Insurance Terms & Definitions.

Coverages and benefits listed below may not be available in your state. If available, some optional coverages and benefits might be offered at an additional charge. Contact Cusumano Insurance Agency Inc today to learn more.


Limits your right to sue for pain and suffering, except in cases of serious injury. This “limited-tort” option qualifies you for a reduction in your premium.

Full Tort

Does not limit your right to sue. You do not qualify for a reduced premium if you elected the “full-tort” option.

First party benefits

Sometimes referred to as PIP benefits (Personal Injury Protection) First party benefits are paid regardless of fault and typically include payment for medical bills and lost wages up to a specific amount depending upon the amount of coverage you selected under your policy. Every PA insurance policy must provide at least $5,000 in medical benefits.

Medical Benefits

This pays medical bills for you and others covered on your policy regardless of fault. The minimum limit is $5,000 of coverage. Higher limits are available.

Funeral Benefit

This coverage pays, up to a certain dollar amount, money for funeral expenses if you or a family member dies as a result of an auto accident.

Income Loss

Pays a portion of your wages when injuries sustained in an auto accident keep you from working.

Extraordinary Medical Benefits

This coverage pays when medical and rehabilitation expenses exceed $100,000. It provides a maximum of $1 million of coverage.

Stacking of UM or UIM

This coverage allows you to either multiply the amount of uninsured or underinsured motorist coverage by the number of vehicles on your policy, or to receive uninsured or underinsured motorist coverage from more than one policy under which you are insured. It costs extra to stack uninsured or underinsured motorist coverage.

Underinsured Motorist (UIM)

This covers bodily injury losses for you or your passengers if you are hit by an at-fault motorist who does not have enough insurance to cover your claim.

Uninsured Motorist (UM)

This covers bodily injury for you or your family if you are hit by an at-fault uninsured motorist.

Towing Coverage

An optional coverage of an automobile policy that pays a specified amount for towing and related labor costs.

Rental Reimbursement Coverage

This coverage pays – up to a defined amount – your expenses to rent a vehicle if you have a loss covered under comprehensive or collision benefits. Coverage is sold based on a daily amount of expense, subject to a maximum limit.

Property Damage Liability

Coverage for damage to someone’s property resulting from an accident where you are at fault. The minimum limit is $5,000 of coverage. Some companies offer a single limit of $35,000, which meets the bodily injury liability and property damage liability minimum requirements.

Comprehensive Coverage

Generally, this pays for theft or damage to your car from hazards including fire, flood, vandalism or striking an animal. Most banks or lenders require you to buy this coverage to receive a car loan. There are various levels of deductible to purchase.


This benefit pays to repair damage to your car as a result of an accident. Most banks or lenders require you to buy this coverage to receive a car loan. Under Pennsylvania law, the company applies a $500 deductible unless you request a lower amount. The higher your deductible, the lower your premium.

Bodily Injury Liability

If you injure someone in a car accident, this coverage pays his/her medical and rehabilitation expenses and any damages for which you are found liable. The minimum limit is $15,000/$30,000. The $15,000 pays for injuries to one person while the $30,000 represents the total available for one accident.