Insurance: Auto

Front 1

minimum financial responsibility

Back 1

Certificate of Self-Insurance, A Surety Bond, a Certificate of Deposit or cash to be held by
the state Treasurer, or (most commonly) an Auto Liability Insurance policy

Front 2

Split-Limit policy

Back 2

$15/$30/$10; 1. $15,000 per person for Bodily Injury liability,
2. $30,000 per occurrence for Bodily Injury liability, and
3. $10,000 per occurrence for Property Damage liability

Front 3

Combined
Single Limit (CSL) policies.

Back 3

written with just one policy limit that applies to BI and PD
together.

Front 4

three areas of Auto insurance

Back 4

rates, underwriting, coverage

Front 5

rates

Back 5

Rate classification tables are based on age, gender, driving record, and
territory, from statistical data provided to the state Department of
Insurance.

Front 6

underwriting

Back 6

Underwriting rules help keep the insurance company profitable and in
business by keeping a balance between risk and the premium paid by the
insured.

Front 7

COVERAGE

Back 7

The PAP is the industry standard, both for the state exam and for your sales
efforts. It provides very broad coverage and is strictly underwritten. Learn
this policy well and completely!

Front 8

Part A - Liability

Back 8

The insurer will pay, up to the policy limits, for BI or PD to others,
caused by any driver of a vehicle insured under the policy .

Front 9

Part B – Medical
Payments

Back 9

Pays medical and funeral expenses resulting from a covered event
causing Bodily Injury to you and your passengers

Front 10

Part C - Uninsured
Motorists

Back 10

Covers Bodily Injury to an insured caused by the owner or operator
of an at fault uninsured vehicle.

Front 11

Part D - Damage to
Your Auto

Back 11

Covers your insured vehicle for damage by "Collision" and or
"Other Than Collision," if either or both are declared.

Front 12

Part E - Duties
After an
Accident

Back 12

Insured must notify the insurer as soon as possible after loss and
must cooperate with insurer’s investigation.

Front 13

Part F - General
Provisions

Back 13

Lays out various legal and financial obligations relating to both
insurer and insured.

Front 14

Declarations Page

Back 14

who is insured, what type of property (auto) is insured, the policy limits
and the policy period.

Front 15

Bail Bonds:

Back 15

The policy will pay up to $250 for the cost of Bail Bonds required because of an
accident that results in BI or PD covered by the policy, including those for related traffic-law
violations. Remember, this clause pays just the cost of the Bail Bond, not the traffic fines
involved.

Front 16

Appeal Bonds and Interest

Back 16

The policy will pay the premiums on Appeal Bonds and interest
accruing after a judgment is entered in any suit the insurance company defends on your behalf.
For example, you are involved in an auto accident and the other party is injured.

Front 17

Part A Exclusions:

Back 17

Intentional Acts, Your Own Property In Transit, Injury to Employees, Taxi or Livery, Auto Business, Commercial Usage, Using a Vehicle Without Permission, Non-owned Vehicle Furnished for Your Regular Use

Front 18

Named Nonowner Endorsement:

Back 18

creates a modified
contract that covers non-owned vehicles only. A PAP with this Endorsement is, in fact, sold only to
nonowner drivers. Its coverage applies only to the one specific person listed on the Declarations Page,
and it provides coverage for Liability (BI and PD), Uninsured Motorists, and Medical only.

Front 19

Miscellaneous-Type Vehicles:

Back 19

Since the PAP is designed for private, four-wheel passenger vehicles,
those seeking to cover a motor home, a motorcycle, a dune buggy, or a golf cart need to add this
special Endorsement to modify the Definition of a "covered auto."

Front 20

Towing and Labor:

Back 20

This Endorsement covers when your car breaks down. Coverage is limited to the
amount stated in the Declarations. In order for labor charges to be covered, they must be performed at
the place of breakdown. Labor performed at the repair shop after a tow is not covered. This is NOT
Supplementary coverage, but Optional coverage.