Getting the best out of your insurance policy entails understanding each part of it. The document is a guide to the coverage and exceptions in insurance. Here are the typical sections included in the auto insurance policy.
Insurance Declarations Page
This page is also called the 'deck page' of the document. You will find the name of the auto owner and the duration of coverage for the vehicle. There is an overview of the primary coverage and limits of the coverage, like physical damage to the engine.
The definitions section lists the significance of the terms included in the auto insurance policy. This section aims to provide clarification to misunderstood words and phrases, such as "deductible" and "motor vehicle."
Coverages or General Provisions
This section is arguably the most crucial part of the document. You will know the specific damages and conditions covered by auto insurance. The compliance of the insurer and policyholder is necessary before legal binding takes place.
This part of the document is essential as well. You will read about the company's limits on providing insurance. Often, the extent of damage and cause of loss are common factors affecting the limit of coverage.
This part of the document expounds on the duties of the insurer and the auto owner. There is information about the transfer of responsibilities or rights, cancellation of the policy, and methods of payment in this section. The termination of the auto insurance policy for 60 days after its initiation unless these situations occur:
Limits and Special Limits
This section specifies the monetary equivalence of the particular damages incurred. The company sets a limited percentage or ceiling money price that is only a part of the total loss.
Medical Payments or Personal Injury Protection
This part is a type of coverage that states the security of the insured, passengers, and family members who become injured or dead during the incident. The company compensates within three years from the date of the incident.
This portion of the auto insurance document displays an additional premium. Some customers change their insurance plan because of the available endorsements.
Your knowledge of the sections of the policy leads to better communication with the insurer. It also increases your confidence in the insurance company.
At Insurance Advisor Network, we do our best in making sure that our clients are well-protected with affordable and comprehensive policies. We make sure to go the extra mile to help you with your needs. To learn more about how we can help you, please contact our agency at (918) 528-6226 or Click Here to request a free quote.