Car insurance 101

Got car insurance questions? We’ve got answers! Get the scoop on your car insurance policy—from coverage, costs, and more.
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The Ultimate Guide to Car Insurance

It's not that hard to become a car insurance pro. Let's roll!

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A Different Kind of Car Insurance

Let's explore the unique perks and benefits of Lemonade Car, a whole new way of doing car insurance.

Types of Car Insurance

Your car insurance policy is a collection of different coverages—some legally mandated, and others optional.

What You Need To Know About Lemonade Car

Don't go to pieces. Car insurance doesn't have to be a headache

What is a Multi-driver Car Insurance Policy?

Who should I cover to drive my car? And how will covering multiple drivers on my policy affect my premium?

How Does Lemonade Car Price Policies?

And what the heck is a Safety Score?

What is a Multi-car Insurance Policy?

And can it save me money on my car insurance premium?

Car Insurance Deductible

Your car insurance deductible is the amount of money you’d contribute when your insurance company pays for a covered claim.

What’s the Best Car Insurance for Low-Mileage Drivers?

Act of God Insurance

The insurance industry uses the term “Acts of God” to refer to damage caused by something that’s outside of human control.

Annual Mileage

Your car's annual mileage is one part of a bigger picture.

Car Insurance Exclusions

Car insurance exclusions are a way for insurance companies to more narrowly define what’s covered, and what’s not, in a car insurance policy.

Proof of Insurance

Proof of insurance is a document issued by your insurance company that provides proof you have at least the state-mandated minimum insurance coverage.

Vehicle Identification Number

A vehicle identification number (also called a VIN number) is used to identify the specific vehicle and vehicle type

Subrogation

Subrogation is a legal right that allows your insurer to pay for your damages before pursuing the responsible party to collect the debt it's owed.

Rated Resident

A rated resident refers to a member of your household who drives an insured car, and whose driving record is used to determine your insurance premiums. 

Total Loss

An insurance company usually declares a car to be a total loss when the cost of repair is greater than the cost to replace.

Waiver of Subrogation

Before you agree to sign one of these, take a look at what it entails. We explain everything in plain English.

Betterment

A betterment clause states that an insurer will not pay for any repairs or replacement parts that improve the car’s condition and increase its value.

Actual Cash Value

Actual cash value (ACV) is the amount an insurance company decides your car is worth at the time of an accident.

Salvage Title

A salvage title is a branded title that warns buyers of the extent of damages from an accident, theft, or other situation like a natural disaster. 

Trailer Insurance

What to know about auto insurance and your non-motorized trailer.

Pay-per-mile Car Insurance, Explained

The Lemonade Car Claims Experience, Explained

High-tech + human empathy = the best claims process imaginable

Please note: Lemonade articles and other editorial content are meant for educational purposes only, and should not be relied upon instead of professional legal, insurance or financial advice. The content of these educational articles does not alter the terms, conditions, exclusions, or limitations of policies issued by Lemonade, which differ according to your state of residence. While we regularly review previously published content to ensure it is accurate and up-to-date, there may be instances in which legal conditions or policy details have changed since publication. Any hypothetical examples used in Lemonade editorial content are purely expositional. Hypothetical examples do not alter or bind Lemonade to any application of your insurance policy to the particular facts and circumstances of any actual claim.