All posts by admin

Answer Financial Introduces Rate Tracker Price Alerts For Car Insurance
January 9, 2017, No Comments

Rate Tracker is an exclusive benefit for Answer policyholders that puts insurance shopping on autopilot and notifies cus ...

What isn’t covered under renter insurance?
June 26, 2011, No Comments

A standard renters policy doesn’t cover you for earthquakes. You’ll need special coverage for this. Water da ...

What does renter insurance cover?
June 26, 2011, No Comments

Personal property-This coverage is for personal property owned by or used by you and anyone living with you (an insured) ...

Why do I need renter insurance?
June 26, 2011, No Comments

Ask yourself this: If all your clothes, the appliances you own, your TV, stereo, jewelry, computer and that collection o ...

What isn’t covered under standard condo insurance?
June 26, 2011, No Comments

A standard condominium policy doesn’t cover you for earthquakes. You’ll need special coverage for this. Wate ...

Why do I need condo insurance?
June 26, 2011, No Comments

If you’re not certain you need condominium insurance, ask yourself the following questions: How would you restore ...

Do I need earthquake insurance?
June 26, 2011, No Comments

Whether or not you need earthquake insurance is up to you. Earthquake insurance can be expensive, and it does carry a mu ...

Do I need flood insurance?
June 26, 2011, 1 Comment

Whether or not you need flood insurance depends on where you live. Your standard homeowners insurance policy does not co ...

How do I make sure I have the right homeowners coverage?
June 26, 2011, No Comments

The smartest way to make sure you have the right coverage is to take an inventory of your belongings. You’ll want to d ...

When do I need a special endorsement or separate coverage?
June 26, 2011, No Comments

There are certain situations or certain items in your home that have specific limits on the amount for which you would b ...

What’s covered by homeowners insurance?
June 26, 2011, No Comments

There are different types of homeowners insurance policies and as you would expect, they offer different levels of prote ...

What is homeowner’s insurance?
June 26, 2011, Comments Off on What is homeowner’s insurance?

Homeowner’s insurance protects you in case of damage to your dwelling or property, injury to your guests, or event ...

How much renter insurance coverage do I need and what are the limits?
June 26, 2011, No Comments

When determining how much coverage you need, again renters insurance is pretty simple. Make an inventory of all your bel ...

What if I don’t understand some of the insurance terms in my online quote?
June 24, 2011, No Comments

If you’re looking for an auto insurance site that explains auto insurance coverage terms in plain English, you’ve co ...

Can I get auto insurance coverage with my domestic partner?
June 24, 2011, No Comments

Yes, you can. We recognize that relationships come in many forms. If you’re married, in a civil union, or in a registe ...

What if I want to see how different coverage levels affect my online quote?
June 24, 2011, No Comments

We think it’s extremely important for auto insurance consumers to compare all their options before purchasing a policy ...

Who should I share auto insurance coverage with?
June 24, 2011, No Comments

If you share an address with other drivers, it’s important that you all have auto insurance coverage. Whether that oth ...

How much auto insurance coverage do I need?
June 24, 2011, 1 Comment

While the phrase “less is more” may be true when you’re decorating or accessorizing, when it comes to auto ...

Why do insurance companies ask how long I’ve had auto insurance coverage?
June 24, 2011, No Comments

This question may seem strange, but it’s actually quite typical for auto insurance companies to ask drivers how long t ...

Do I need special auto insurance coverage if my auto’s leased or financed?
June 24, 2011, 1 Comment

Most of us are unable to pay for a new car up front so leasing and financing have become common practices. Hence, itR ...

How much auto insurance coverage is required in my state?
June 24, 2011, No Comments

Whether you’re battling traffic on an LA freeway or cruising the back roads of Virginia, you need auto insurance. Just ...

How do I get the most auto insurance coverage for my insurance dollar?
June 24, 2011, 1 Comment

Whether you’re buying groceries or shopping for auto insurance coverage, you always want to get the best value for ...

Why do I need auto insurance coverage?
June 24, 2011, No Comments

It’s the law! Whether you have a perfect driving record or a few violations under your belt, you will need auto insura ...

How do I get auto insurance coverage for more than one car?
June 24, 2011, No Comments

Through Answer Financial, you can insure up to 4 vehicles and/or 4 drivers on one policy. If you have more than four veh ...

