Describes the Type of Coverage in an Insurance Agreement Quizlet
When it comes to insurance agreements, it can be quite overwhelming to understand the different types of coverage included in the policy. However, with the right knowledge, decoding jargon and terminology can be a breeze. This article aims to guide readers in understanding the different types of coverage in an insurance agreement through the popular study tool, Quizlet.
1. Liability Coverage
Liability coverage is one of the most significant types of coverage included in an insurance agreement. It covers injuries and damages to third parties, such as property damage or injuries caused by an insured individual. In Quizlet terms, liability coverage is defined as „protection from claims arising from injuries or damage caused by the insured to others.”
2. Collision Coverage
Collision coverage is another crucial type of insurance coverage that covers damages to an insured vehicle from collisions with another car or object. It is defined in Quizlet as „covers damage to the insured’s vehicle resulting from a collision with another vehicle or object.”
3. Comprehensive Coverage
Comprehensive coverage, also known as „other than collision,” covers damages to an insured vehicle from non-collision incidents such as theft, fire, natural disasters, and vandalism. Quizlet defines comprehensive coverage as „Coverage for damage to a vehicle for reasons other than a collision such as theft, fire, or natural disaster.”
4. Personal Injury Protection (PIP) Coverage
Personal Injury Protection coverage is another type of insurance coverage that covers medical expenses, lost wages, and other damages related to injuries from a car accident for both the insured driver and passengers. In Quizlet, PIP coverage is defined as „covers medical expenses, lost wages, and other damages related to auto accident injuries beyond basic liability coverage.”
5. Uninsured/Underinsured Motorist Coverage
Uninsured/Underinsured Motorist Coverage is a type of insurance coverage that provides protection to individuals involved in an accident with a driver who does not have sufficient insurance coverage or no insurance at all. Quizlet defines Uninsured/Underinsured Motorist Coverage as „provides coverage for medical bills and damage to your car in case of a hit and run or if the other driver does not have insurance.”
In conclusion, understanding the various types of coverage in an insurance agreement can be complicated. However, using Quizlet to define the terms can make it easy to understand the different types of coverage you may have in your insurance policy. Ensure that you have sufficient insurance coverage for your needs, and always review your insurance policy thoroughly before signing it.
