Auto Insurance Terms

Remember those vocabulary words that you had to learn in school? You might have thought that they disappeared for good. But, alas, they are back and this time they deal with auto insurance online. Your auto insurance process must work out for you all the time and part of the way you can do that is by knowing some key terms. Read up on the following so you don't make any insurance mistakes.

Those Terms You Must Know

• High risk driver - The auto insurance company will probably label you a high risk driver if you have an abundance of tickets and accidents on your record. They want to know that you are someone to watch out for, and your insurance will be a bit higher then others. This is because they look at you as a risk they are taking on.
• Collision - This is the part of the auto insurance that will kick in when you get in an accident. Your repairs will be covered and it will help you to contact the other driver's insurance to figure out who will pay for most of the repairs, and who was at fault.
• Comprehensive - If you hit something that is not a vehicle, then you will be covered by this part of the plan. This will also help you if someone breaks into your car. Often times this part of the policy will also come with some form of deductible that you will have to pay.
• PIP - This is personal injury protection. You might lose some of your income because of injuries you have received in an accident. This part of the policy will help you regain some of those losses. It is very helpful with lost wages as well as medical expenses.
• No fault - This is a rare option that not many states have right now. If you have this option then you will be paid for injuries no matter who is at fault for the accident. Check to see if you qualify because it can be something that is very helpful to have.