Accident Terms and Definitions

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.

Hearsay
Evidence based on what the witness has heard someone else say, rather than what the witness has personally experienced or observed.

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.

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

Comparative Negligence
The percentage of fault shared by each driver in an accident in which both contribute to causing the collision.

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

Loss Due To Fire Title
The vehicle sustained major damage due to fire. In most states, fire damage titles are issued when the cost of repairing the vehicle for safe operation exceeds its fair market value.

Dismantled Title
The vehicle sustained major damage to one or more major component parts and the cost of repairing the vehicle for safe operation exceeds its fair market value.

Salvage
Property taken over by an insurer to reduce its loss.

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