Accident Terms and Definitions

Premium Finance Company
A lending institution that finances insurance premiums for a fee.

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

Venue
The specific county, city or geographical area in which a court has jurisdiction

Quote
An estimate of the cost of insurance based on information supplied to the insurance company.

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

Subpoena
Document issued by the authority of the court to compel a witness to appear and give testimony or produce documentary evidence in a proceeding. Failure to appear or produce is punishable by contempt of court.

Private Passenger Automobile
Four-wheeled motor vehicles of the private passenger, station wagon, or van type. Private passenger automobiles are designed for use on public highways and subject to motor vehicle registration.

Limits
The maximum amount of benefits the insurance company agrees to pay in the event of a loss.

Policy
Written contract of insurance.

Subrogation
The process in which an insurance company, after paying a loss to its insured, recovers the amount of the loss for damages (plus the insured's deductible) from the legally liable party.