SEATTLE, Wash. - When it comes to insurance you’ve likely heard industry terms thrown around with no idea what they actually mean. At Insurance Services Group, we often use these terms but we also like our clients to know what we’re talking about. That’s why our team is happy to explain insurance terminology to our clients who want more information, and there are a few terms we think everyone should know and understand. That way, the next time you hear them, you’ll know exactly what we're talking about.

1. Coverage: The scope of protection provided by an insurance policy including properties, locations and individuals insured, as well as limits of such protection.

2. Standard Coverage: This refers to the basic coverage required by law. You are most likely to hear this term used in reference to auto insurance.

3. Full Coverage: This isn’t an insurance term. There is no such thing as full coverage. To make sure you have the right coverage for your situation, schedule a policy review with your Insurance Services Group agent.

4. Deductible: A deductible is the amount of money a consumer is responsible to pay before insurance kicks in following a covered event.

5. Limit: A limit is the total amount of coverage offered by a policy.

6. Premium: A premium is the amount you pay for your insurance policy.

7. Agent: An agent is an individual who sells insurance policies and services. Direct agents represent a single insurance carrier while independent agents like those at Insurance Services Group shop from among a network of carriers in order to offer pricing comparisons and other benefits to customers.

8. Liability: This broad term refers to legally enforceable obligations. Liability insurance policies help pay for damages and services required due to the responsibility or negligence of the insured party.

9. Risk: This broad term refers to the probability of loss.

10. Exclusion: An exclusion is a condition or item not covered by an insurance policy.

At Insurance Services Group, our goal is to protect our client while helping to educate too. If you have questions about insurance terms, your policy or any other insurance-related issue, please contact our team right away.