As a driver in the Constitution State, you may be surprised to learn that the term “full coverage” will not typically appear in an auto insurance policy for CT drivers. Although some people think that having a full coverage policy means that their insurance carrier will cover everything, this isn’t quite accurate. So, what does this auto insurance cover? Generally speaking, the term is used to describe an auto policy that includes both liability coverages AND coverages for damage to your vehicle.
What is Included in This Kind of Auto Policy?
Though “full coverage” is not an officially and consistently defined term, a “full coverage” auto policy typically involves carrying liability, comprehensive, and collision insurance, as well as any other required coverages. Depending on the nature of an insurance claim, each of these provides coverage for different risks you face as the owner of a motor vehicle. Although having this coverage will provide you with protection for most situations, you will not find an insurance carrier that offers a car insurance policy that always covers everything for every situation. For instance, it is not a safe assumption to think that this type of policy will include a roadside assistance or towing benefit offered by your insurer.
Should You Carry This Insurance?
It’s difficult to put a price tag on peace of mind. There are many views and opinions on whether you should carry full coverage auto insurance, but the conversation typically hinges on price. After all, if a policy that covers you “fully” were to cost the same as just carrying liability insurance, then it would be a moot point. The price you pay for this coverage needs to be weighed against the financial risk of an accident. Generally, there are five things you should consider when you’re deciding if it is right for you:
- Your Risk Tolerance – Some drivers are fine with assuming the additional risk on the road by not carrying a full coverage policy, while others like the peace of mind knowing that they will be protected in most accidents. Only you know how you feel about assuming financial risk.
- Value of Your Car – Do you drive a high-end sports car, or a luxury vehicle that would be expensive to replace? Or even a newer car for which the cost of repair or replacement would be very difficult to manage within your budget? You should carry full coverage in order to protect yourself financially. If you drive an older car that is paid off, then you may not need it.
- Current Auto Loan or Lease – Are you still paying off your car loan, or do you lease your car? If so, you’ll probably want to carry full coverage. Consider the possibility of totaling your car in an accident that was your fault… without collision coverage, you’d be on the hook for a big check to your lender or the leasing company. Having to come up with money you don’t have for a car that you can no longer drive isn’t a good situation. Most lenders and leasing companies actually require that you carry this coverage on the vehicle.
- Current Policy Rate – Not all policies are the same, and what you pay in premiums certainly varies depending on many factors. Whatever rate you are paying should be carefully considered and weighed against the risk of not having enough coverage.
- Your Financial Situation – Do you have a financial safety net, or are you living paycheck to paycheck? If it would be a challenge for you to write a check for several thousand dollars to replace your car totaled in an accident that you caused, you’ll probably want to carry the most coverage provided your budget can accommodate the premium payments. In addition, it’s always helpful to explore discounts that you may be eligible for to save on your policy.
Ultimately, deciding what type of coverages you include in your auto insurance policy is a personal decision. You should know what to look for when researching companies to find out what coverage is being offered at what price. You can read more details about gap insurance and comprehensive coverage.
If you have questions about full coverage insurance, contact Plymouth Rock today and speak with one of our friendly, knowledgeable representatives. Offering flexible coverage, experienced agents, and exceptional service, Plymouth Rock is the premier choice for personal auto insurance for drivers in Connecticut.
Call 855-993-4470, get your free quote online, or contact your local >Plymouth Rock agent to find out how you can save on your car insurance rates in Connecticut today. If you need further information, you can visit our Contact Us page.