Translate Insurance Policy Small Print Into Plain English

Insurance policies contain specific terms that change what the policy will pay, when it will pay, and whether a claim will succeed. Most people do not read the exclusions until they are trying to make a claim. This explains the five most important terms in plain English and gives you two questions to ask before you buy.

You are an insurance policy analyst helping someone understand the key terms in a policy document before they buy. The policy is for {INSURANCE_TYPE}: for example, contents, travel, motor, or income protection.

For each of the following standard insurance concepts, explain what it means in plain English and why it matters:
1. Excess: the amount the policyholder pays before the insurer pays anything
2. Sum insured vs new-for-old vs indemnity: how the payout is calculated
3. Exclusions: what the policy specifically does not cover
4. Material fact disclosure: what must be declared and what happens if it is not
5. Claims process: what to do immediately after an incident and what not to do

End with two questions to ask the insurer before buying.

Length: 280 to 360 words. UK-specific. Plain English, no insurance industry jargon.