Knowing the Terms Can Help You Understand Your Auto Policy
August 24, 2016
Understanding your commercial auto insurance policy can sometimes seem as complicated as navigating rush-hour traffic in a crowded church bus. It doesn’t have to be intimating, if you know some of the common components and terms that every insurance policy includes.
All policies include the following components:
- Policy declaration pages – state the name of your insurer, the name of your ministry (the insured), the vehicles that your policy covers, the coverage period, and your coverage limits.
- Policy coverage forms – describe the actual terms of your basic insurance policy, as well as any additional or optional coverages that you have selected.
- Definitions – explain key terms and features used throughout your policy.
- Conditions – describe the ground rules, and yours and your insurer’s responsibilities, and/or obligations.
- Limitations – establish coverage boundaries and help remove ambiguity regarding the scope of coverage.
- Exclusions – describe the types of claims or property that a specific coverage form does not cover.
In addition to these components, auto policies also often include the following terms:
- Liability – coverage that protects your ministry against vehicle-related claims related to bodily injury and/or property damage.
- Collison – refers to the physical damage that another vehicle causes your vehicle in an accident.
- Comprehensive – vehicle damage caused by an accident involving something other than another vehicle (e.g., deer, tree branch, theft).
- Uninsured, underinsured motorist – refers to a driver who is at fault in an accident, but lacks or has inadequate auto insurance or limited coverage; or in some states, the at-fault driver is unknown (e.g., a hit-and-run accident).
- Medical payment – refers to the sum paid for medical treatment for injured occupants of your ministry-owned vehicles when they are in an accident. This may be paid regardless of which vehicle is at fault.
- Personal injury/no fault protection (PIP coverage) – applies in states with laws specifying that insurance companies must initially cover the cost of injuries for their own clients, regardless of fault.
- Deductible – refers to the sum that an insured individual must pay, after an accident, before their insurance company pays.
- Premium – the total price that a policyholder pays their insurance provider for a specific coverage.
- Liability or coverage limit – the highest amount an insurance company will pay in the event of a covered claim.
Although auto insurance requirements vary by state, auto policy terms are generally standard, regardless of the insurer. Acquaint yourself with these terms. Doing so may help you make better decisions regarding your auto policy and use of your ministry’s vehicles.
- April 13, 2020
- Beware of COVID-19 Cyber Scams
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Ministries are creatively scrambling to continue their operations and safely engage their congregations with an array of online technologies during the coronavirus pandemic. Unfortunately, hackers are ready to take advantage of the confusion with scams designed to steal valuable data or siphon funds from your ministry. Learn how to keep your ministry safe from scams.
- March 30, 2020
- CARES Act: Churches Need to Apply Now
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Learn about the CARES Act and two loans for which ministries may be eligible, since Congress authorized additional funding April 23.
- March 6, 2020
- Coronavirus and Your Ministry: Tips for Prevention
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As concern over the dangers associated with the spread of a new coronavirus, COVID-19, spreads, our agency and Brotherhood Mutual want to keep you informed and provide best practices for managing the spread of this and similar illnesses at your ministry.
- January 29, 2020
- Hosting a Game Day Bash? Brush Up on Copyright Basics
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The first Sunday in February is a big day for sports fans. In fact, many Americans view Super Bowl Sunday as a national holiday. Friends and families will gather this year to watch the big game, enjoy delicious snacks, and of course, critique the commercials that go along with game day.
- October 28, 2019
- Are You Covered If You're Injured Overseas?
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Recently, we learned about two major overseas incidents involving pastors on mission trips. The first incident involved a pastor being hit by a motorcycle while running. The second was a bus accident involving two pastors. The runner and one of the two bus passengers sustained extensive injuries.
- September 1, 2019
- IRS Announces More Church Audits Regarding ACA Compliance
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Last month, the IRS announced that its initiating hundreds of church exams to test compliance with the Affordable Care Act (ACA). While many provisions only apply to churches with 50 or more full-time equivalent employees (FTEs), even smaller churches could potentially violate provisions applicable to health benefit plans with as few as 2 plan participants.
- August 15, 2019
- Record Breaking Hailstorm Hits Colorado
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On Tuesday, August 15, 2019, a record-breaking hailstorm struck multiple areas throughout the state of Colorado.
- July 3, 2019
- Celebrate Safely This Independence Day
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July 4th is synonymous with food, fun, and fireworks. If your church is planning an event this Independence Day, remember to keep a focus on safety, so that everyone can have fun.
- June 28, 2019
- Insurance is one of those things we forget about until we need it
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National Insurance Awareness Day falls on June 28 this year to remind people everywhere that insurance is vital to their companies and ministries.
- June 24, 2019
- June 23-29 is Lightning Safety Awareness Week
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Summertime across the country means barbecues, carnivals, sporting events, boating, hitting the beach and many other recreational activities. In short, summertime means a lot more people are spending time in the great outdoors. But summer is also the peak season for one of the nation's deadliest weather phenomena--lightning.
- May 8, 2019
- Protect Your People & Property During Hailstorms
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According to the National Oceanic Atmospheric Administration (NOAA), hail causes about $1 billion in damage to crops and property each year. Prepare your ministry and people for hail this season.
- April 30, 2019
- Measles Cases Reach Record-Breaking Numbers
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More than 700 confirmed cases of measles have been reported in the United States so far this year, making this outbreak the worst in decades.
- April 15, 2019
- April 14 -20 is Severe Weather Awareness Week in Colorado
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As winter turns to spring, we’re also in for a turn in weather. Lightning, strong winds, flash flooding, hail, or tornadoes could quickly strike your ministry. The National Weather Service has designated April 14-20, 2019, as Severe Awareness Week in Colorado.
- April 8, 2019
- Vehicle Registration Guidelines for Ministries
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Do you use commercial vehicles that transport more than 15 passengers or carry cargo from one state to another as part of your ministry? If so, you are required to register with the Federal Motor Carrier Safety Administration (FMCSA) and obtain a USDOT number.
- June 1, 2018
- June Is National Safety Month - Week 1: Emergency Preparedness
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The National Safety Council has designated June as National Safety Month, so we want to make sure your ministry is doing everything it can to protect its people, property, and programs. Each week in June, we’ll tackle a different topic. Up this week: Emergency Preparedness.
- April 18, 2018
- Collect Online Donations? This New Scam Targets You
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There’s a new scam in town, and ministries and other organizations collecting donations are the primary target. If your ministry collects tithes or donations, you could be targeted by scammers practicing donation overpayment fraud.
- February 21, 2018
- Remembering Billy Graham
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Beloved evangelist Billy Graham was called to his heavenly home on Wednesday, February 21, 2018, at the age of 99.
- February 9, 2018
- Flu Is Widespread: Protect Your Congregation
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For the first time in its 13 years of influenza monitoring, the U.S. Centers for Disease Control and Prevention is reporting that every state in the continental U.S. is seeing widespread flu activity. Get tips on how to keep your congregation healthy this flu season.
- June 19, 2017
- Off-Site Youth Activities
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Snow skiing. Camping. Whitewater rafting. A youth group trip can give students an exciting diversion from their weekly routines, as well as an opportunity to strengthen healthy friendships. Off-site activities may challenge your students to step outside of their comfort zones a bit, but this can bring about a positive result.
- June 7, 2017
- Insurance Protection Should Accompany Every Mission Trip
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If you are in the process of planning a mission trip for your church group, make sure to think carefully about insurance, safety, and security as you hammer out the details. Extra preparation could minimize headaches when your group arrives on the mission field.