Home / Car Insurance Tips / Liability vs full coverage?

Liability vs full coverage?

If you are someone going to buy car insurance, there are a whole lot of things which you suppose to know. There is some information which is crucial for you to decide what’s best for you in terms of car insurance. Even various insurance companies end up confusing or overwhelming the consumers. One of the most important aspects which bother you with it is regarding liability and full coverage. You need to understand the different way before you approach any Car Insurance company.

Especially if you are someone who is applying for the first time, you might never actually get the information which you were supposed to know in the first place. This lack of clarity with the concept might turn things ugly for you. Here are different queries regarding Liability vs Full coverage of any car insurance. 

What is liability insurance?

Liability Insurance is a type of insurance policy which covers the potential cost of any kind of damage which you might have caused to other people while driving. The insurance policy takes responsibility for any property damage, medical care and repair cost of the vehicle and much more to it. Liability insurance focuses on the damage caused to others which you were driving. This kind of coverage usually not covered in the regular Car Insurance policy which is quite obvious again.

In most of the states, liability coverage is considered a form of obligated law to the civilians. It also somehow represents the goodwill of the drivers and prevents them to make any such mistakes which can cause some serious damage to others. You also need to understand that the minimum amount of the liability coverage is different in different parts of States. Make sure you learn everything about the liability coverage before sign up to get an auto insurance quote for the first time.

What does liability coverage include? 

It is very essential to understand that Liability coverage covers others, not you for their damages whether it is personal injury, property damage and car damage. However, in some way, it is covering for your mistakes or responsibilities regarding others as a citizen and a driver as well.

Liability coverage often features coverage as the ‘third party coverage’. It also protects you from any kind of financial trap to fulfil others damage. In one way, it loosens up your job in many aspects. But is essential to learn all coverage details before you go for any liability coverage just like any other cheap car insurance.

It covers bodily injuries which further include liability bodily injuries such as lost wages, financial requirement for medical coverage or any other causes of inconvenience directly affecting them economically or medically. Liability Bodily Injury is termed as BI which is commonly represented by two numbers like $30,000/ $60,000 or so. Both numbers represent the maximum amount that you need to pay per person for the damage caused. The second number is the maximum amount upto which the total coverage can go for the accident.

What defines the full coverage?

Yes, it might read as ‘full coverage’ but don’t be misguided as this is not going to give you full coverage. You shouldn’t be thinking that taking up the full coverage is going to ensure for any accident or possibility. You must know that Full Coverage gives you two kind of coverage such as Collision and comprehensive insurance as well.

Collision type of insurance covers damages while you are driving whereas the comprehensive insurance covers vehicle damage other than situations of driving. It can be like theft, weather problems or any external problems. Do remember to get hold of every information regarding this Full Coverage before you get an auto insurance quote. The best way to understand the difference between collision and comprehensive cover insurances can be this. If a tree falls on to your car, it will be comprehensive, if you hit the car to the tree, it will be a collision. Comprehensive coverage also insures things like fire, vandalism, and attack on your car, weather or any external destroying factor. Collision coverage on other side covers all the damages and repairs of the automobile of your vehicle in the cases of accidents.

Liability vs. Full Coverage

The most prominent differences between Liability and Full Coverage is very certain and clear. Liability only insures you against those damages which you caused to others or their property but the Full Coverage insures your car for the damage. It is quite simple once you understand these two types of insurance separately.

Do You Need Full Coverage?

This is one of the biggest questions to ask that whether you need the full coverage or not, in the first place. If you want to decide whether to take it or not, you can understand by your own as it depends upon simple math regarding the age of your own vehicle. If your vehicle is around 10 years of age, you should save money. Go for the Full Coverage where you might get a large amount to cover a bigger amount of damages or even replace the car in case of heavy damage.

If you are thinking how much liability insurance coverage you need, then you must know how much coverage you can practically afford. There are however some minimum requirements set by the state law other than the recommendation.

What Full Coverage Doesn’t Cover?  

It would be best if you asked the question before you apply for any cheap car insurance, which will save you much trouble in the way. You must understand even in the Full Coverage, and not everything is covered. Like your medical bills aren’t included in the full coverage. So it is better to understand what it is referring to and whatnot. You can decide what kind of car insurance suits you the best depending upon your budget, requirement, the age of the car, the situation of the vehicle, and other affecting factors as well. 

Full coverage vs. liability cost liability vs. entire coverage difference liability vs. full coverage Reddit full coverage vs. comprehensive and collision full coverage insurance when should you drop full coverage on your car? what does full coverage car insurance consist of total coverage, car insurance cost calculator

No votes yet.
Please wait...

About Shalutha De Zoysa

Hi, I'm Shalutha working as an insurance adviser in Los Angeles. I've several years of working experience in this filed. So I started writing blog with onlinecheapcarinsurance.com using my years of experience.

Check Also


Insurance – Extended Warranties

How much Auto Repair insurance does one need? You have four insurance categories, which are …