Accident Terms and Definitions

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.

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

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

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

Comprehensive Coverage
Pays for damage to your car caused by reason other than collision, such as fire, theft, windstorm, flood, etc.

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

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

Salvage
Property taken over by an insurer to reduce its loss.

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.