Full coverage insurance?

Question

I need to have full coverage on my new vehicle because it is financed. what all does full coverage include? looking at my policy on geico right now and trying to change it, it is giving me these options:

bodily injury liability, property damage liability,medical payments,uninsured motorist bodily injury,comprehensive and collision. do i need have all of these for it to be full coverage? and can i choose the minimum amount for each?

Answer 1

if i were you id talk with an agent. Insurance ranges per state as far as what you need. Just tell them and they should set you up. The website deal is complicated and gives you many options. No need to over pay or not be covered all the way.

Answer 2

You can probably choose the minimum for each but if your lender is requiring full coverage you can probably get the answer to your question by asking your lender exactly what they require in detail.

It's a good idea to keep enough insurance on a new car to replace it if it is totalled. I'm sure you would hate to have a wreck, lose your car, and still owe money to your bank.

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http://www.car-insurance-questions.info

Answer 3

Your state requires the liabilty coverage (state law) and the loan comapny requires the comprehensive and collision coverage to protect the car while it still belongs to them, while you finance it.

You can consider increasing your deductible amount to lower your premiums, but just make sure you can afford to pay that deductible if you were to have an accident. The following article might help explain things:

http://www.firstcarguide.com/insurance/w...

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Answer 4

Comp and collision is what people consider "full coverage" these are first party coverages and provide deductibles for you to pay out of pocket if a occurrence occurs where you are at fault for an accident or if something totally out of your control happens to the vehicle.

You can choose the limits on your Liability limits but most car financers require a certain ded for comp and collision. The average is anywhere from $250-500 deductible. They figure if you are in an accident where you are found a fault then you are more likely to be able to pay that amount out of pocket to get the vehicle repaired than say $1000.00. If the car is not working then you a less likely to pay the car note costing them money through repo.