6 Insurance Terms Explained

Insurance terms can be really confusing, and may often leave you feeling overwhelmed, with unfamiliar words adding to your frustration.

This can lead to misunderstandings about coverage, unexpected costs, and a general sense of insecurity about your protection plans.

Our blog will explain these complex words in clear and simple explanations.

Trust us to be your guide in transforming confusion into confidence.

Here are some common Insurance terms and their explanations

1. Policy: A contract between you and the insurance company detailing the terms, coverage, and conditions.

   
   

2. Premium: The amount you pay to the insurance company, usually monthly or annually, to maintain your coverage.

3. Deductible: The amount you must pay out-of-pocket for covered services before the insurance company starts paying.

4. Coverage: The specific risks or incidents that your insurance policy will pay for.

5. Claim: A formal request to your insurance provider for payment based on the terms of your policy after a covered incident.

6. Beneficiary: The person or entity designated to receive benefits from an insurance policy, such as in life insurance.