Accident Terms and Definitions

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.

Venue
The specific county, city or geographical area in which a court has jurisdiction

Medical Payments Coverage
Covers the medical costs (up to the specified limit you choose) resulting from an auto accident for you, your family, and others in your car. It pays regardless of fault.

Deductible
The amount of the loss which the insured is responsible to pay before benefits from the insurance policy are payable.

Premium Finance Company
A lending institution that finances insurance premiums for a fee.

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.

Surcharge
An extra charge applied to the premium by the insurer, usually for at fault accidents or moving violations.

Claim
Notice to an insurer of a loss that under the terms and conditions of a policy may be covered.

Binder
A temporary or preliminary agreement which provides coverage until a policy can be issued/delivered.

Collision
Pays for damage to your car caused by a collision with another vehicle or with any other object, regardless who was at fault.