Glossary

Claim:
A request to redeem, in the form of a car repair/ replacement, your insurance policy.

Hot Topics

What are the principles Motor Insurance is built upon?
During the process of applying for motor insurance you will be asked for many details ranging from personal details to location and security based questions. As with all insurance you are well advised to answer any and all questions as honestly as possible in order to ensure any claims are fully met by your insurance company in the event of an accident.
What is Third party only Insurance?
If you want yourself to be personally covered against accident or your vehicle to be covered you should consider a more comprehensive form of car insurance.
What are the road tax rates by specific type of vehicle?
The collection and administration of road tax is done by the DVLA (Driver and Vehicle Licensing Agency). The DVLA is responsible for all regions of the UK. Their aim is to facilitate safe and responsible driving throughout the UK. In addition to road tax they are also responsible for keeping a registry of all vehicles and qualified drivers.
Can I use my car for business use?
Class SDP. This class of motor vehicle use is for the policyholder and Named Drivers only using the vehicle for social, domestic and pleasure
Excess
What is an excess? An excess is the amount you have to pay if you make a claim on a car insurance policy.
Comprehensive Cover:
Provides the most ‘comprehensive’ form of cover available, it will include cover for damage to your vehicle and yourself in the event of accident.

Cover:
Refers to the risks that your insurance policy will protect you against.

Excess:
This is the amount that you will personally be expected to pay in the event of a claim.

Exclusion:
an uncovered risk, something which is not covered by your car insurance policy. An exclusion could be almost anything from specific people to specific use of your vehicle.

Green Card:
This document proves that your vehicle meets the minimum car insurance requirement for the country you are visiting outside of the UK. A green card is a worldwide recognised document and you can collect a 'green card' from your car insurance provider. NOTE make sure you request your green card well in advance of your trip.

Insurer:
This is the company which provides your insurance policy. They are also your point of contact in the event that you need to make an claim.

No Claims Bonus:
This is a percentage discount given to a driver on their original premium if they fail to make any claim during a set period (typically 10 or 12 months).

Policy:
This is the document which outlines the terms and conditions of the car insurance policy that you have purchased.

Policyholder:
This is the person who is insured by the policy.

Premium:
This term refers to the monthly price you pay for your car insurance policy.

Third Party:
This refers to any other individual involved in a car accident that is not within your vehicle. This could include, another car, cyclist, pedestrian or even the tenant a house you hit.

Third Party Cover:
Provides covers any liability you may have to a third party if you are involved in an accident, but provides no cover for you or your vehicle

Third Party, Fire and Theft Cover:
Similar to Third Party Cover, this type of policy covers any liability you may have to a third party if you are involved in an accident, but provides no cover for you or your vehicle. In addition it will provide compensation for your vehicle if it is damaged in the event of a theft or through fire.

Voluntary Excess:
This is the amount that you have specified upon your policy as the additional value, on top of the compulsory excess, that you are prepared to pay in the event of a claim. Agreement with your provider to pay a greater voluntary excess, in the event of a claim, will reduce your premiums.