Accident Terms and Definitions

Uninsured Motorist Coverage (UMC)
Provides coverage for a policyholder involved in a collision with a driver who does not have liability insurance.

Deductible
The amount of the loss which the insured is responsible to pay before benefits from the insurance policy are payable.

Producer
A term applied to an agent, solicitor or other person who sells insurance.

Cancellation
The termination of an insurance policy before its normal expiration date.

Limited Tort
Offers savings on your premiums. You are still able to recover all out-of-pocket medical and other expenses, however you are not able to recover non-monetary damages or receive payments for pain and suffering unless injuries are defined as serious.

Collision
Pays for damage to your car caused by a collision with another vehicle or with any other object, regardless who was at fault.

Gap Insurance
Insurance that pays the difference between the actual cash value of a vehicle and the amount still to be paid on the loan. Some gap policies may also cover the amount of the deductible.

Commissioner of Insurance
The title of the head of most state insurance departments. In some states, the Director or Superintendent of Insurance is used instead.

Surcharge
An extra charge applied to the premium by the insurer, usually for at fault accidents or moving violations.

Medical Payments Coverage
Covers the medical costs (up to the specified limit you choose) resulting from an auto accident for you, your family, and others in your car. It pays regardless of fault.