Difference Between Full Coverage And Liability Car Insurance

What Is Full Coverage Car Insurance?

Full coverage car insurance is a type of insurance policy that provides comprehensive protection for you and your vehicle. This coverage typically includes liability, comprehensive, and collision coverage. Liability coverage helps pay for any damages you may cause to another person or property if you are at fault for an accident. Comprehensive coverage helps protect you from damage caused by things other than a collision, such as hail, fire, theft, or vandalism. Collision coverage helps pay for repairs if you are involved in a car accident, regardless of who is at fault.

What Is Liability Car Insurance?

Liability car insurance is a type of auto insurance policy that provides protection for damages you may cause to other people or property, as well as medical expenses, in the event of an accident. Liability insurance typically does not cover your own vehicle, but instead covers the other driver in an accident, or any other property that may have been damaged due to your actions. Liability insurance is required in most states, and can be purchased as part of a full coverage policy or as a stand-alone policy.

Difference Between Full Coverage and Liability Car Insurance

The main difference between full coverage car insurance and liability car insurance is that full coverage policies provide protection for both you and your vehicle, while liability policies only provide protection for the other driver in an accident. Full coverage policies also typically include comprehensive and collision coverage, which helps protect you from damage caused by events other than a collision, such as hail, fire, theft, or vandalism. Liability insurance, on the other hand, only covers the other driver in an accident, or any other property that may have been damaged due to your actions.

When To Get Full Coverage Car Insurance

If you are financing a car, your lender may require you to carry full coverage car insurance. Additionally, if you are leasing a car, a full coverage policy may be required by the leasing company. Full coverage car insurance is also a good option if you own an expensive or luxurious vehicle, as it will provide comprehensive protection in the event of an accident, theft, or other damage. Additionally, if you have a history of accidents or traffic violations, a full coverage policy may be your best option.

When To Get Liability Car Insurance

Liability car insurance is typically the least expensive option, and is the type of insurance that is required by most states. If you own an older, less expensive vehicle, or if you have a history of safe driving, liability insurance may be the best option. Additionally, if you are looking for the lowest possible cost for auto insurance, liability insurance may be the way to go.

Conclusion

Full coverage car insurance and liability car insurance are two of the most common types of auto insurance policies. Full coverage policies provide comprehensive protection for both you and your vehicle, while liability policies only provide protection for the other driver in an accident. If you are financing a car, your lender may require you to carry full coverage car insurance. Additionally, if you are leasing a car, a full coverage policy may be required by the leasing company. Liability insurance is typically the least expensive option, and is the type of insurance that is required by most states.