Car Insurance How does full coverage differ from liability-only insurance? View Carriers Please enter valid zip Compare top carriers in your area Written by Insure.com's Editor | Updated on: August 18, 2023 Why you can trust Insure.com Quality Verified At Insure.com, we are committed to providing the timely, accurate and expert information consumers need to make smart insurance decisions. All our content is written and reviewed by industry professionals and insurance experts. Our team carefully vets our rate data to ensure we only provide reliable and up-to-date insurance pricing. We follow the highest editorial standards. Our content is based solely on objective research and data gathering. We maintain strict editorial independence to ensure unbiased coverage of the insurance industry. When it comes to auto insurance, the terms full coverage and liability only refer to two distinct levels of protection. Let’s break down the key differences so you can make an informed choice. Liability-only insurance: Basic protection What it covers Liability-only insurance covers injuries or damages you cause to others in an accident. It’s the minimum requirement in many states to drive a vehicle legally. What it doesn’t cover This type of insurance doesn’t pay for repairs to your vehicle in accidents you’re responsible for, nor does it protect against non-collision incidents like theft or natural disasters. Full coverage insurance: Comprehensive protection What it covers Full coverage includes everything in liability insurance, plus more. It covers your vehicle repairs in accidents, regardless of fault. It also protects against theft, vandalism, and acts of nature, providing a wider safety net. Added Protection Full coverage often includes uninsured/underinsured motorist coverage, which helps if you’re in an accident with a driver lacking sufficient insurance. Choosing the right option for you The decision between full coverage and liability-only insurance depends on factors like your vehicle’s value, financial situation, and willingness to take on risk. Full coverage might be preferable if you want comprehensive protection that addresses various scenarios. If you’re looking for more budget-friendly coverage and are willing to handle some repair costs, liability-only insurance could suit your needs. Conclusion When it comes to auto insurance, understanding the difference between full coverage and liability-only is essential. Liability-only insurance offers basic coverage for damages to others. In contrast, full coverage insurance protects your vehicle and you against various incidents, from accidents to theft. Deciding between the two depends on your vehicle’s value, financial circumstances, and risk tolerance. Opt for full coverage if you seek comprehensive protection or choose liability-only for a budget-friendly option, accepting some repair responsibility. Evaluate your needs, weigh the benefits, and make an informed choice that aligns with your priorities and preferences. In case you missed it Best Car Insurance Companies of 2024 Car insurance rates by state in 2024 What is full coverage car insurance? How much does car insurance cost for seniors in 2024? A complete guide to adding a teenager to your car insurance policy in 2024 What to do after a car accident that’s not your fault Total warfare: What to do when your auto insurer totals your car Car insurance claims: Who gets the claims check? Used car insurance costs: Most and least expensive models to insure The Best Car Insurance for Bad Credit of 2021 The best car insurance companies for speeding tickets Car insurance after a DUI Guide to car insurance discounts Proper insurance coverage for college-bound children How to read your auto insurance policy A complete list of car insurance companies New driver insurance grace period: What you need to know How much do insurance agents make? Autonomous cars: 5 delightful and 5 distressing things Busted! Part 1: How insurance companies spot bogus claims Insurance options for rideshare drivers 10 things that are illegal but shouldn’t be 1/1 On this page Liability-only insurance: Basic protectionFull coverage insurance: Comprehensive protectionChoosing the right option for youConclusion ZIP Code Please enter valid ZIP See rates