What is an insurance policy? In plain English, an insurance policy is a legal contract between you and the insurance company, that defines the limits of the insurance coverage, which is paid by the insured. In return for an initial premium, commonly known as the deductible, the insurance company promises to cover expenses incurred by the covered party in the event that a claim is made against the policy. In the event that a claim is made, the insurance company pays the remainder, or the entire gap, and reserves the right to ask you to make monthly payments, called premiums, in order to recoup their losses.
There are a number of types of insurance policy that exist. The most common types of coverage are physical liability coverage, property damage liability, and medical expense coverage. Each type will detail the events that are considered a pre-existing condition. Physical liability insurance covers events that are deemed to be a likely cause of damage to another person’s property. Property damage insurance protects against the damage or destruction of a private or public item. Medical expense insurance provides coverage for doctor visits, surgery, and other medical care that are needed by the insured party in the event that a covered event occurs.
Many insurance policy conditions specify what must be reported when filing a claim. Coverage terms vary by insurer, but most require at least two separate reports: one from your physician, and one from the insurance company. Physicians often require this report because they may recommend additional tests or treatment that are not reflected on your initial report, which could further increase the premiums. In addition, some insurers require that a copy of the recommended treatment be provided to them upon receipt of your claim, whereas other companies require that the treatment be performed by a specialist of their choosing. You can get more information about Appliance Repair and Service Insurance
Policy conditions and limits vary by insurer. Most limit the amount of coverage that you can have for a certain event. Some policies only cover against losses that occur within a specific time frame after the policy was purchased, while others allow you to make a claim in the event of any occurrence regardless of date. Other insurers have limits for underwriting factors, while others have no minimum coverage stipulations.
Your insurance policy form will detail the specific type of damages that are covered by each type of insurance policy. Common damages are described under the names personal injury damages, property damage, and bodily injury damages. The details of each type of coverage vary slightly from one insurer to another, but they generally describe physical and emotional pain and suffering, and other forms of emotional distress (such as shock, depression, and shock.) Bodily harm is also detailed in a policy, such as broken bones, sprained muscles, and swelling. Underinsured or uninsured motorist coverage is also detailed on the insurance policy, describing situations where the insured driver is at fault but does not have sufficient insurance to cover the accident.
When you fill out your insurance policy form, you may be asked questions about your current health status. Your insurance policies do not cover preexisting conditions. The answer to this question on the insurance policy form will be included in your quote, and you should carefully review this part of the form before purchasing insurance policies. Your state law may have limitations on how much life insurance coverage you can obtain, as well as maximum benefits that may be collected. If you have any questions, do not hesitate to contact your state insurance department.