What Does Full Coverage Auto Insurance Include?
2 Answers
Auto insurance mainly includes the following types of coverage: 1. Third-party liability insurance: If the insured vehicle causes bodily injury or direct property damage to others due to an accident, the insurance company will compensate according to the relevant provisions of the insurance contract. Here, the emphasis is on "others," meaning third parties. The insurance liability of the insurance company is stipulated in the insurance contract as follows: If an accident occurs while a qualified driver permitted by the insured is using the insured vehicle, resulting in bodily injury or direct property damage to a third party, the insurance company will compensate according to the "Road Traffic Accident Handling Measures" and the provisions of the insurance contract. 2. Comprehensive theft insurance: This refers to compensation by the insurance company if the insured vehicle is stolen or forcibly taken, and after being confirmed by the public security criminal investigation department, its whereabouts remain unknown for three months, or if the insured vehicle is damaged during theft, robbery, or forcible taking, or if there are reasonable repair costs for lost vehicle parts and accessories. 3. Vehicle liability insurance: This refers to the economic compensation liability that the insured is legally responsible for if an accident occurs while using the insured vehicle, resulting in direct damage to the goods carried on the insured vehicle or bodily injury to the passengers, and the insurance company will calculate the compensation within the limits stated in the insurance policy.
Just stepping into the driving world, I bought my first car and started wondering what full coverage insurance really means—it's not a single policy but a comprehensive package. The standard includes liability insurance—covering the other party's medical expenses and property damage if I cause an accident; collision insurance—repairing my car if the accident is my fault; comprehensive insurance—covering non-collision incidents like theft, hail, or fire; and uninsured motorist coverage—helping me recover losses when hit by an uninsured driver. Premiums are tied to age and vehicle model, and I managed to lower costs slightly by installing a dashcam for a discount. Don’t forget to check the deductible and choose wisely—too low might be convenient but raises monthly fees. As a young driver like me, it’s crucial to focus on road safety, avoid speeding, and maintain a clean claims record to save a lot of money.
