Knock for Knock Agreement Definition:

A term used in automobile insurance to save the time and cost of apportioning blame in an accident involving two or more cars the insurance companies concerned each payout out on the claim made by their own client. This does not apply, of course, when one party has as a result of court action in civil law, been deemed totally responsible for the accident, or has admitted liability, and the innocent party has successfully claimed from that party's insurance.