Real world example request

Hi,

I read the whitepaper but not quite understand it yet. Is this how it works? I buy a policy worth 500 UMC for one year term. This policy can be used for any related insurance policy that I have like: health, car, home... (or do I have to buy one for each?) If I never claim anything in this period, I'll get it back after the term expires (or purchase again for another year). In order to claim, it has to be after the grace period (let's say 90 days). To get the payout, it has to be voted yes by the community. If approved, I'll get 2500 UMC (5 times the initial investment). I assume I can appeal if voted no for some reasons. The policy is primarily used to cover my deduction.

For example, I have an accident and it doesn't matter if it's my fault or not. Do I get the full amount 2500 UMC above even though my 2500 UMC might worth $2000 USD and my insurance deduction is only $500 USD?

Thanks...