Claim
A request for payment or another remedy. An insurance claim and a lawsuit are different steps.
Legal terms, in plain language
Use these definitions to follow a conversation with a firm or insurer. They are starting points; state law and policy language may change how a term applies to you.
Contingency fee
A fee arrangement in which a lawyer is paid from a recovery if the agreed conditions are met. Review the written agreement for the percentage, expenses, and other terms.
Damages
Money sought or awarded for legally recognized loss or injury. The available categories and rules depend on the case and jurisdiction.
Deposition
Out-of-court testimony given under oath, usually as part of discovery in a lawsuit.
Discovery
The pretrial process for obtaining information and evidence from the other side in a lawsuit.
Liability
Legal responsibility. Whether a party is liable depends on the facts and applicable law.
Mediation
A process in which a neutral person helps parties discuss a possible resolution. The mediator does not decide the case.
Release
An agreement that may give up legal claims in exchange for a settlement or other consideration. Ask a lawyer to review its effect before signing if you are uncertain.
Statute of limitations
A law that sets a period for filing a legal action. The applicable deadline can depend on the jurisdiction and circumstances.
Underinsured motorist coverage
Auto coverage that may apply when an at-fault driver has insurance but not enough to cover a loss, subject to policy terms and state law.
Uninsured motorist coverage
Auto coverage that may apply when an at-fault driver has no liability insurance, subject to policy terms and state law.
Check your understanding
Open a card to review a short definition. All definitions also appear above.
Discovery
The pretrial process for obtaining information and evidence from the other side in a lawsuit.
Mediation
A process in which a neutral person helps parties discuss a possible resolution. The mediator does not decide the case.
Statute of limitations
A law that sets a period for filing a legal action. The applicable deadline can depend on the jurisdiction and circumstances.
Definitions adapted in plain language from the United States Courts legal glossary, the American Bar Association glossary, and the California Department of Insurance auto insurance terms. General information only; reviewed September 2026.