COLLISION GLOSSARY

I
Imitation parts: (same as aftermarket parts) – New replacement parts that were not made by the original equipment manufacturer (OEM). Imitation parts offer a price-based alternative, but may not provide the same fit, finish, and structural strength. They may not perform to Honda’s exacting specifications so they may not return the car to its full pre-loss condition. Aftermarket parts are often referred to on your estimate with these names or abbreviations:
A/M    Aftermarket / Automotive replacement parts
QRP Quality Replacement Parts
CP     Competitive Parts
LKQ   Like Kind and Quality
For more information on imitation parts.
Indemnity: A principle that when a loss occurs, the insured and his vehicle should be restored to the condition they were in before the loss occurred — no better, no worse. In practice this is limited by the value of coverage and the terms specified in the insurance policy. Forms of indemnity include cash payments, repairs, replacement, and reinstatement. This is the principle upon which insurance contracts are based.
Insurance: Insurance is a system in which groups of people (such as automobile owners) who have similar chances of suffering a loss transfer their risk of loss to an insurer who pools the risk of many drivers together. The insurance company promises to reimburse the person for their covered losses in exchange for payment of the premium.
Insured: A person or organization who has or is covered by an insurance policy.