Deductible, Limit, and Premium and the name of the AL3 group where we can find these for AUTOP



Your policy deductible, also known as an annual deductible, is the amount you are responsible for paying out of pocket prior to your insurance policy providing support and coverage. It essentially amounts to a risk-sharing arrangement between your insurance provider and you.

Small company owners are often given a choice of deductible choices by insurance companies. Choose a modest deductible if you’d prefer to reduce your claims to a minimum. However, this usually results in a premium increase. Instead, get a high-deductible policy if you don’t mind paying extra out of pocket for claims. Usually, this will lower your premium.


Your insurance limit, also known as your coverage amount, means the maximum amount your insurer will settle a claim for under the terms of your policy. Most insurance agreements, including those for auto and house, provide a variety of coverage categories with specific coverage limits.
Policy limitations for workers’ compensation insurance vary based on the kind of loss. For instance, workers who become ill or injured at work may be reimbursed for their lost pay and medical expenses. The Workers’ Compensation Board in your state decides on the precise sum. Limits for worker injuries or diseases may be different from limits for claims of employer carelessness.

EXAMPLE: It is comparable to filling a fishbowl. Your insurance coverage will pay up to a specified amount in the event that you submit a covered claim. Any expenses that exceed the required amount are your duty.


You pay an insurance premium when you purchase coverage. Always pay your premium when it’s due, which is often monthly, quarterly, semiannually, or annually, if you want a constant safety net. Insurers frequently give business owners who pay their complete premium at the time a policy has launched a discount.

Your coverage will eventually be canceled by your insurer if you don’t pay your premium (or in insurance lingo, your policy will lapse). You have a grace time to make a payment after missing a premium. If you continue to default on your payments, your coverage will expire, leaving you open to further losses. It’s critical to timely pay your insurance rates if you want to safeguard your company.
We can find these details for AUTOP in the 6CVA group.

6CVA: Personal Automobile Coverage and Adjustments Group
Only transactions involving personal automobiles are handled by this Coverage Group. The coverage’s limits or increasing amounts should be entered in the limit fields. Coverages may be used either at the policy level or the unit level at risk.

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