Accident Terms and Definitions

Underinsured Motorist Coverage
Pays for bodily injury or wrongful death caused by an underinsured motor vehicle (that is, a vehicle which is insured, but at an amount that is less than your uninsured motorist bodily injury (UMBI) limits).

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.

Cancellation
The termination of an insurance policy before its normal expiration date.

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

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

Hearsay
Evidence based on what the witness has heard someone else say, rather than what the witness has personally experienced or observed.

Insured
The person(s) entitled to coverage in case of an accident or loss.

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

Scrapped
Vehicles that have been dismantled and/or crushed and should not return to the road.

Producer
A term applied to an agent, solicitor or other person who sells insurance.