An insurance company declares a vehicle a total loss when a claim exceeds the full value of the vehicle. Insurance companies typically take possession and obtain the title of such vehicles.
Deductible
The amount of the loss which the insured is responsible to pay before benefits from the insurance policy are payable.
Insured
The person(s) entitled to coverage in case of an accident or loss.
Replacement Cost
Replacement cost is the cost of replacing lost or damaged property with new property of like kind and quality, at current market prices.
Subrogation
The process in which an insurance company, after paying a loss to its insured, recovers the amount of the loss for damages (plus the insured's deductible) from the legally liable party.
Venue
The specific county, city or geographical area in which a court has jurisdiction
Premium Finance Company
A lending institution that finances insurance premiums for a fee.
Collision
Pays for damage to your car caused by a collision with another vehicle or with any other object, regardless who was at fault.
Claim
Notice to an insurer of a loss that under the terms and conditions of a policy may be covered.
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