Youthful Driver
June 24, 2011, Comments Off on Youthful Driver

One factor insurance companies take into consideration when determining rates is age. A “youthful driver” is ...

Write a Policy
June 24, 2011, Comments Off on Write a Policy

To “write a policy” is insurance lingo for providing insurance.

Waiver of Collision Deductible
June 24, 2011, Comments Off on Waiver of Collision Deductible

This coverage is available in certain states and only if you have Uninsured Motorist Coverage. With this coverage, if an ...

Waiver
June 24, 2011, Comments Off on Waiver

In general, a waiver is the surrendering or giving up of a privilege that is known to exist. For example, a waiver can r ...

Wage Loss
June 24, 2011, Comments Off on Wage Loss

This is coverage provided under First-Party Benefits to reimburse you for lost wages. In most states the amount of wages ...

Void
June 24, 2011, Comments Off on Void

A policy or other contract that has no legal validity is described as void. When an insurance company voids a life insur ...

Vis Major
June 24, 2011, Comments Off on Vis Major

An accident for which no one is responsible is considered an Act of God or Vis Major.

Violation Points
June 24, 2011, Comments Off on Violation Points

Demerits are charged on your driving record for moving violations and accidents. How they are charged varies from state ...

Vehicle Registration Card
June 24, 2011, Comments Off on Vehicle Registration Card

This is a card or document issued by your Department of Motor Vehicles that shows the vehicle that has been registered ( ...

Vehicle Identification Number
June 24, 2011, Comments Off on Vehicle Identification Number

This is a unique number given to a vehicle by the manufacturer that can help the insurance company double-check certain ...

Vandalism
June 24, 2011, Comments Off on Vandalism

This is malicious mischief or willful physical damage to property and its damages are covered by comprehensive.

Valued
June 24, 2011, Comments Off on Valued

This is an agreement by an insurance company to pay a specified amount of money or “agreed value” to, or on ...

Valid Drivers License
June 24, 2011, Comments Off on Valid Drivers License

This is when your driver’s license is in force as opposed to having expired, been suspended or revoked.

Uninsured Motorist Property Damage
June 24, 2011, Comments Off on Uninsured Motorist Property Damage

Shown as UMPD on the policy, this provides for damage to your vehicle in an accident with an uninsured motorist, but onl ...

Uninsured Motorist Collision Deductible Waiver
June 24, 2011, Comments Off on Uninsured Motorist Collision Deductible Waiver

This coverage pays the collision deductible if the insured vehicle is damaged by an uninsured motorist. The vehicle must ...

Uninsured Motorist
June 24, 2011, Comments Off on Uninsured Motorist

This bodily injury coverage pays for injuries, medical costs, rehabilitation, pain and suffering and any funeral costs s ...

Unearned Premium
June 24, 2011, Comments Off on Unearned Premium

The unearned premium is the portion of the written premium that has not been exposed to loss. In other words, if you hav ...

Underwriting
June 24, 2011, Comments Off on Underwriting

This is the process of identifying the risk of a claim by the person insured and classifying his or her potential degree ...

Underwriter
June 24, 2011, Comments Off on Underwriter

This person works for either an insurance company or an agency and is a specialist trained in evaluating risks and deter ...

Underinsured Motorist
June 24, 2011, Comments Off on Underinsured Motorist

In most states your Uninsured Motorist coverage also includes protection coverage for accidents involving individuals wh ...

Uninsured Motorist Stacking
June 24, 2011, Comments Off on Uninsured Motorist Stacking

Stacking allows you to multiply (or “stack” ) the amount of uninsured/underinsured motorist coverage by the ...

Umbrella Policy
June 24, 2011, Comments Off on Umbrella Policy

This can be a separate policy or an endorsement to your home or auto policy, and supplements the liability coverage you ...

Travel Trailer
June 24, 2011, Comments Off on Travel Trailer

This is a non-motorized portable unit and camper designed to provide temporary living quarters for recreational or campi ...

Traffic School
June 24, 2011, Comments Off on Traffic School

Approved schools you can attend to remove a traffic violation from your motor vehicle record. You can only get violation ...

