Do you know much about automobile insurance? Whether you’re getting auto insurance for the first time or simply haven’t had much experience, there are terms that you’re bound not to know. Oliver Insurance of the Canby, OR area can help break these down further for you.
Deductible
This refers to the amount you’re expected to pay out-of-pocket when you have damages. You pay this before you get reimbursement from your insurance company. The higher your deductible, the lower you’ll pay for your premium.
Premium
This is the amount you’ll pay for the right to have coverage under their policy. Usually, you decide if you want to make the payments on a monthly, quarterly, or 6-month basis.
Liability Limits
Even though you may have auto insurance, you don’t just get any amount you wish. The policy has a set limit on what it pays out for injuries and damages. It’s possible to raise your limits but this also raises your premiums.
At Fault
At-fault refers to the individual (or several people) who are determined to be at fault for an accident. Typically, the person who is at fault (or their insurance company) will be required to pay most of the damages to each vehicle that was involved.
Rider
This is also known by the term "endorsement". It refers to a written agreement that’s included with the basic insurance policy allowing for the number of benefits under the policy to increase or decrease.
Liability Coverage
This covers injuries and property damage to another party when you are deemed to be at fault. It’s required by each state in one form or another.
Comprehensive Coverage
Though it’s sometimes called "full coverage", comprehensive is not actually full coverage. It covers damages that occur to your automobile from collisions and outside elements such as vandalism, theft, hail, fire, flood, and wind.
There’s a great deal more to learn when it comes to auto insurance. Fortunately, you have quality assistance on your side with Oliver Insurance of Canby, OR and beyond. Reach out to us with your questions.
