i need help in this question ASAP !!

1- Please read carefully the Auto Insurance Policy

For the policy ---- analyze the following sections:

1. Definitions

2. Insuring agreement

3. Exclusions

4. Transfer

5. Cancellation policy

*For each section, you need to write the specific examples/sentences used in the policy AND then analyze those in your own words.

*Do NOT just copy and paste from the document. You need to explain your understanding for each section.

2- Explain in your own words the importance of deductibles in an auto insurance policy (400 words)

Auto insurance policy:

Allstate Insurance Company The Company Named in the Policy Declarations A Stock Company Home Office: Northbrook, Illinois This policy is a legal contract between you and us. A coverage applies only when a premium for it is shown on the Policy Declarations. If more than one auto is insured, premiums will be shown for each auto. If you pay the premiums when due and comply with the policy terms, Allstate, relying on the information you have given us, makes the following agreements with you. When And Where The Policy Applies Your policy applies only during the policy period. During this time, it applies to losses to the auto, accidents and occurrences within the United States of America, its territories or possessions or Canada, or between their ports. The policy period is shown on the Policy Declarations. Changes Premium Changes The premium for each auto is based on information Allstate has received from you or other sources. You agree to cooperate with us in determining if this information is correct, if it is complete, and if it changes during the policy period. You agree that if this information changes or is incorrect or incomplete, we may adjust your premium accordingly during the policy period. Changes which result in a premium adjustment are contained in our rules. These include, but are not limited to: 1. autos insured by the policy, including changes in use. 2. drivers residing in your household, their ages or marital status. 3. coverages or coverage limits. 4. rating territory. 5. discount eligibility. Any calculation or adjustment of your premium will be made using the rules, rates and forms in effect, and on file if required, for our use in your state.

Coverage Changes When Allstate broadens a coverage during the policy period without additional charge, you have the new feature if you have the coverage to which it applies. The new feature applies on the date the coverage change is effective in your state. Otherwise, the policy can be changed only by endorsement. Any change in your coverage will be made using the rules, rates and forms in effect, and on file if required, for our use in your state. Duty To Report Autos You must tell us within 60 days when you acquire an additional or replacement auto. If you dont, certain coverages of this policy may not apply. COMBINING LIMITS OF TWO OR MORE AUTOS PROHIBITED IF YOU HAVE TWO OR MORE AUTOS INSURED IN YOUR NAME AND ONE OF THESE AUTOS IS INVOLVED IN AN ACCIDENT, ONLY THE COVERAGE LIMITS SHOWN ON THE POLICY DECLARATIONS FOR THAT AUTO WILL APPLY. WHEN YOU HAVE TWO OR MORE AUTOS INSURED IN YOUR NAME AND NONE OF THEM IS INVOLVED IN THE ACCIDENT, YOU MAY CHOOSE ANY SINGLE AUTO SHOWN ON THE POLICY DECLARATIONS AND THE COVERAGE LIMITS APPLICABLE TO THAT AUTO WILL APPLY. THE LIMITS AVAILABLE FOR ANY OTHER AUTO COVERED BY THE POLICY WILL NOT BE ADDED TO THE COVERAGE FOR THE INVOLVED OR CHOSEN AUTO. Transfer This policy cant be transferred to anyone without our written consent. However, if you die, coverage will be provided until the end of the policy period for: 1. your legal representative while acting as such, and 2. persons covered on the date of your death. Cancellation You may cancel this policy by writing us the future date you wish to stop coverage. Allstate may cancel part or all of this policy by mailing notice to you at your last known address. If we cancel because you didnt pay the premium, the date of cancellation will be at least 10 days after the date of mailing. If we cancel for any reason other than non-payment of premium, we will give you notice as follows: 1. During the first 60 days the original policy is in effect, we will give you at least 10 days notice of cancellation. 2. After the first 60 days, we will give you 30 days notice of cancellation. Proof of mailing the notice will be proof of notice. A refund, if due, will be proportional to the time your policy has been in effect, but cancellation will be effective even if the refund is not made immediately. After your original policy has been in effect 60 days, Allstate wont cancel your policy unless: 1. you dont pay the premium when its due; 2. you or any member of your household are convicted of a crime due to acts which increase the hazard we insure against; 3. Fraud or material misrepresentation is used in obtaining the policy or making a claim; 4. An act or omission, or a violation of any condition of the policy, occurs during the policy period which substantially and materially increases the hazard we insure against; 5. A material change in the nature or extent of the risk occurs during the policy period which causes the risk of loss to be substantially and materially increased; or 6. Allstate has mailed notice within the first 60 days that we dont intend to continue the policy. If we dont intend to continue the policy beyond the current policy period, we will mail you notice at least 30 days before the end of the policy period

