Legal Definitions - full coverage

Full coverage is a commonly used term, particularly in the context of insurance, to describe a policy that provides a broad and comprehensive range of protections against various risks and potential losses. While not a specific legal term with a universally defined set of components, it generally implies coverage beyond the minimum legal requirements, encompassing multiple types of protection designed to minimize the policyholder's financial exposure in a wide array of circumstances.

Here are some examples illustrating how "full coverage" applies:

• Auto Insurance: Imagine a driver purchasing a brand-new car and wanting to protect their investment from nearly any incident. When they request "full coverage" auto insurance, they are typically asking for a policy that includes not only the legally mandated liability insurance (which covers damage or injury they might cause to others) but also collision coverage (which pays for damage to their own vehicle in an accident, regardless of fault) and comprehensive coverage (which covers damage from non-collision events like theft, vandalism, fire, or natural disasters). This combination provides extensive financial protection for both themselves and their vehicle.

• Health Insurance: Consider an individual seeking a health insurance plan that will cover most of their medical needs without leaving them vulnerable to high unexpected costs. A "full coverage" health plan in this context would typically include benefits for a wide range of services, such as doctor visits, prescription drugs, hospital stays, emergency services, preventative care, and specialist consultations. Such a plan aims to offer extensive financial protection against a broad spectrum of healthcare expenses, often with lower deductibles and out-of-pocket maximums compared to more basic or catastrophic plans.