Towing
June 24, 2011, Comments Off on Towing

This is a provision included in many auto insurance policies that provides for reimbursement of towing expenses (and any ...

Total Loss
June 24, 2011, Comments Off on Total Loss

This is a loss that is so severe that the insurance company concludes that the vehicle is not repairable, taking into ac ...

Tort Insurance
June 24, 2011, Comments Off on Tort Insurance

Under a state with a Tort System as opposed to No-Fault System Add-On Benefits, your liability insurance is generally de ...

Time Limits
June 24, 2011, Comments Off on Time Limits

There is a limit of time within which a claim and proof of loss must be submitted after the accident or loss. The limit ...

Threshold Level
June 24, 2011, Comments Off on Threshold Level

A threshold is a boundary that must be crossed before an injured person can make a tort liability claim. A threshold can ...

Termination
June 24, 2011, Comments Off on Termination

The date and time the coverage under an insurance policy ends because of cancellation by the insured or insurance compan ...

Syndicate
June 24, 2011, No Comments

A group, association or pool of insurance companies who join economic forces to provide coverage that may be of such tot ...

Survivors Benefits
June 24, 2011, Comments Off on Survivors Benefits

Generally, survivor benefits include compensation to dependents of the deceased victim for lost wages and replacement se ...

Surplus Position Relative to the Companys Risk Profile
June 24, 2011, Comments Off on Surplus Position Relative to the Companys Risk Profile

This weighs whether or not the insurance company has enough surplus to cover the risks it is assuming. For instance, a c ...

Surplus Lines
June 24, 2011, Comments Off on Surplus Lines

A risk for which there is no readily available insurance market available can be placed with a nonadmitted insurance com ...

Surplus Adequacy
June 24, 2011, Comments Off on Surplus Adequacy

Surplus adequacy is a measure of whether a company’s assets in excess of liabilities are sufficient to pay your be ...

Surplus
June 24, 2011, Comments Off on Surplus

This is the amount by which the total company assets exceed the assets earmarked to pay future policy benefits. In other ...

Supplemental Optional Coverage
June 24, 2011, Comments Off on Supplemental Optional Coverage

This is coverage that is not included in the standard automobile insurance policy. Examples of optional coverage are tow ...

Street Rod
June 24, 2011, Comments Off on Street Rod

A Street Rod is a vehicle or replica over 25 years old which is limited to 2,500 miles or less per year, appreciating in ...

Stated Amount
June 24, 2011, Comments Off on Stated Amount

Sometimes shown as “Agreed Value,” this is the agreed amount to be paid in the event of a total loss, regard ...

Standard Insurance Company
June 24, 2011, Comments Off on Standard Insurance Company

This is an insurance company that offers policies with all the basic and optional coverages that you would want on one p ...

Standard & Poors
June 24, 2011, Comments Off on Standard & Poors

This New York-based rating service bases its judgment of insurers on their claims paying ability. The more reliable a ca ...

Stacking
June 24, 2011, Comments Off on Stacking

An insurance practice that increases the money available to pay auto liability claims. In states where this practice is ...

Spread of Risk
June 24, 2011, Comments Off on Spread of Risk

The spread of risks refers to whether or not the risks assumed by the company are spread out or are they concentrated in ...

Split Limits
June 24, 2011, Comments Off on Split Limits

This coverage pays a certain amount for each injured person and a total amount per accident for all injured persons. Thi ...

Special Equipment
June 24, 2011, Comments Off on Special Equipment

These would include equipment or accessories installed in your vehicle such as a stereo, CD player or cellular phone. In ...

Special Damages – Economic
June 24, 2011, Comments Off on Special Damages – Economic

These are damages that can be measured, such as time off from work. Limits are specific to each state.

Single-Limit
June 24, 2011, Comments Off on Single-Limit

This type of liability limit is expressed in a single number. It is also referred to as Combined Single Limit (CSL). It ...

Short Rate Cancellation
June 24, 2011, Comments Off on Short Rate Cancellation

When an insured cancels a policy midterm or before the expiration date of the policy, the premium refunded to the insure ...

Settlement
June 24, 2011, Comments Off on Settlement

Usually this is a claims payment or policy benefit. It signals an agreement as to the amount and method of payment. It c ...

