One of the most common things we hear from clients is: “Don’t worry, I have full coverage.” Unfortunately, many people assume this means they are protected from any financial loss after a car accident. However, there really is no such thing as “full coverage” and even with the best policies, you can still face significant out-of-pocket costs.

What Is “Full Coverage”?

“Full coverage” is not an official insurance term, it is more of a sales pitch. Instead, it generally refers to collision and comprehensive insurance, on top of the state’s minimum required liability coverage.

• Collision coverage: Pays for damage to your car from an accident with another vehicle or object.
• Comprehensive coverage: Covers non-collision incidents like theft, fire, hail, or hitting an animal.
• Liability coverage: Pays for injuries and property damage you cause to others.

“Full Coverage” generally refers to full property damage coverage for your vehicle. This means that if your vehicle is damaged or destroyed, your insurance coverage will reimburse you completely for the cost of repairs, or if it is deemed a total loss, then your insurance coverage will pay for the fair market value of your vehicle at the time of the crash. If you damage another person’s property or vehicle in a crash, there is typically still a maximum amount of coverage your “full coverage” insurance will pay out.

In addition, there’s no such thing as full coverage for personal injuries—either those you may sustain yourself or those you might cause to others while driving. Car insurance policies have specific limits on what is covered for both types of injuries, so it’s important to understand those limitations. If you are seeking compensation under an at-fault driver’s car insurance policy and your find their coverage to be inadequate, you can seek additional coverage through your own underinsured/ uninsured motorist coverage for additional funds. However, there is a limit to what that is, which would be stated on your insurance’s declaration page.

Minimum Required Coverage

In Virginia, under Virginia Code § 46.2-472, any motor vehicle policy issued in Virginia, effective between January 1, 2022 – January 1, 2025, must include the minimum amount of coverage of $30,000 per person for bodily injury/$60,000 per accident for bodily injury, and $20,000 per accident for property damage. However, on January 1, 2025, these minimums will increase to $50,000 per person for bodily injury/ $100,000 per accident for bodily injury and $25,000 per accident for property damage.

It is incredibly important to understand what the minimum coverage amounts are and that receiving the required coverage by law is not “full coverage.” Too often, we see the tragic reality that minimum insurance limits fall far short of providing adequate protection for the parties involved. We always strongly recommend getting far more insurance coverage for yourself then what the minimum coverage is, as these minimal policies do not cover any serious injury that may be sustained.

Key Limitations of “Full Coverage”

• Your Policy Limits Still Apply
  • Your policy limits may be more than the figures stated above but you do have a limit. Be sure to check your policy to understand what they are. If your accident damages or injuries exceed your defined limits, you are limited in your recovery from any motor vehicle insurance coverage. Also note what your insurance is actually covering, is it a policy protecting yourself or others?
• Additional Coverages Are Not Automatically Included
  • Common extras like rental car reimbursement, roadside assistance, Medical Payments Coverage (MedPay), or Roadside assistance are not typically included unless you specifically request them. Even policies referred to as “full coverage” may exclude these. It is also important to note insurance companies can ask you to opt out of additional coverage for yourself by having you expressly reject underinsured/uninsured motorist coverage. It is important to NEVER AGREE to this, as that coverage protects you if you are injured by the fault of someone else.
• Not All Drivers or Vehicles Are Covered
  • Your policy may not cover other drivers using your car or rental vehicles. Be sure to ask your agent if these situations are included in your plan—or you might be left unprotected when you need it most.
• Loan or Lease Requirements
  • If you financed or leased your car, your lender likely requires full coverage. However, these policies protect the lender’s interest—not necessarily yours—and won’t include coverage for injuries or other damages unless explicitly added.

Take Action: Review Your Policy Today

If you think you are fully covered, it’s time to review your policy. Do not wait until after an accident to discover gaps in your coverage. Insurance policies can be complex, and it is essential to understand what you are really paying for.

At Curcio Law, we can help you evaluate your coverage to ensure you have the protection you need. If you have been injured in an accident and need guidance, contact us today for a free consultation. We are here to help you recover the compensation you deserve.