What is an Insurer?
An Insurer is, “the underwriter or insurance company with whom a contract of insurance is made.” (Black’s Law Dictionary 946. 4th Ed. Rev. 1968). It is important not to confuse the insurer with the insured. The insurer is the party offering insurance, while the insured is the individual who receives insurance (the policyholder). Usually the insurer is an insurance company.
Insurers usually have a pool of policyholders at any given time. Insurers draft policies and agree to terms with policyholders. When a policyholder experiences a loss covered by the policy, they file a claim with the insurer. The insurer reviews the claim and covers the loss if it meets the policy’s terms.
Insurers are subjected to legal obligations. They, like the policyholders, are legally bound by insurance contracts. They are also regulated by government agencies, which serve to make them operate legally and fairly. If an insurer fails to process claims fairly, unreasonably denies claims, or delays payments, it may be acting in bad faith. Policyholders can take legal action against insurers for such practices.
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What Does it Mean When You Stack Your Auto Insurance Policies?
Understanding Stacked Car Insurance
Understanding Stacked Car InsuranceIt is estimated that 12.6 percent of motorists on the road in 2019 were driving without car insurance. That equals to approximately one in eight drivers are behind the wheel without insurance. Not only is this illegal and dangerous, but getting into an accident can be costly to all involved.
If you get into a severe car accident in Pennsylvania with an uninsured motorist, your first concern may be how will you pay for your medical expenses. Will you be stuck with the bill?
Fortunately, there are provisions in your insurance policy that will pay for any of the injuries you may receive. And if your underinsured and uninsured motorist coverage is stacked, then you won’t have to worry about paying for the large medical bills.
But what is stacked insurance? […]
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