Part 1 Automobile Liability Insurance Bodily Injury __ Coverage AA Property Damage __ Coverage BB Allstate will pay for damages an insured person is legally obligated to pay because of: 1. bodily injury sustained by any person, and 2. damage to, or destruction of, property. Under these coverages, your policy protects an insured person from liability for damages arising out of the ownership, maintenance or use, loading or unloading of an insured auto. We will defend an insured person sued for damages which are covered by this policy, even if the suit is groundless or false. We will choose the counsel. We may settle any claim or suit if we believe it is proper. We will not defend an insured person sued for damages which are not covered by this policy. Additional Payments Allstate Will Make When we defend an insured person under this part, we will pay 1. up to $50 a day for loss of wages or salary if we ask that person to attend hearings or trials to defend against a bodily injury suit. We wont pay for loss of other income. We will pay other reasonable expenses incurred at our request. 2. court costs for defense. 3. interest accruing on damages awarded. We will pay this interest only until we have paid, offered, or deposited in court the amount for which we are liable under this policy. We will only pay interest on damages not exceeding our limits of liability. 4. premiums on appeal bonds and on bonds to release attachments, but not in excess of our limit of liability. We arent required to apply for or furnish these bonds. We will repay an insured person for 1. the cost of any bail bonds required due to an accident or traffic law violation involving the use of the insured auto. We wont pay more than $300 per bond. We arent required to apply for or furnish these bonds.

2. any expense incurred for first aid to others at the time of an auto accident involving the insured auto. Insured Persons 1. While using your insured auto: a) you, b) any resident, and c) any other person using it with your permission. 2. While using a non-owned auto: a) you, b) any resident relative using a four wheel private passenger auto or utility auto. 3. Any other person or organization liable for the use of an insured auto if the auto is not owned or hired by this person or organization provided the use is by an insured person under 1. or 2. above. Insured Autos 1. Any auto described on the Policy Declarations. This includes the four wheel private passenger auto or utility auto you replace it with. 2. An additional four wheel private passenger auto or utility auto you become the owner of during the policy period. This auto will be covered if we insure all other private passenger autos or utility autos you own. You must, however, tell us within 60 days of acquiring the auto. You must pay any additional premium. 3. A substitute four wheel private passenger auto or utility auto, not owned by you or a resident, being temporarily used while your insured auto is being serviced or repaired, or if your insured auto is stolen or destroyed. 4. A non-owned auto used by you or a resident relative with the owners permission. This auto must not be available or furnished for the regular use of an insured person. 5. A trailer while attached to an insured auto. The trailer must be designed for use with a private passenger auto or utility auto. This trailer cant be used for business purposes with other than a private passenger auto or utility auto.

