Car Insurance Jargon

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Effective date - The date on which insurance under a policy will begin.

Endorsement - An amendment of an insurance policy that alters the provisions of the contract.

Excess - Applies to an insurance claim and is simply the first part of any claim that must be covered by yourself. This can range from £50 to £1000 or higher. Increasing your excess can significantly reduce your premium. On the other hand, a waiver can sometimes be paid to eliminate any excess at all. Always check the excess in your policy.

Exclusions - Events not covered by an insurance policy. Typical exclusions include running a taxi service (for motor insurance), overloading your car, or allowing drivers other than those specified in the policy to take control of the vehicle.

Expense ratio - The ratio of insurance company operating expenses to premiums.