Secondary Rating Factors
June 24, 2011, Comments Off on Secondary Rating Factors

These are factors, such as your sex, marital status, use of vehicles and/or where you live, that are used in addition to ...

Risk-Adjusted Capital Ratios
June 24, 2011, Comments Off on Risk-Adjusted Capital Ratios

This is about managing the balance between assets and liabilities or debts and establishing the desired ratio. Capital r ...

Risk Assessment
June 24, 2011, Comments Off on Risk Assessment

Your past experience in the insurance company’s eyes is all about how many automobile losses and violations you ha ...

Risk
June 24, 2011, Comments Off on Risk

The chance that you will have an accident or loss is a risk and the reason why you buy automobile insurance. The extent ...

Return Premium
June 24, 2011, Comments Off on Return Premium

Upon cancellation of an insurance policy prior to the expiration date, the unused portion of the premium is returned to ...

Restraints
June 24, 2011, Comments Off on Restraints

These are air bags, seatbelts and combination of air bags, seat/shoulder belts. Depending on the state laws and individu ...

Reserve Adequacy
June 24, 2011, Comments Off on Reserve Adequacy

This term is used to describe whether the amount of the assets are able to support future benefit payments.

Reserve
June 24, 2011, Comments Off on Reserve

This term applies to the assets that are earmarked to pay future benefits.

Required Optional Coverage
June 23, 2011, Comments Off on Required Optional Coverage

This designates additional deductibles, which insurers must offer and insured may accept. Limits are specific to each st ...

Required Deductibles
June 23, 2011, Comments Off on Required Deductibles

This designates additional deductibles, which insurers must offer and insured may accept. Limits are specific to each st ...

Request for Coverage
June 23, 2011, Comments Off on Request for Coverage

This is a required written statement by a potential policyholder, which provides that information that an insurance comp ...

Replacement Services Benefits
June 23, 2011, Comments Off on Replacement Services Benefits

These are benefits to pay someone, other than a family member, for services the victim would have normally performed wit ...

Replacement
June 23, 2011, Comments Off on Replacement

This is a new policy issued to take the place of another policy currently in force. See Renewal Certificate.

Rental Reimbursement
June 23, 2011, Comments Off on Rental Reimbursement

This coverage provides costs for rental car coverage when, for example, the policyholder’s car is stolen or damage ...

Renewal Certificate
June 23, 2011, Comments Off on Renewal Certificate

An insurance company issues this document to its policyholder to show proof of coverage for yet another policy term (aft ...

Rejection
June 23, 2011, Comments Off on Rejection

Coverage is automatically issued to replace an expiring policy.

Reinsurance
June 23, 2011, Comments Off on Reinsurance

Insurance companies need to limit the amount of exposure on any one claim or event to avoid large income fluctuations (o ...

Reinstatement
June 23, 2011, Comments Off on Reinstatement

Putting coverage back into effect after it was cancelled or suspended is called reinstatement.

Registered Owner
June 23, 2011, Comments Off on Registered Owner

This is the person who is named as the owner or responsible party for a vehicle in the records of the state Department o ...

Recreational Vehicles
June 23, 2011, Comments Off on Recreational Vehicles

Most insurance companies define recreational vehicles as the following: All terrain vehicles, dune buggies, golf carts, ...

Quality of Investments
June 23, 2011, Comments Off on Quality of Investments

Analysts look at an insurance company’s investment in terms of type, quality and security and how well they are sp ...

Punitive Damages
June 23, 2011, Comments Off on Punitive Damages

Also called exemplary damages, these are awarded by the court to acknowledge and punish a negligent party for wanton, re ...

Protection
June 23, 2011, Comments Off on Protection

This term is used interchangeably with “coverage” and “insurance.”

Pro-Rata Cancellation
June 23, 2011, Comments Off on Pro-Rata Cancellation

When policyholders cancel a policy, they are entitled to the unearned portion of the premium for the unused period of th ...

Property Damage
June 23, 2011, Comments Off on Property Damage

Property Damage is the part of your liability coverage that will pay damages to another’s property (up to the limi ...

Proof of Loss
June 23, 2011, Comments Off on Proof of Loss

You must make a formal statement regarding your loss before the insurance company will pay a claim. This statement is ca ...