1. "Allstate", "We", "Us", or "Our" __ means the Allstate Insurance Company or Allstate Indemnity Company as shown on the Policy Declarations. 2. "Auto" __ means a land motor vehicle designed for use on public roads. 3. "Bodily Injury" __ means bodily injury, sickness, disease or death. 4. "Resident" __ means a person who physically resides in your household with the intention of continuing residence there. Your unmarried dependent children while temporarily away from home will be considered residents if they intend to resume residing in your household. 5. "Utility Auto" __ means an auto of the pick-up body, sedan delivery or panel truck type. This auto must have a rated load capacity of not more than 2,000 pounds. 6. "You" or "Your" __ means the policyholder named on the Policy Declarations and that policyholders resident spouse. Exclusions __ What is not covered Allstate will not pay for any damages an insured person is legally obligated to pay because of: 1. bodily injury or property damage arising out of the use of your insured auto while used to carry persons or property for a charge, or any auto you are driving while available for hire by the public to the extent that the limits of liability for this coverage exceed the limits of liability required by the Nevada financial responsibility law. This exclusion does not apply to shared expense car pools. 2. bodily injury or property damage arising out of the use of a non-owned auto in any business or occupation of an insured person to the extent that the limits of liability for this coverage exceed the limits of liability required by the Nevada financial responsibility law. However, this exclusion does not apply while you, your chauffeur, or domestic servant are using a private passenger auto or trailer. 3. bodily injury to an employee of any insured person arising in the course of employment. This exclusion does not apply to your domestic employee who is not required to be covered by a workers compensation law or similar law. 4. bodily injury to a co-worker injured in the course of employment. This exclusion does not apply to you. 5. bodily injury to you or any resident of your household related to you by blood, marriage, or adoption to the extent that the limits of liability for this coverage exceed the limits of liability required by the Nevada financial responsibility law. 6. damage to or destruction of property an insured person owns, transports, is in charge of, or rents. However, a private residence or a garage rented by that person is covered. 7. bodily injury or property damage which may reasonably be expected to result from the intentional acts of an insured person or which are in fact intended by an insured person to the extent that the limits of liability for this coverage exceed the limits of liability required by the Nevada financial responsibility law. 8. bodily injury or property damage which would also be covered under nuclear energy liability insurance to the extent that the limits of liability for this coverage exceed the limits of liability required by the Nevada financial responsibility law. This applies even if the limits of that insurance are exhausted. Financial Responsibility When this policy is certified as proof under any motor vehicle financial responsibility law, this policy will comply with the provisions of that law. LIMITS OF LIABILITY THE LIMITS SHOWN ON THE POLICY DECLARATIONS ARE THE MAXIMUM WE WILL PAY FOR ANY SINGLE AUTO ACCIDENT. THE LIMIT STATED FOR EACH PERSON FOR BODILY INJURY IS OUR TOTAL LIMIT OF LIABILITY FOR DAMAGES BECAUSE OF BODILY INJURY SUSTAINED BY ONE PERSON IN ANY SINGLE AUTO ACCIDENT, INCLUDING DAMAGES SUSTAINED BY ANYONE ELSE AS A RESULT OF THAT BODILY INJURY. SUBJECT TO THE LIMIT FOR EACH PERSON, THE LIMIT STATED FOR EACH OCCURRENCE IS OUR TOTAL LIMIT OF LIABILITY FOR DAMAGES FOR

BODILY INJURY SUSTAINED BY TWO OR MORE PERSONS IN ANY SINGLE AUTO ACCIDENT. FOR PROPERTY DAMAGE, THE LIMIT APPLIES TO DAMAGES ARISING FROM EACH OCCURRENCE. THE LIABILITY LIMITS APPLY TO EACH INSURED AUTO AS SHOWN ON THE POLICY DECLARATIONS. THE INSURING OF MORE THAN ONE PERSON OR AUTO UNDER THIS POLICY WILL NOT INCREASE OUR LIABILITY LIMITS BEYOND THE AMOUNT SHOWN FOR ANY ONE AUTO, EVEN THOUGH A SEPARATE PREMIUM IS CHARGED FOR EACH AUTO. THE LIMITS ALSO WONT BE INCREASED IF YOU HAVE OTHER AUTO INSURANCE POLICIES THAT APPLY. THERE WILL BE NO DUPLICATION OF PAYMENTS MADE UNDER THE BODILY INJURY LIABILITY COVERAGE, UNINSURED MOTORISTS COVERAGE AND MEDICAL PAYMENTS COVERAGE OF THIS POLICY. AN AUTO AND ATTACHED TRAILER ARE CONSIDERED ONE AUTO. ALSO, AN AUTO AND A MOUNTED CAMPER UNIT, TOPPER, CAP OR CANOPY ARE CONSIDERED ONE AUTO. IF THERE IS OTHER INSURANCE IF AN INSURED PERSON IS USING A SUBSTITUTE PRIVATE PASSENGER AUTO OR NON-OWNED AUTO, OUR LIABILITY INSURANCE WILL BE EXCESS OVER OTHER COLLECTIBLE INSURANCE. IF MORE THAN ONE POLICY APPLIES ON A PRIMARY BASIS TO AN ACCIDENT INVOLVING YOUR INSURED AUTO, WE WILL BEAR OUR PROPORTIONATE SHARE WITH OTHER COLLECTIBLE LIABILITY INSURANCE. THIS INSURANCE WILL BE EXCESS OVER ANY INSURANCE COVERING AN AUTOMOBILE BUSINESS WHILE YOUR INSURED AUTO IS BEING OPERATED BY A PERSON ENGAGED IN THAT AUTOMOBILE BUSINESS. AN AUTOMOBILE BUSINESS INCLUDES REPAIRING, SERVICING, TESTING, WASHING, PARKING, STORING, DELIVERING OR SELLING OF AUTOS. Assistance And Cooperation When we ask, an insured person must cooperate with us in the investigation, settlement and defense of any claim or lawsuit. If we ask, that person must also help us obtain payment from anyone who may be jointly responsible.

