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Misdemeanor
Criminal offenses less than felonies; generally those punishable by fine or imprisonment of less than 90 days in a local facility. A gross misdemeanor is a criminal offense for which an adult could be sent to jail for up to one year, pay a fine up to $5,000 or both.
Liability Insurance
Coverage for a policyholder's legal liability resulting from injuries to other persons or damage to their property.
Surcharge
An extra charge applied to the premium by the insurer, usually for at fault accidents or moving violations.
Comprehensive Coverage
Pays for damage to your car caused by reason other than collision, such as fire, theft, windstorm, flood, etc.
Total Loss
An insurance company declares a vehicle a total loss when a claim exceeds the full value of the vehicle. Insurance companies typically take possession and obtain the title of such vehicles.
Binder
A temporary or preliminary agreement which provides coverage until a policy can be issued/delivered.
Comparative Negligence
The percentage of fault shared by each driver in an accident in which both contribute to causing the collision.
Commission
That portion of the premium paid to the agent as compensation for his or her services.
Claim
Notice to an insurer of a loss that under the terms and conditions of a policy may be covered.
Scrapped
Vehicles that have been dismantled and/or crushed and should not return to the road.
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