Insurance Company Profitability
June 23, 2011, Comments Off on Insurance Company Profitability

This is the level of profit made by the insurance company. Profit has to be adequate so that a small adverse change in c ...

Product Lines
June 23, 2011, Comments Off on Product Lines

These are the types of insurance coverage offered by an insurance company, such as term life, fixed-rate annuity, home, ...

Producer
June 23, 2011, Comments Off on Producer

An agent, solicitor or individual, licensed to sell insurance is also known as a producer.

Private Passenger Vehicles
June 23, 2011, Comments Off on Private Passenger Vehicles

Insurance companies usually define these as four-wheel vehicles that are not used to carry passengers for a fee. Pick-up ...

Priority of Policies
June 23, 2011, Comments Off on Priority of Policies

This specifies the order in which different policies apply to a claim when there is more than one policy involved.

Principal Driver
June 23, 2011, Comments Off on Principal Driver

Principal Driver is the person who drives the car most frequently.

Primary Insured
June 23, 2011, Comments Off on Primary Insured

A person who fills out and signs a request for insurance coverage is usually referred to as the primary insured or appli ...

Primary Coverage
June 23, 2011, Comments Off on Primary Coverage

This is coverage, such as auto insurance, that provides benefits up to the limits of a policy, regardless of what other ...

Primacy of Benefits
June 23, 2011, Comments Off on Primacy of Benefits

This means that First-Party Benefits must be exhausted before other sources can be called upon when similar benefits are ...

Previously Owned
June 23, 2011, Comments Off on Previously Owned

This is a vehicle that has belonged to someone else prior to your purchasing it. It is also known as a used vehicle.

Premium Notice
June 23, 2011, Comments Off on Premium Notice

Insurance companies or agents notify a policyholder that a premium will be due on a given date. Also referred to as a bi ...

Premium Frequency
June 23, 2011, Comments Off on Premium Frequency

This is defined as the number of times during the policy year that you need to pay premiums. Frequency options are typic ...

Premium
June 23, 2011, Comments Off on Premium

This is the amount of money an insurance company charges to provide specific coverage for a specified period of time.

Preferred Risk Insurance Company
June 23, 2011, Comments Off on Preferred Risk Insurance Company

This is an insurance company that writes auto insurance policies for drivers who are considered better risks as compared ...

Preferred Provider Option
June 23, 2011, Comments Off on Preferred Provider Option

By accepting this option, you agree to repair your car at pre-approved auto repair shops named by the insurance company. ...

Pool
June 23, 2011, Comments Off on Pool

This is an association or syndicate of insurance companies who share proportionately in writing auto insurance for peopl ...

Policyholder
June 23, 2011, Comments Off on Policyholder

This is the person who owns the policy. The policyholder is also often referred to as the “insured” and R ...

Policy Reserves
June 23, 2011, Comments Off on Policy Reserves

This is the amount of money a company sets aside today, so that after receipt of future premiums, less expenses, the com ...

Policy Fee
June 23, 2011, Comments Off on Policy Fee

An additional premium charge added to a policy by the agent or broker to service your policy. Your insurance company may ...

Policy Changes
June 23, 2011, Comments Off on Policy Changes

Additions, deletions, or changes to the coverage of a policy are endorsements or policy changes. These can include the c ...

Policy
June 23, 2011, Comments Off on Policy

This is a printed document, which is issued by the insurance company and states the terms of the insurance contract. It ...

Auto “Pleasure Use”
June 23, 2011, Comments Off on Auto “Pleasure Use”

An auto can be for “pleasure use” if it is not used for business. At the option of the insurance company, pl ...

Physically or Mentally Impaired Driver
June 23, 2011, Comments Off on Physically or Mentally Impaired Driver

This is a driver with a restriction on his/her license that refers to a disability. Medical questions asked on the auto ...

Physical Damage Insurance
June 23, 2011, Comments Off on Physical Damage Insurance

This term indicates coverage from such perils as collision (accident) and comprehensive (fire and theft) to your covered ...

Persons Excluded
June 23, 2011, Comments Off on Persons Excluded

In a No-Fault state, these are the persons to whom First-Party Benefits may or must be withheld from in the event of an ...

