Accident Terms and Definitions

Accident
A collision involving an automobile and anything that causes damage to the automobile, including other automobiles, telephone poles, buildings, and trees.

Insurer
The insurance company providing the insurance.

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

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.

Insured
The person(s) entitled to coverage in case of an accident or loss.

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

Policy
Written contract of insurance.

Exclusion
A contractual provision in an insurance policy that denies coverage for certain perils, persons, property, or locations.

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

Vehicle ID No. (VIN)
This 17 character number is unique to each vehicle. It identifies characteristics of the vehicle, including manufacturer, year, model, body, engine specifications, and serial number.