Before you enter into any agreement or purchase any type of insurance policy, it is important to have an understanding or at least be familiarized with the terms and language used in a basic Massachusetts auto insurance policy. The goal of your New Bedford insurance agent is to ensure that each client is well-informed about local auto insurance requirements and the terms used in policies and claims. This guide featuring some of the basic definitions to common terms used in a typical automobile insurance policy.
When a policy holder files a claim with the insurance company, the worker that is responsible for the investigation and settlement of the claim is known as the adjuster or claim adjuster. This person works with all claims made by clients or insurance carriers due to an accident or incident. Other duties include the overall evaluation of the claim and follow through of payment to the policy holder. Payments are made after all information is verified and depend on the coverage and status of the policy held by the policy holder.
An appraisal of the property to be insured is conducted by the insurance company at the start of the insurance policy. In the event of an accident or other claim, the appraisal information is used to ensure proper replacement value or repair of the property in question. An appraisal is conducted to insure both the agency and the policy holder against any future casualties as a result of the loss of property.
Your New Bedford insurance agent is a licensed insurance representative who works on your behalf to negotiate and secure an insurance policy. The agent works as a “middle man” between you and the insurance company to ensure that you have a policy that adheres to local auto insurance requirements in Massachusetts and provides sufficient coverage for your property.
One of the most misunderstood terms on policies for automobile insurance in Massachusetts. Bodily injury is a term that is used to describe any unexpected damage or injury that occurs to the body of the driver, passengers or pedestrians involved in an accident. This can be as a result of driver error, negligence, an accident, weather, natural disasters or other types of incidents.
Coverage for Bodily injury covers all persons involved in an accident caused by the driver of the auto. It covers medical bills for the victims and, in most cases, a loss of income for policy holders as a result of the accident. Coverage is assessed based upon the severity of the injuries and the medical costs involved. Inadequate coverage can result in a legal case against a driver who is deemed responsible. Speak with your New Bedford insurance agent to make sure you have adequate bodily injury liability coverage in your Massachusetts auto insurance policy.
The insurance company that issues or underwrites the insurance policy to the policy holder is known as the carrier. Each carrier works to deliver insurance coverage to policy holders according to the local laws of the state or region in which they reside. The name “carrier” is used because the insurance company carries the risks on behalf of the policy holder.
In the world of auto insurance, a casualty is the liability or loss that comes as a result of an accident or other type of damage. Compensation can be given to the policy holder through the filing of a claim and assessment by an adjuster from the loss of a vehicle through this type of incident. This is the most frequently type of claim filed by a policy holder, with compensation being given according to the qualification of the policy holder with regard to the liability coverage of the policy.
There are many more terms that are specifically related to automobile insurance in Massachusetts. If you have any questions about your policy or about laws, limitations and local auto insurance requirements, contact your New Bedford insurance agent for more information.