Persons Entitled to Benefits
June 23, 2011, Comments Off on Persons Entitled to Benefits

This specifies which persons may receive the First-Party Benefits under a No-Fault policy when the accident occurs in th ...

Personal Lines
June 23, 2011, Comments Off on Personal Lines

This term refers to insurance for individuals and families, including automobile, homeowners, umbrella, fine arts, water ...

Personal Injury Protection
June 23, 2011, Comments Off on Personal Injury Protection

PIP is a First Party Benefit available in states with mandatory or optional No-Fault coverage. It usually includes medic ...

Persistency
June 23, 2011, Comments Off on Persistency

You may be rewarded with a credit for persistency if you have been insured with a specific company over a period of time ...

Permissive Users
June 23, 2011, Comments Off on Permissive Users

People you permit to borrow your auto are covered as permissive users. However, if the person is not a named driver on t ...

Passive Disabling
June 23, 2011, Comments Off on Passive Disabling

Passive Disabling alarms automatically engage devices that disable the ignition, battery or other vehicle features that ...

Out Of State Coverage
June 23, 2011, Comments Off on Out Of State Coverage

This coverage specifies which persons are entitled to benefits out of state. Example: There is an accident in a Tort sta ...

Other Coverage
June 23, 2011, Comments Off on Other Coverage

Other is a category of coverage on your premium breakdown screen, that refers to the cost of including certain state spe ...

Organization Structure
June 23, 2011, Comments Off on Organization Structure

The management of a company can influence how the company handles its daily and long-term operations. Among the manageme ...

Operating Performance
June 23, 2011, Comments Off on Operating Performance

This is a measure of how well the company is doing. Many different measures, such as expense ratios, sales performance a ...

Operating Leverage
June 23, 2011, Comments Off on Operating Leverage

This represents the extent to which a company’s costs of operating are fixed (rent, insurance, executive salaries) ...

Odometer
June 23, 2011, Comments Off on Odometer

This is the instrument on a vehicle that measures distances traveled.

Occurrence
June 23, 2011, Comments Off on Occurrence

This is an event, such as an accident or theft that results in a loss for the insured. Coverage typically responds on a ...

Occasional Driver
June 23, 2011, Comments Off on Occasional Driver

This is the person who drives the vehicle infrequently.

Notice of Loss
June 23, 2011, Comments Off on Notice of Loss

This is when you officially communicate to the insurance company that you have suffered a loss for which you are insured ...

Notice of Cancellation
June 23, 2011, Comments Off on Notice of Cancellation

Written notice of intent to cancel insurance can come from either the company or the insured.

Nonstandard Risk
June 23, 2011, Comments Off on Nonstandard Risk

This pertains to a request for coverage in which the potential policyholder does not satisfy the preferred or standard r ...

Nonstandard Insurance Company
June 23, 2011, Comments Off on Nonstandard Insurance Company

An insurance company that provides coverage for those risks that cannot be placed with a preferred, standard or assigned ...

Non smoker
June 23, 2011, Comments Off on Non smoker

Discounts may be available for liability, no fault medical benefits and collision to someone who has not smoked cigarett ...

Nonresident Agent
June 23, 2011, Comments Off on Nonresident Agent

This is an individual licensed in a state in which he or she does not reside.

Non-renewal
June 23, 2011, Comments Off on Non-renewal

This is a cancellation of insurance coverage at the expiration date. A nonrenewal can be initiated by the policyholder ( ...

Nonadmitted Insurer
June 23, 2011, Comments Off on Nonadmitted Insurer

This insurance company is not licensed to do business in a particular state.

No-fault Insurance
June 23, 2011, Comments Off on No-fault Insurance

Under a state with a No-Fault system as opposed to a Tort system or Add-On Benefits Systems, your insurance company woul ...

No-fault Coverage
June 23, 2011, Comments Off on No-fault Coverage

While it varies from state to state, typically no-fault coverage provides first party benefits for medical expenses, los ...

Newly Acquired Autos
June 23, 2011, Comments Off on Newly Acquired Autos

Any auto purchased after the effective date, but before the expiration date of an auto policy is considered “newly ...

Negligence
June 23, 2011, Comments Off on Negligence

The failure to exercise the care that an ordinary, reasonable person would exercise; either doing that which a prudent p ...