what is full coverage car insurance in california

When you’re shopping for car insurance in California, you’ll often hear the term “full coverage.” It sounds like the ultimate protection, doesn’t it? But it’s important to know that this isn’t an official type of policy sold by insurance companies. Instead, it’s a common nickname for a combination of coverages that go beyond the state’s bare minimum requirements. So, let’s clear up the confusion around what is full coverage car insurance in california and what it typically includes.

What is full coverage car insurance in california?

In practice, a “full coverage” policy in California is generally a package that includes three key components. First, you have your state-required liability insurance, which covers injuries and property damage you cause to others. The second part is collision coverage, which pays for damage to your own car after an accident, regardless of who was at fault. The third is comprehensive coverage, which protects your vehicle from non-collision events like theft, vandalism, fire, or even hitting a deer.

Why you might consider this level of protection

While California law only requires liability insurance, that minimum does nothing to repair or replace your own car if it’s damaged. A full coverage package is often a smart choice if you are still making payments on a car loan or lease, as your lender will almost certainly require it. It’s also a great way to gain peace of mind, ensuring you have financial help if your vehicle is stolen or badly damaged in an incident that wasn’t a crash.

Putting together your ideal policy

Building your policy isn’t one-size-fits-all. You can adjust your deductibles—the amount you pay out-of-pocket before insurance kicks in—to find a balance between your monthly premium and your potential repair costs. It’s also wise to consider adding uninsured/underinsured motorist coverage, which protects you if you’re hit by a driver with little or no insurance.

Ultimately, “full coverage” is about creating a safety net that fits your life and your vehicle’s value. By understanding what this package truly means, you can make a confident decision and select the right protections for your drive through the Golden State.