Action Against Allstate No insured person may sue us under this coverage unless there is full compliance with all the policy terms. If liability has been determined by judgment after trial, or by written agreement among the insured, the other person, and us, then whoever obtains this judgment or agreement against an insured person, may sue us up to the limits of this policy. However, no one has the right to join us in a suit to determine legal responsibility. The bankruptcy or insolvency of an insured person or that persons estate wont relieve us of any obligation. What To Do In Case Of An Auto Accident Or Claim If an insured person has an auto accident, we must be informed promptly of all details. If an insured person is sued as the result of an auto accident, we must be informed immediately. Part 2 Automobile Medical Payments Coverage CC Allstate will pay to or on behalf of an insured person all reasonable expenses actually incurred by an insured person for necessary medical treatment, services, or products actually provided to the insured person. Payments will be made only when bodily injury, sickness, disease, or death is caused by an auto accident. Ambulance, hospital, medical, surgical, X-ray, dental, orthopedic and prosthetic devices, professional nursing services, pharmaceuticals, eyeglasses, hearing aids, and funeral service expenses are covered. The treatment, services, or products must be rendered within one year after the accident. This will be extended to five years if the amount of insurance shown on the Policy Declarations for this coverage is more than $5,000.

This coverage does not apply to any person to the extent that the treatment is covered under any workers compensation law. Insured Persons 1. You and any resident relative who sustains bodily injury while in, on, getting into or out of, or when struck by, an auto or trailer. The use of a non-owned auto must be with the owners permission. 2. Any other person who sustains bodily injury while in, on, getting into or out of a) your insured auto while being used by you, a resident relative, or any other person with your permission. b) a non-owned auto if the injury results from your operation or occupancy. c) a non-owned auto if the injury results from the operation on your behalf by your private chauffeur or domestic servant. d) a non-owned private passenger auto or trailer if the injury results from the operation or occupancy by a resident relative. The use of non-owned autos must be with the owners permission. Insured Autos 1. Any auto described on the Policy Declarations. This includes the four wheel private passenger auto or utility auto you replace it with. 2. An additional four wheel private passenger auto or utility auto you become the owner of during the policy period. This auto will be covered if we insure all other private passenger autos or utility autos you own. You must, however, tell us within 60 days of acquiring the auto. You must pay any additional premium. 3. A substitute four wheel private passenger auto or utility auto, not owned by you or a resident, temporarily used while your insured auto is being serviced or repaired, or if your insured auto is stolen or destroyed. 4. A non-owned auto having not less than four wheels used with the owners permission. This auto must not be available or furnished for the regular use of an insured person. 5. A trailer while attached to an insured auto. The trailer must be designed for use with a private passenger auto or utility auto. This trailer cant be used for business purposes with other than a private passenger auto or utility auto. Definitions 1. "Allstate", "We", "Us", or "Our" __ means the Allstate Insurance Company or Allstate Indemnity Company as shown on the Policy Declarations. 2. "Auto" __ means a land motor vehicle designed for use on public roads. 3. "Resident" __ means a person who physically resides in your household with the intention of continuing residence there. Your unmarried dependent children while temporarily away from home will be considered residents if they intend to resume residing in your household. 4. "Utility Auto" __ means an auto of the pickup body, sedan delivery or panel truck type. This auto must have a rated load capacity of not more than 2,000 pounds. 5. "You" or "Your" __ means the policyholder named on the Policy Declarations and that policyholders resident spouse. Exclusions __ What is not covered This coverage does not apply to bodily injury, sickness, disease or death to 1. you or a resident relative while in, on, getting into or out of an auto you or a resident relative own but do not insure for this coverage. 2. you or a resident relative while in, on, getting into or out of, or struck as a pedestrian by: a) a vehicle operated on rails or crawler-treads, or b) a vehicle or other equipment designed for use off public roads, while not on public roads. 3. any person while in, on, getting into or out of: a) an owned auto while available for hire to the public. This exclusion does not apply to shared-expense car pools. b) an auto or trailer while used as a residence or premises. 4. any person, other than you or a resident relative, while using a non-owned auto: a) which is available for hire by the public, or b) in auto business operations such as repairing, servicing, testing, washing, parking, storing or selling of autos. Coverage is provided for you, your private chauffeur or domestic servant while using a private passenger auto or trailer in any other business or occupation. 5. any person resulting from any act of war, insurrection, rebellion, or revolution. LIMITS OF LIABILITY THE LIMIT SHOWN ON THE POLICY DECLARATIONS IS THE MAXIMUM WE WILL PAY FOR ALL EXPENSES INCURRED BY OR FOR EACH INSURED PERSON AS THE RESULT OF ANY ONE AUTO ACCIDENT. THE MEDICAL PAYMENTS LIMIT APPLIES TO EACH INSURED AUTO AS STATED ON THE POLICY DECLARATIONS. THE INSURING OF MORE THAN ONE PERSON OR AUTO UNDER THIS POLICY WILL NOT INCREASE OUR LIMIT BEYOND THE AMOUNT SHOWN FOR ANY ONE AUTO, EVEN THOUGH A SEPARATE PREMIUM IS CHARGED FOR EACH AUTO. THE LIMIT ALSO WILL NOT BE INCREASED IF YOU HAVE OTHER AUTO INSURANCE POLICIES THAT APPLY. If an insured person dies as the result of a covered auto accident, we will pay the least of the following as a funeral service expenses benefit: 1. $2,000; or 2. the Coverage CC limit of liability stated on the Policy Declarations; or 3. the remaining portion of the Coverage CC limit of liability not expended for other covered medical expenses. This funeral service expenses benefit does not increase, and will not be paid in addition to, the limits of liability stated on the Policy Declarations for Coverage CC. This benefit is payable to the deceased insured persons spouse if a resident of the same household at the time of the accident. However, if the deceased is a minor, the benefit is payable to either parent if that parent is a resident of the same household at the time of the accident. In all other cases, the benefit is payable to the deceased insured persons estate

