Dealing with the auto insurance process following a car accident can be a source of stress and overwhelm, especially for first-time individuals. The abundance of terms and information can be daunting. Allow us to assist you in initiating and navigating this process with ease. This glossary provides a foundation for understanding key terms related to auto body repair, auto accidents, and auto insurance processes.

Adjuster

Definition: An insurance professional responsible for evaluating and settling claims, determining the extent of damage, and estimating repair costs.

Appraisal

Definition: The process of assessing the value of a vehicle, often conducted by insurance appraisers to determine the cost of repairs or total loss.

Claim:

Definition: A formal request made by the policyholder to the insurance company to cover damages or losses incurred, such as those resulting from an auto accident.

Collision Coverage

Definition: An insurance policy that covers damage to the insured vehicle caused by a collision with another vehicle or object.

Deductible

Definition: The amount of money the policyholder must pay out of pocket before the insurance coverage takes effect. Higher deductibles often result in lower insurance premiums.

Estimate

Definition: A detailed calculation of the anticipated costs to repair damages to a vehicle, provided by an auto body shop or an insurance appraiser.

OEM (Original Equipment Manufacturer)

Definition: Parts or components made by the same manufacturer that produced the original parts in the vehicle. Some insurance policies specify the use of OEM parts in repairs.

Salvage Title

Definition: A title designation indicating that a vehicle has been significantly damaged, often to the point of being declared a total loss. Salvage title vehicles may have undergone repairs and passed inspections.

Subrogation

Definition: The process by which an insurance company seeks reimbursement from the at-fault party or their insurance company for the payments made to the insured.

Total Loss

Definition: A situation where the cost of repairing a damaged vehicle exceeds its current market value, resulting in the insurance company declaring it a total loss.

Underinsured Motorist (UIM) Coverage

Definition: Insurance coverage that protects the policyholder in the event of an accident with a driver who has insufficient insurance to cover the damages.

Uninsured Motorist (UM) Coverage

Definition: Insurance coverage that provides protection when the policyholder is involved in an accident with a driver who does not have any insurance.

VIN (Vehicle Identification Number)

Definition: A unique code assigned to each vehicle for identification purposes. It contains information about the vehicle’s make, model, year, and manufacturing location.

Diminished Value

Definition: The reduction in a vehicle’s market value due to its history of being involved in an accident, even after it has been fully repaired.

Lienholder

Definition: A person or entity that holds a security interest in the vehicle, typically a financial institution that has provided a loan for its purchase.

Aftermarket Parts

Definition: Non-OEM parts used in vehicle repairs, often less expensive than OEM parts. Some insurance policies may cover or require their use in repairs.

Depreciation

Definition: The decrease in the value of a vehicle over time, taken into account when calculating insurance payouts for repairs or total losses.

Towing Coverage

Definition: An optional insurance coverage that pays for the cost of towing a damaged vehicle to a repair facility after an accident.

A1 Auto Body Repair Shop, conveniently located in Lynnwood, WA, is your expert destination for comprehensive car collision and accident auto body repair and restoration services, whether you’re processing through insurance or opting for out-of-pocket payments. With a rich background and extensive expertise in navigating the complexities of insurance dealings related to auto accidents, we ensure a seamless process for our clients. Beyond major repairs for collisions, we are equipped to address minor issues like dings and dents, as well as provide full-scale auto body restoration. Contact us today to benefit from our proficiency and receive a complimentary estimate for your auto body needs.