Accident Terms and Definitions

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

Comprehensive Coverage
Pays for damage to your car caused by reason other than collision, such as fire, theft, windstorm, flood, etc.

Policy
Written contract of insurance.

Airbag Deployment
Occurs when the driver, passenger or side airbag has been used or deployed during a crash or other incident.

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.

Nonrenewal
The termination of an insurance policy at its normal expiration date.

Binder
A temporary or preliminary agreement which provides coverage until a policy can be issued/delivered.

Premium
The money paid for an insurance policy based upon the coverage provided.

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

Scrapped
Vehicles that have been dismantled and/or crushed and should not return to the road.