Key Terms Explained

AUTO INSURANCE 101

AUTO INSURANCE 101

Key Terms Explained

Premium: Your payment for coverage (monthly/annually).
Deductible: Amount paid out-of-pocket before insurance kicks in.
Claim: Request for insurer payment after a covered incident.
Exclusion: Situations not covered by your policy.
Rider: Add-on for extra coverage (e.g., custom parts).

Types Of Coverage

Legal Requirement

Most states mandate minimum liability coverage.

Financial Safety Net

Shields savings from costly repairs or lawsuits.

Peace of Mind

Drive confidently knowing you’re protected.

AUTO INSURANCE 101

Saving Tips

Ask About Discounts: Safe driver, multi-policy, good student, or anti-theft device discounts.
Bundle Policies: Combine auto with home/renters insurance for savings.
Raise Your Deductible: Lower premiums with a higher out-of-pocket deductible.
Maintain Good Credit: Improves rates where credit scoring is used.
Compare Quotes: Regularly shop around for competitive pricing.
Usage-Based Programs: Opt-in programs reward safe driving habits.

Stay Protected and Proactive

Life changes? Update your policy! Moving, buying a new car, or adding a driver can affect your needs. Regular reviews ensure optimal coverage.