THERE WILL BE NO DUPLICATION OF PAYMENTS MADE UNDER THE BODILY INJURY LIABILITY AND AUTOMOBILE MEDICAL PAYMENTS COVERAGES OF THIS POLICY. ALL PAYMENTS MADE TO OR ON BEHALF OF ANY PERSON UNDER THIS COVERAGE WILL BE CONSIDERED AS ADVANCE PAYMENTS TO THAT PERSON. THE DAMAGES PAYABLE UNDER THE BODILY INJURY LIABILITY COVERAGE OF THIS POLICY WILL BE REDUCED BY THAT AMOUNT. Unreasonable Or Unnecessary Medical Expenses If the insured person incurs medical expenses which are unreasonable or unnecessary, we may refuse to pay for those expenses and contest them. Unreasonable medical expenses are fees for medical services which are substantially higher than the usual and customary charges for those services. Unnecessary medical expenses are fees for medical services which are not usually and customarily performed for treatment of the injury, including fees for an excessive number, amount, or duration of medical services. If the insured person is sued by a medical services provider because we refuse to pay contested medical expenses, we will pay all defense costs and any resulting judgment against the insured person. We will choose the counsel. The insured person must cooperate with us in the defense of any claim or lawsuit. If we ask the insured person to attend hearings or trials, we will pay up to $50 per day for loss of wages or salary. We will also pay other reasonable expenses incurred at our request. IF THERE IS OTHER INSURANCE WHEN THIS COVERAGE APPLIES TO A SUBSTITUTE AUTO OR NON-OWNED AUTO, ALLSTATE WILL PAY ONLY AFTER ALL OTHER COLLECTIBLE AUTO MEDICAL INSURANCE HAS BEEN EXHAUSTED. WHEN THIS COVERAGE APPLIES TO A REPLACEMENT AUTO OR ADDITIONAL AUTO, THIS POLICY WILL NOT APPLY IF YOU HAVE OTHER COLLECTIBLE AUTO MEDICAL INSURANCE. Assistance And Cooperation When we ask, an insured person must cooperate with us in the investigation, settlement and defense of any claim or lawsuit. If we ask, that person must also help us obtain payment from anyone who may be jointly responsible. We cant be obligated if an insured person voluntarily takes any action or makes any payments other than for covered expenses for first aid to others. Action Against Allstate No one may sue us under this coverage unless there is full compliance with all the policy terms. Proof Of Claim; Medical Reports As soon as possible, any person making claim must give us written proof of claim. It must include all details we may need to determine the amounts payable. We may also require any person making claim to submit to questioning under oath and sign the transcript. The injured person may be required to take medical examinations by physicians we choose, as often as we reasonably require. We must be given authorization to obtain medical reports and other records pertinent to the claim.