Hi everyone, I’m trying to understand what is typically included in a full coverage auto insurance policy. Can someone explain what coverages are included under full coverage and how it differs from basic liability insurance? Are there any additional options or endorsements I should consider to ensure comprehensive protection?
Full coverage" only means that all aspects of an accident are covered, whether or not it is your fault or not.
If your car is totaled, insurance would only pay either the market value of the car OR the cost to replace it, whichever is the lower of the two.
So let’s say you bought your SUV, $50k. You drive it off the lot and the next day it gets totaled and insurance is only going to pay you $40K because either you overpaid for the SUV or it depreciated that fast, you’ll be on the hook for the difference.
The bonus is that if it wasn’t because of something you did, your rates don’t go up. Likewise, if you were at fault, expect to pay higher rates.
When I was exploring auto insurance options, I found that “full coverage” typically includes a combination of several key coverages: liability insurance (which covers damage you cause to others), collision coverage (for damage to your own vehicle in an accident), comprehensive coverage (for non-collision-related damage like theft or natural disasters), and often uninsured/underinsured motorist coverage (if the at-fault driver doesn’t have enough insurance). Unlike basic liability insurance, which only covers damage you cause to others, full coverage provides a broader range of protection for both your vehicle and yourself. Depending on your needs, you might also consider additional options like roadside assistance, rental car reimbursement, or gap insurance, which can offer more comprehensive protection and peace of mind.
Full coverage typically includes liability, collision, and comprehensive coverage. Liability protects others, collision protects your car in accidents, and comprehensive coverage covers non-collision damage. Consider additional options like uninsured/underinsured motorist, medical payments, and roadside assistance.