Chapter 9 +10

Question 1

Described Automobile

Answer 1

The vehicle identified in an insurance policy.

Question 2

Newly Acquired Automobile

Answer 2

An automobile or a trailer an insured newly owns that is not covered by any other insurance policy. It must be a replacement or an additional automobile (not a rental or one belonging to a household member); the insured will be covered automatically for a specified number of days after the delivery for the same coverage under the existing policy if the insurer is informed of the new automobile and is paid the required premium.

Question 3

Other Automobile

Answer 3

A non owned automobile; that is, not owned by anyone in the household and does not have insurance coverage.

Question 4

Certificate Of Insurance

Answer 4

Written document stating that insurance is in effect. Includes general statement of policy’s coverage.

Question 5

Gross Vehicle Weight Rating (GVWR)

Answer 5

The maximum operating weight/mass of a vehicle as specified by the manufacturer, including the vehicle’s chassis, engine, engine fluids, fuel, accessories, driver, passengers, and cargo carried, but excluding that of any trailers.

Question 6

Vicarious Liability

Answer 6

A situation in which one party, is held responsible for the unlawful actions of a third party. Vicarious liability can arise in situations where one part is suppose to be responsible for (and have control over) a third party, and is negligent in carrying out that responsibility and exercising that control.

Question 7

Ridesharing

Answer 7

An arrangement set up by means of a website or mobile app in which a passenger travels in a private vehicle driven by its owner, for free or for a fee.

Question 8

Carsharing

Answer 8

An arrangement set up by means of a website or mobile app that links renters and car owners. Sometimes called vehicle sharing or peer to peer ca rental services.

Question 9

Lease

Answer 9

A contract by which one party, called the lessor, conveys to another, called the lessee, real estate, equipment, or facilities for a specified term and for a specified rent.

Question 10

Aggregate

Answer 10

1. To bring together.
2. The total sum, mass, or assemblage; overall total.

Question 11

Passenger Hazard

Answer 11

The exposure for injury or death to occupants of public automobiles.

Question 12

Underwriter

Answer 12

1. The insurance company or group that underwrites or insures a particular risk.
2. The individual within an insurance company whose responsibility it is to accept or reject business in the particular line in which they specialize and, in this way, choose the risks their principals are prepared to underwrite.

Question 13

Premium

Answer 13

The price of insurance protection for a specified risk for a specified period of time.