Insurer

The insurance company that provides coverage is commonly referred to as the “insurer” in personal injury and property damage cases.  This term encompasses anyone who works for or on behalf of the insurance company, including insurance adjusters and claims representatives.  But, it generally will not include the attorney representing the insurance company. 

Who are the parties in an insurance contract?

An insurance contract involves two parties that are actually part of the agreement.  But, there is a third party involved as well. 

• The insured. This person is often whoever is paying the premiums, but it extends even further than that as well.  It usually includes an insured’s entire family and anyone that they give permission to drive their car or use their property.  For non-auto contracts, you will need to check your policy language to determine who is insured. 
• The insurer. The insurance carrier is referred to as the insurer.  The insurance company is the entity who writes the insurance contract, accepts premiums for the insurance, and pays out insurance benefits if necessary.
• The third-party beneficiary. For any insurance situation, there has to be someone who was damaged or suffered losses.  That person isn’t part of the insurance contract, but they are actually who the insurance contract was designed for—they are the one who receives compensation for their losses.

Any insurance contract involves a payment of premiums (usually monthly payments) in exchange for protection in the event of certain losses.  These losses are very well defined so that the insurer will only pay benefits if the injuries or damage meet very specific requirements.  These terms are described in the “policy.”

Who does the insurer pay?

The insurer will generally pay the person who suffered losses—the third party beneficiary.  The identity of the third-party will depend on the type of insurance involved.  Consider the following examples:

• If someone suffered a dog bite, your homeowners’ insurance might pay the dog bite victim for their losses from the bite.
• If you are involved in a car accident, your auto insurance policy may pay for the injuries and damage the other driver experienced because of the crash.
• If you slip and fall on someone else’s property, their property insurance (or homeowners’ insurance or umbrella policy) will likely address your injuries from the fall.

There are some situations where your insurance company pays you—because you are the one that suffered losses.  In cases where, for example, high winds cause damage to your home, then your homeowners’ policy will pay to have that replaced in most circumstances.  Many first-party insurance coverages (including uninsured motorist coverage for an accident involving an uninsured driver) will address things like medical expenses and property damage after a car accident. 

John Foy & Associates has the experience and knowledge you need to speak with an insurance company after an accident of any kind.  Don’t wait to get the process started.  Fill out the form to your right or call us at 404-400-4000 to get your FREE consultation today.