Getting New Jersey insurance is definitely worth the hassle as the protection it offers is invaluable. In many cases such as owning and operating a vehicle, having insurance is not a choice, it is compulsory and there is good reason for this. However, knowing how important insurance is, doesn’t make it any easier to understand. If you are in the process of looking for New Jersey insurance, whether home, car or health then here are some common misunderstood terms that you need to understand to help you in your search.
Utmost Good Faith
All insurance contracts are considered to be contracts of Utmost Good Faith. This means that there should be full disclosure on both sides. Both parties have a duty to relay any and all facts relating to the insurance policy in question. If this duty is breached it could result in a liability case.
The New Jersey insurance contract itself is referred to as a policy. The policy is the legal document held by both the customer and the insurer that details all of the terms and conditions applicable to the insurance contract complete with any necessary legal evidence. The policy itself can be considered as the insurance bible. As a policy holder this is where you need to look if you have any questions about your coverage, or making a claim.
The claims adjuster is the insurance agent who is responsible for all aspects of claims management. Therefore if you need to make a claim this is who you will need to speak to. They will assess the validity of your claim, thoroughly going through every necessary detail. The decision of whether or not your claim is awarded will ultimately be down to this person.
The term cancellation only refers to a policy being terminated before it is due to expire. If a policy has expired and the customer or the insurer chooses not to renew the policy then this is not considered a cancellation. There will be a cancellation clause within the policy which will vary depending on the insurer. If the insurer decides to cancel the policy then they will have to give the customer a notice period. This will usually be anything from 48 hours to 3 months, depending on the company in question.
Commercial Combined Insurance
This refers to a number of different commercial insurances that have been put together and sold as one single package.