The Truth About 'Full Coverage' Car Insurance—Are You Really Protected?
When shopping for car insurance, many drivers believe that purchasing "full coverage" means they are completely protected in any situation. But is that really the case? The term "full coverage" is often misunderstood, leading to costly surprises when accidents happen.
Let’s break down the myths and realities of full coverage car insurance so you can make informed decisions about your protection.
What Does 'Full Coverage' Actually Mean?
Contrary to popular belief, full coverage is not a legally defined insurance term**. Instead, it typically refers to a combination of:
- Liability Insurance – Covers damages and injuries you cause to others. Illinois requires minimum liability limits of $25,000 per person, $50,000 per accident, and $20,000 for property damage.
- Collision Coverage – Pays for repairs to your vehicle after an accident, regardless of fault.
- Comprehensive Coverage – Covers non-collision-related damages, such as theft, vandalism, hail, or hitting a deer (a common concern in Illinois).
While these coverages provide broader protection than liability-only policies, they do not cover everything.
Common Myths About Full Coverage Insurance
Myth #1: Full Coverage Means No Out-of-Pocket Costs
Even with full coverage, you may still have deductibles to pay before your insurance kicks in. Additionally, certain damages—like mechanical failures or wear and tear—are not covered.
Myth #2: Full Coverage Includes Roadside Assistance and Rental Car Reimbursement
Many drivers assume these perks are automatically included, but they are optional add-ons. If you rely on your car daily, consider adding these coverages to avoid unexpected expenses.
Myth #3: Full Coverage Protects Against All Types of Accidents
While full coverage helps in many scenarios, it does not cover uninsured motorist damages unless specifically added. In Illinois, uninsured motorist coverage is highly recommended due to the number of uninsured drivers on the road.
Illinois-Specific Considerations
Illinois drivers should be aware of state-specific insurance requirements and risks:
- Severe Weather Risks – Comprehensive coverage can protect against hailstorms, tornadoes, and flooding, which are common in Illinois.
- High-Risk Areas – Urban areas like Chicago may have higher rates of theft and vandalism, making comprehensive coverage even more valuable.
- SR-22 Insurance – If you’ve had a serious driving violation, Illinois may require an SR-22 certificate to prove financial responsibility.
How to Ensure You’re Truly Protected
Instead of relying on the vague term "full coverage," ask your insurance agent about:
Policy Limits – Are they high enough to cover potential damages?
Additional Coverages – Do you need uninsured motorist protection or gap insurance?
Deductibles – Can you afford your out-of-pocket costs in case of a claim?
Final Thoughts
Full coverage does not mean total protection—it’s just a combination of key coverages. To ensure you’re truly safeguarded, review your policy carefully and consider additional protections based on your needs.
