Insurance Terminology , Insurance Industry

The expiration of a right or privilege when one party does not live up to its obligations during the time allowed. A lapse in auto insurance coverage may result in paying higher premiums for a new policy, because insurers have determined that drivers who maintain continuous coverage are less likely to make an insurance claim that those who let a policy lapse.
Liability insurance

Coverage for sums that an insured becomes legally obligated to pay because of bodily injuries or property damage, or financial losses caused to oAuto insurance laws in some states require companies to cover losses, regardless of who caused the accident. Personal Injury Protection is the basic coverage that pays for your own medical, hospital and funeral expenses, as well as those of your passengers and any pedestrians. Lost wages and other accident-related expenses may also be covered.ther people.An insured individual or a beneficiary who receives a loss payment from an insurer. On an auto insurance policy, a Loss Payee is the institution that financed the loan or lease of the vehicle. In the event of a total loss, the insurance company makes payment to the Loss Payee first.
Personal Injury Protection

The payment required for an insurance policy to remain in force. Auto insurance premiums are quoted for either 6 month or annual policy perioSplit limit policies have three separate amounts for liability payment limits: one for bodily injury per person, one for bodily injury per accident, and one for property damage per accident, usually in that order. Often expressed in the form $100/$300/$100, with the amounts referring to thousands of dollars.
Subrogation
The process by which you assign your insurance company the legal right to recover the amount of the loss from another party who is legally liable. For example, if a third party damages your car, but has no insurance, your own insurance will pay you for the loss, if you have Collision coverage, and the company will then attempt to collect that money from the uninsured driver.ds.