Vehicle Insurance 06

Question 1

1. DECLARATIONS

Answer 1

The part of your policy that includes:

a. your name and address
b. the property that is being insured, its location and description
c. the policy period (duration): the amount of insurance coverage
d. and the applicable premiums

Question 2

2. DEDUCTIBLE

Answer 2

The portion of a claim you pay out of pocket. Choosing a higher deductible will lower your insurance premium

Question 3

3. DEFENSIVE DRIVER DISCOUNT

Answer 3

Certain drivers (usu over 50) who have voluntarily taken a defensive driving course may qualify for this discount on their auto insurance premiums.

Question 4

4. DEPRECIATION

Answer 4

The decrease of value any property due to wear, tear, and time. Generally, depreciation is not an insurable loss.

Question 5

5. DICOUNT

Answer 5

A reduction in your premium if you or your car meet certain conditions that are likely to reduce the insurer’s losses or expenses, such as auto theft devices and use of seat belts.

Question 6

6. ENDORSEMENT

Answer 6

An addition to the basic policy contract. An endorsement adds to the policy contract, and AMENDMENT alters it.

Question 7

7. EXCLUSION

Answer 7

Restriction in your insurance policy that limits and may exclude coverage for certain perils, persons, property, or locations.

Question 8

8. EXPIRATION DATE

Answer 8

This date, found in your DECLARATIONS page, indicates when your policy coverage runs out. Your renewal policy will start on this date.