Ever wonder what is included in full coverage auto insurance? Full coverage is actually a misnomer, but generally means that you have liability, comprehensive and collision coverages on a motor vehicle. If “Full Coverage” existed, then the word deductible could be eliminated from insurance contracts.
The easiest way to understand the “term” is to call it “two way” coverage. Damages caused by you or your motor vehicle to another party could be covered by your own insurance as well as damages to your own vehicle, subject to the terms, limitations and deductibles of your policy. It is extremely important to understand your policy’s limitations and deductibles. No one wants to have an accident and then find out that there is NOT enough coverage.
Full coverage, as a rule, DOES NOT ALWAYS COVER any person to whom you might loan your motor vehicle. Check with your agent at WelPland Insurance, SE Portland. Be mindful that insurance companies like to wiggle off the hook, especially when coverage may be doubtful.
Minimum Level of Liability Coverage in Oregon
Oregon law requires every private passenger motor vehicle, which includes motorcycles, to be covered by liability insurance. If it has wheels and needs license plates to be legal, liability is required.
Oregon’s mandatory insurance law requires that drivers have at least these coverages:
Bodily injury (BI) liability – $25,000 per person, $50,000 per accident for bodily injury to others. If you injure a neurosurgeon, $25,000 would probably not be enough coverage.
Property damage (PD) liability – $20,000 per accident for damage to the property of others. If you damage that same neurosurgeon’s Lamborghini, $20,000 could not be enough coverage and you will be asked to pay the difference. No one wants to be on that payment plan.
Personal injury protection (PIP) – PIP is Oregon’s version of no-fault insurance. It provides you and your passengers, regardless of who caused an accident, to have insurance coverage for “reasonable and necessary” medical, dental, hospital, surgical, ambulance, and prosthetic services incurred within one year after the date of an injury up to a maximum of $15,000 per person in your car. In Oregon, minimum PIP benefits include limited coverage for loss of earnings, funeral expenses, essential services, and childcare. Because this coverage is mandated in Oregon, it provides first dollar coverage AND is the leading reason auto insurance rates keep going up in the State of Oregon.
If you have questions about “full coverage” auto insurance, need the cheapest SR22 quote or you are looking for new discounts, please call WelPland Insurance of SE Portland or try our Real Time rater. If we see an opportunity for a discount, we may contact you during the process to help you get the best deal possible.