Definitive guide to insurance jargon 

 
You, the insured - The person named as insured on your current Certificate of Motor Insurance.

Certificate of Motor Insurance - The document that is evidence you have the insurance needed by law, which shows who can drive and for what purposes it can be used.

Excess - The amount you must pay towards any claim.

Indemnity - The principle which ensures that, after a loss, you are placed in the same financial position, as far as reasonably possible, as immediately prior to the loss.

Insured car - The insured car as specified by its registration mark on your current Certificate of Motor Insurance.

Replacement car - A car provided by a Repairer or another company. This car is not intended to be on a like for like basis.

Period of insurance - The time covered by this insurance, as shown on your current Certificate of Motor Insurance.

Market value - The cost of replacing your car, with one of a similar make, model, year, mileage and condition based on market prices at the time of the loss.

Policy schedule - Document showing the car we are insuring and the cover you have with us.

Territorial limits - Great Britain, Northern Ireland, the Isle of Man and the Channel Islands, including travel between any of these.

Third party - A person or an organisation other than you and us.

No Claims Bonus - A discount you get for not making any claims during an insurance year.

Fault/non-fault claim - The terms fault and non-fault can be confusing. A non-fault claim is simply a claim where are able to recover all our costs from someone else. If not able to recover all our costs, then it is a fault claim even if you didnt cause the claim to be made.

Total loss - When decided that your car is uneconomical to repair following an accident, theft, or when your car is stolen and unrecovered. It could be impossible, unsafe or uneconomical to repair your car.

Approved Repairer - Quality repairers throughout the country who are recommended to repair your car.