What is full coverage car insurance?
Full coverage car insurance provides protection and coverage for your car. It also provides protection for people in your car in the event of an accident. Full coverage generally combines liability, collision, and comprehensive coverage, as well as other possible coverage options. Full coverage car insurance is sometimes referred to as “all-risk” coverage, which means that it includes coverage for all risks associated with car ownership, including liability, collision, comprehensive, medical payment, and Uninsured/Underinsured motorist (UM/UIM) coverage.
Types of coverage included in full coverage
-Liability Coverage - This type of coverage protects you from accidents that occur as a result of a negligent action on your part that causes personal injury or property damage. It is required by law in all states, so you’re not able to completely forego this type of coverage. However, the minimum amount of liability coverage you choose will affect your monthly premium.
-Collision Coverage - This type of coverage helps to repair or replace your car if it is damaged in a car accident. The amount of collision coverage you purchase determines the amount your insurance company will pay out in the event of damage.
-Comprehensive Coverage - Comprehensive coverage helps to repair or replace your car if it is damaged due to reasons other than a car accident.
-Medical Payments Coverage - Medical payments coverage helps to cover the cost of medical treatment for you and your passengers in the event of an accident, even if you do not have health insurance. If a passenger is severely injured or killed in your car, then this coverage can also provide a death benefit to the passenger’s family.
-Uninsured/Underinsured Motorist Coverage - This coverage helps to make up for the difference between what your insurance policy covers and the total amount of loss associated with an accident caused by a driver who does not have insurance or does not have enough insurance.
Cost of full coverage insurance
The cost of full coverage car insurance varies depending on your age, gender, marital status, driving record, and other factors such as the vehicle you drive and the amount of coverage you choose. Your insurance company will conduct a rate analysis to determine your final premium. The best way to get a good estimate of the cost of full coverage car insurance is to compare various car insurance companies and policies. You can do this by using an online car insurance calculator to get a rough estimate of your premiums based on your current information.
What to consider when shopping for full coverage
-Age - Younger drivers often pay higher car insurance rates due to the fact that they’re statistically more likely to be involved in a car accident. You can increase your chances of being offered lower rates by combining your car insurance with other types of insurance, such as life insurance, health insurance, or home insurance.
-Driving record - Having a clean driving record will help you to get lower car insurance rates. You can often go back and correct minor violations on your driving record after a certain amount of time has passed. You can also reduce your chances of having a car accident by taking defensive driving courses.
-Vehicle - While you may love that shiny new sports car, it usually comes with a higher car insurance rate. If you’re looking for lower rates, you may want to consider insuring a less expensive vehicle. You can also raise your deductibles and choose smaller repair amounts to help lower your car insurance rates.
Tips for getting the best full coverage rates
- Shop around - Make sure to shop around to get the best full coverage car insurance rates. You can compare rates online and even get rates over the phone to find the best deal for you.
- Ask about discounts - You may be able to reduce your rates by asking about available discounts such as good driving records, certain safe driving habits, having your car installed with safety features, or having other types of insurance. - Get your car insured as soon as you buy it - A car that you’ve just purchased will usually have a higher rate than one that you’ve had for a while.
- Tell the truth - Make sure to always be honest on your car insurance application, as providing false information will likely result in a higher rate.
How to file a full coverage car insurance claim
In the event of an accident or other covered event, you should file a claim as soon as possible. You can file a claim online for most insurance companies, but it’s best to call your insurance agent directly to file a claim. You should also keep a record of all medical expenses, receipts, and other documentation related to the accident. In order to receive a full claim payment, you’ll also have to provide proof of financial responsibility. However, if you have Uninsured/Underinsured motorist (UM/UIM) coverage as part of your full coverage car insurance, then you may be able to receive additional compensation that is intended to cover your financial losses due to an accident caused by a driver without insurance.
Full coverage car insurance discounts
There are a wide variety of car insurance discounts available, so you can potentially save money on your full coverage car insurance policy. You can ask your car insurance company about available discounts and ways to save money on your rates. Some common car insurance discounts include taking defensive driving courses, maintaining a good driving record, installing safety features in your car, being a member of a car club or nonprofit organization, or putting your car in a garage. You can also save money on full coverage car insurance by insuring multiple vehicles under one policy.
