Can Somebody Explain These Terms? (and Add Any Other)

[FL_PC]

Preferred Personal Lines = ?

Standard / Non Standard auto policy = ?

Thanks.

 

[HomeService]

Preferred personal lines is really the same as standard. Folks with owned houses and newer cars, middle aged and older folks, not kids driving, no tickes and accidents. Sub standard is basically either young folks with tickets and accidents or older folks with tickets and accidents, maybe they rent instead of own a house, so on. Maybe they had a DUI for substandard, so on. Stuff like that.

 

[Guest]

preferred/standard = low risk to insure
non-standard = high risk to insure

 

[reductable]

Agree with the others and to take it a step further sometimes (but not always) standard means admitted and non-standard means non-admitted.
or
Some companies will have a standard company and a non standard company. If you don't fit preferred/standard/mutual company criteria for whatever reason, they may place you in their non-standard company. Companies do this for many reasons- reinsurance, performance, rates, filings...

 

[FL_PC]

Thanks a lot guys. Feel free to add any other similar terms.