A
Agreed Value
The amount for which we agree to insure your car. We work out the amount based on the fair value given for your car's make and model.
Accident
A sudden, unintended and unforeseen occurrence.
Accessories
Things which have been added to your car but don’t enhance its performance, like stereos, mag wheels and navigation systems.
C
Claim free year
Every complete year that you hold a restricted or full driver's licence and don’t make any claims. We don’t count claims for windscreens or accidents where someone else was at fault.
Current Value
The cost to replace an item to the same position immediately before it was damaged or lost, with due allowance for depreciation.
Claim
When you tell us about the accidental damage to or loss of your insured property (your car, house or possessions) and you ask us to reimburse you for it.
A claim includes where we will pay for your liability only.
Cover
The insurance we provide to look after your belongings.
D
Depreciation
Taking age, use and condition into account when establishing what something is worth immediately before it was damaged or lost.
Defined Events Cover
Insurance for your home or contents for a specific list of events, including fire, explosion, lightning, storm, flood, earthquake, landslip, electrical burnout, freezing, collision, burglary and vandalism.
Defined Events Cover doesn’t include accidental damage – for example, if you accidentally spill red wine on your carpet.
E
Exclusion
A provision in a policy that means certain circumstances are not covered.
Excess
When you make a claim, you pay a small part of the cost and we pay the rest. Your part is called the excess. The cost of your excess depends on a number of factors. You pay an excess only when you make a claim.
G
Guaranteed No Claims Bonus For Life
If you’ve had no accidents in the last five years, you could qualify for our Guaranteed No Claims Bonus For Life. Once you have our Guaranteed No Claims Bonus For Life, you never lose it, even if you have an accident. This means that your premiums will never go up as a result of a claim.
I
Insured
The person named on an insurance policy. Most often, this is the person who owns the property.
If you want to insure an item which you and another person own together, make sure to tell us so that we can name both of you on your policy, and both of you can make a claim or changes to your insurance.
L
Liability
When you are legally responsible for damaging someone else’s property. For example, if you crash into someone’s fence, you are liable, or legally responsible for the cost of repairing the fence.
M
Modification
Things which have been added to your car to change its performance, like a turbo upgrade, blow-off valves or upgraded mufflers.
Market Value
The reasonable retail value of your car or an item immediately before it was damaged or lost.
This means if your car is written off or stolen, you’ll receive what the car was worth that day, not what it would cost to replace.
N
No fault, no excess
If you’re in an accident that wasn’t your fault and you can identify whose fault it was, you may not have to pay any excess. Please see your policy document for more details.
New for old
If something you own is stolen, lost or damaged beyond repair, we’ll replace it with a brand new one, regardless of the age of the original. So if your five year-old TV is stolen, we’ll replace it with a brand new TV.
O
Other driver
The driver of the other vehicle in the accident.
P
Period of cover
The time you are insured for, as shown on your policy schedule.
Premium
The amount you pay for insurance. What you pay depends on the type of insurance you want and the likely risk of damage or loss to your possessions.
Policy schedule
This contains personalised information about the insurance you have with us. It contains your contact details, level of cover, excess and details of special things that you’ve insured.
Policy document
This is the booklet that sets out what is and isn’t covered under your policy.
Policy
This is your insurance contract with us. It includes your policy document and policy schedule, information you provided in your application, changes by us advised to you in writing, and changes by you that we agree to in writing.
Personal Customer Manager
Your personal contact at AA Insurance who looks after you when you make a claim. They’ll keep you fully informed and make sure things stay on track and are hassle-free.
Q
Quality Repairer Network
A select group of skilled repairers we have chosen to service our customers’ vehicles. We provide a lifetime repair guarantee on all the repairs made by our Quality Repairers.
R
Renewal
An insurance policy generally covers a 12 month period. Before your period of cover ends, we’ll send you a renewal notice that is an offer of insurance with us for another year.
The notice details the terms of your insurance policy for another year, such as your premium, amount of cover, Agreed Value, excess and so on. By paying your renewal premium, you have accepted this new agreement.
S
Sum Insured
The maximum that we will pay in the event of a total loss. Your Sum Insured is shown on your policy schedule and you should review this value at each renewal of the policy.
T
Total loss
When your property has been damaged to an extent that we don’t think it can be economically or safely repaired.
Third Party
The other person involved in the accident.
U
Uninsured driver
A driver who damages your car or property and doesn’t have insurance of their own.
V
Voluntary excess
This can be added on top of your standard or base excess, to reduce your premium. We have a range of voluntary excess options to choose from. The higher excess you choose, the lower your premium will be.