Auto insurance - California
quotes for your car, truck, SUV, motorcycle, and home
CALIFORNIA AUTO
INSURANCE FAQS
Insurance is an important part of our lives.
We have listed some important auto insurance
FAQS in a Question and Answer format to help you
answer some of the most common questions. Please
feel free to call us with any questions that you
may have.
These questions
and answers come from the: INSURANCE
INFORMATION INSTITUTE -
www.iii.org Many more Questions and Answers are
available at this fine web site.
What is Auto Insurance
Auto insurance protects you against financial
loss if you have an accident. It is a contract
between you and the insurance company. You agree
to pay the premium and the insurance company
agrees to pay your losses as defined in your
policy.
Auto insurance provides property, liability
and medical coverage:
Property coverage pays for damage to or
theft of your car.
Liability coverage pays for your legal
responsibility to others for bodily injury
or property damage.
Medical coverage pays for the cost of
treating injuries, rehabilitation and
sometimes lost wages and funeral expenses.
An auto insurance policy is comprised of six
different kinds of coverage. Most states require
you to buy some, but not all, of these
coverage's. If you're financing a car, your
lender may also have requirements.
Most auto policies are for six months to a
year. Your insurance company should notify you
by mail when it’s time to renew the policy and
to pay your premium.
What is Home
Owners Insurance
Homeowners insurance provides financial
protection against disasters. A standard policy
insures the home itself and the things you keep
in it.
Homeowners insurance is a package policy.
This means that it covers both damage to your
property and your liability or legal
responsibility for any injuries and property
damage you or members of your family cause to
other people. This includes damage caused by
household pets.
Damage caused by most disasters is covered
but there are exceptions. The most significant
are damage caused by floods, earthquakes and
poor maintenance. You must buy two separate
policies for flood and earthquake coverage.
Maintenance-related problems are the homeowners'
responsibility.
What kind of health insurances are
there?
There are essentially two kinds of heath
insurance -- Fee-for-Service and Managed Care.
Although these plans differ, they both cover an
array of medical, surgical and hospital
expenses. Most cover prescription drugs and some
also offer dental coverage.
Fee-for-Service -
These plans generally assume that the medical
professional will be paid a fee for each service
provided to the patient. Patients are seen by a
doctor of their choice and the claim is filed by
either the medical provider or the patient.
Managed Care - More than
half of all Americans have some kind of
managed-care plan. Various plans work
differently and can include: health maintenance
organizations (HM0s), preferred provider
organizations (PPOs) and point-of-service (POS)
plans. These plans provide comprehensive health
services to their members and offer financial
incentives to patients who use the providers in
the plan.
