Even if you do have a pretty good handle on the details of your automobile coverage, trying to make sense of the actual policy document can be a different ballgame altogether.
The contents of your insurance policy
Your automobile insurance policy is a binding legal contract.
In most personal auto policy documents, some of these parts will be combined. But they'll all be there. Here's what each section means to you, the insured:
This section will likely be the first thing in your auto insurance policy, and it's almost always its own section. Unlike the rest of your policy, it will have been prepared especially for you.
This section is the centerpiece of the personal auto policy. It outlines exactly what the insurance company promises to provide in return for the payment of your premium.
The type and extent of each coverage you've purchased will be described in detail here. This section will also outline exactly who is covered under each provision. It's a long and complicated section, but it's probably the most important part of your auto insurance policy.
Want to guess what this section's all about? Yep. All annoying insurance jargon will be clarified here.
Sometimes this section is simply written into the insuring agreement. But in either case, you can be sure that every relevant term will be narrowly defined, so as to cut down on the possibility of a misunderstanding between the you and the insurance company.
This is an important section, because it lets you know what, when and who won't be covered by your policy. The insurance policy exclusions section is really just a list of all possible circumstances that would free the insurer from the responsibility of paying a claim.
An example: most auto insurance contain an exclusion that exempts the insurer from having to pay in the case of intentionally caused damage or injury. (We hope that never happens!) Make sure you understand the exclusions, because you don't want to be caught relying on some kind of coverage that you don't actually have.
This will become a very important section should you ever be involved in an accident. It lists your duties and responsibilities as the insured in the event of a claim situation.
This part of an auto insurance policy usually includes guidelines for contacting the insurance company, obtaining a police report, and filing a claim. Information on auto insurance policy cancellation will be outlined here, too.
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This wrebsite provides general information for educational purposes only and is not intended to be legal advice. We make no guarantees as to the validity of the information presented. Your particular facts and circumstances, and changes in the law, must be considered when applying insurance law. You should always consult with a competent auto insurance professional licensed in your state with respect to your particular situation.