Insurance Lingo: A Cheat Sheet for Parents

For people who spend their days pondering things like, “Why is there glue all over the stairs?” and “How many years does teenage ‘tude last?”, we want to give you the gift of clarity.

That’s why we’ve put together this cheat sheet for common car insurance terms. It’s hard enough to make time to sit down and shop around for insurance, much less figure it all out, so we hope our little guide can make the process easier on you. If you want to go deeper, head over to this page where we take a deeper dive into the terms below.

And for all you insurance-savvy parents, you can skip the vocab lesson and just head over to our quick quote or chat with an agent now!

What you HAVE to have

Liability/Property Damage What insurance pays when you damage someone else’s car or stuff.
Liability Insurance Levels The max amount insurance will pay to cover the medical bills for people injured and repair bills for vehicles damaged when an accident is your fault.
Deductibles How much you have to pay out of pocket before your insurance covers the rest.

What you MAY have to have

Personal Injury Protection (PIP) Pays medical bills, and sometimes lost wages, no matter whose fault the accident is; required by some states (like Texas).
Collision Coverage Pays for you to repair or replace your car if it’s damaged in an accident with another car, tree, etc.; may be mandatory if you finance or lease a car.
Comprehensive Coverage Protects your car from damage outside of an accident and beyond your control, like theft, vandalism, or, you know, an asteroid or something; may be mandatory if you finance or lease a car.

What you may LIKE to have

Uninsured (UM), Underinsured (UIM), and Uninsured Motorist-Property Damage (UMPD) Protects you if you get hit by someone who doesn’t have car insurance, or if their coverage is too low to cover all your costs.
Medical Expenses Coverage (Med-Pay) Kinda like a simplified Personal Injury Protection, paying medical bills for you and passengers, but not lost wages or loss of services.
Rental Car Coverage Pays for you to have a rental car if your car is stolen or needs repairs after an accident.
Apparent offers Same Size Rental Car Match so your minivan doesn’t get replaced with a mini-car.
Roadside Assistance Covers the cost of towing, locksmiths, changing a flat, delivering gas if you run out (facepalm), and more.
Apparent offers Smart Roadside Assistance so you know exactly who’s coming to help and how far away they are in real time.
Accident Forgiveness Keeps your policy cost from going up after your first accident (or, more likely, your teen’s first accident).

Apparent offers Upgraded Accident Forgiveness you’ll love, and that your teen could probably afford after mowing a few lawns.

That’s it! Ready for a pop quiz? Just kidding! For real though, now that you’ve brushed up on all the lingo, you’re primed to breeze through a quick quote to see how little you’ll have to pay for some of the most protective car insurance for families.

And because we all know it helps to talk to a person sometimes, our team is at the ready—just chat online or call us at 1-877-764-8679 when you’re ready!