What is a Policyholder in Insurance?

Understanding what insurance policyholders are is essential for navigating coverage effectively. Whether you're considering auto, home, or life insurance, knowing the role of the policyholder clarifies responsibilities and ensures you make informed decisions about your coverage.

Who is the Policyholder on an Insurance Policy?

The policyholder is the individual or entity that owns the insurance policy. They are responsible for paying premiums and managing the policy.

Auto Policyholder vs. Insured Party: Who is Insured?

While the policyholder is the individual(s) or entity that purchases an auto insurance policy and is responsible for it, the insured party is the individual(s) or vehicles covered by the policy against potential losses or damages resulting from auto-related incidents such as accidents, theft, or vandalism. 

Auto Insurance Policyholders

A car insurance policy often covers the policyholder, your passengers and your vehicle. As the policyholder, you can manage different aspects of your auto insurance policy, including adding additional drivers to ensure that everyone is adequately protected. Make sure the correct drivers are listed in your policy to ensure the proper coverage is provided. Keep in mind that additional drivers may affect your premium. Get an auto insurance quote today to see how your drivers affect your rates.

Policyholders for Other Types of Insurance

Policyholders for types of insurance other than car insurance—such as homeowners, renters, and life insurance—are individuals or entities who purchase insurance policies to mitigate financial risks associated with various aspects of their lives or properties. They have the responsibility to understand the terms and conditions of their policies, make timely premium payments, and adhere to any requirements or obligations stipulated by the insurer. In the event of covered losses or damages, policyholders can file claims to receive compensation or benefits as outlined in their policies.

Homeowners Insurance

Homeowners insurance is a type of property insurance that provides protection against losses and damages to an individual's home and its contents. Homeowners insurance not only covers damage to the home's physical structure caused by perils such as fire, theft, or covered natural disasters but also offers liability protection in case someone is injured on the property and the homeowner is found legally responsible. The policyholder, typically the homeowner themselves, purchases the insurance and makes regular premium payments in exchange for coverage. The insured party is usually the homeowner and their family members who reside in the insured property. Get a homeowners insurance quote today to view your rates.

Renters Insurance

Renters insurance is designed to protect tenants living in rented properties against potential losses and liabilities. The insured party is the tenant and their personal belongings within the rented space. Roommates are not automatically covered under a standard renters insurance policy, but they can typically be added for an additional fee to extend coverage to them. Get a renters insurance quote today to view your rates.

Life Insurance

Life insurance provides a lump-sum payment to beneficiaries upon the death of the insured individual. The policyholder is generally the insured themself; however, many people take out policies for their loved ones. For example, Alice may take out a life insurance policy for her spouse, Jordan, who would be listed as the insured. Although Jordan would be the insured, Alice would retain control of the policy, including the ability to change beneficiaries or coverage amounts. However, it’s important to note that the person you are insuring will generally need to consent to the application process and sign the policy. Get a life insurance quote today to find the right coverage for you.

How to Determine Coverage Needs as a Policyholder

Liability coverage

Liability coverage is a component of auto insurance policies that protects drivers in the event of at-fault accidents. Most states require policyholders to purchase minimum limits of bodily injury and property damage liability coverage to drive legally in their state.

Bodily injury liability covers expenses and legal fees if you are sued for damages resulting from an accident where you’re at fault, up to the coverage limit. Property damage liability compensates for damages to other vehicles or property in at-fault accidents up to the coverage limit.

If you cause an accident that results in injuries to another person, bodily injury liability coverage can cover the medical expenses and lost wages incurred as a result of their injuries, up to the coverage limit. This coverage may also pay for legal fees if you are sued for damages resulting from an accident. Property damage liability compensates for damages to other vehicles or property in at-fault accidents.

Personal Injury Protection (PIP) 

Personal Injury Protection (PIP) covers medical expenses for you and your passengers regardless of fault, up to the limit of your coverage. PIP is required in some states, but not all. It can also provide coverage for lost wages resulting from injuries sustained in a covered accident.

Comprehensive coverage

Comprehensive coverage covers damage to your vehicle from incidents other than collisions, such as theft or natural disasters. Comprehensive coverage may also cover glass and windshield repair or replacement due to covered perils. While it’s typically not required, you may want to add it to your auto insurance policy to ensure your car is protected even when you are not driving it. However, if you are not leasing or financing, this coverage is typically optional. 

Collision coverage

Unlike liability coverage—which only covers other people and property in at-fault accidents—collision coverage covers damage to your vehicle caused by collisions with other vehicles or objects. This coverage pays to repair or replace your vehicle in the event of an accident. If you don’t finance or lease your car, collision coverage is typically optional.

How to Use GEICO's Policyholder Services

Overwhelmed by paperwork? Want to file a claim at 3:00 A.M.? If so, GEICO's Policyholder Service Center gives you the freedom to do what you want, when you want.

Do all this, and more, anytime you like!

• Get instant access to your current policy.
• File and track a claim.
• Pay premiums electronically.
• Add a driver.
• Add a new car.
• Check on your deductibles (and even change them)!
• Change your email or street address.

And, you don't have to worry about privacy and security. When you sign up in the Policyholder Service Center, your information is password-protected. All of your information and transactions are secure and your privacy is protected.

We're here for you 24 hours a day, 7 days a week. The quickest way to contact us is through our app or online. You can also chat for immediate help.