Accident Terms and Definitions

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

Exclusion
A contractual provision in an insurance policy that denies coverage for certain perils, persons, property, or locations.

Broker
A person who for payment of a fee procures insurance on your behalf.

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

Nonrenewal
The termination of an insurance policy at its normal expiration date.

Misdemeanor
Criminal offenses less than felonies; generally those punishable by fine or imprisonment of less than 90 days in a local facility. A gross misdemeanor is a criminal offense for which an adult could be sent to jail for up to one year, pay a fine up to $5,000 or both.

Airbag Deployment
Occurs when the driver, passenger or side airbag has been used or deployed during a crash or other incident.

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

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

Gap Insurance
Insurance that pays the difference between the actual cash value of a vehicle and the amount still to be paid on the loan. Some gap policies may also cover the amount of the deductible.