Accident Terms and Definitions

Comparative Negligence
The percentage of fault shared by each driver in an accident in which both contribute to causing the collision.

Loss Due To Fire Title
The vehicle sustained major damage due to fire. In most states, fire damage titles are issued when the cost of repairing the vehicle for safe operation exceeds its fair market value.

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

Commission
That portion of the premium paid to the agent as compensation for his or her services.

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

Private Passenger Automobile
Four-wheeled motor vehicles of the private passenger, station wagon, or van type. Private passenger automobiles are designed for use on public highways and subject to motor vehicle registration.

Hit and Run
An accident caused by someone who does not stop to assist or provide the required and necessary information.

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.

Negligence
The absence of ordinary care.

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