The term “full coverage” on your auto insurance policy can be a little deceiving. Lets dive into what is considered full coverage insurance for you car or truck.
What is Considered Full Coverage Insurance?
Comprehensive also known as other than collision, it offers coverage against, theft, vandalism, hail, hitting an animal and much more. Deductibles typically range anywhere from 0-$1000. Coverage can vary by state and the different insurance companies.
Collision coverage covers your vehicle if it damaged in a collision with either a fixed or moving object. Deductibles also typically range from 0-$1000 but some companies will go even higher. Once again coverage can differ by state and also what insurance company.
Full coverage also includes damages incurred by the other party when in an at fault accident. This includes bodily injury and damages to their vehicles. In Missouri, the state requires you to carry at least 25/50/10 coverage. That means that you if you are in an accident, your policy would pay 25,000 in bodily injuries per person, 50,000 per accident, and $10,000 in property damage.
What to Watch For When Purchasing Full Coverage Insurance?
State Minimum Limits
Like discussed earlier, the state limits are 25/50/10. To put this into prospective, a short trip for someone to the ER could cost more than 25,000 and that won’t even include all of the follow up appointments.
Nobody plans on getting in a wreck, it just does happens and that is why will call it an accident. Taking $10,000 in property damage can really get you in trouble. What happens if you hit a new Truck? You could have to pay for any damages above the $10,000 limit out of pocket.
Un-insured and Under-insured
You want to make sure both your uninsured and underinsured match the limits of your policy. Typically this is not very expensive to do. Some companies won’t include underinsured motorist unless the customer requests it. Both of these coverages are designed for people who hit you and don’t have the proper insurance coverages.
Say your driving down the road with 250,000/500,000 coverage but your agent put the uninsured and underinsured at the state minimum. Someone hits you that didn’t have insurance, the most your policy could pay is the 25,000 per person and 50,000 per accident. If you bills are higher, you might have to go out and higher a lawyer.
Medical payments are designed for injuries of the parties in your vehicle in an at fault accident or single vehicle incident. Many are under the impression that their bodily injury limits cover these types of bills but think again. Make sure to have medical payments on your policy.