If you’ve ever bought or leased a car, there’s a pretty good chance you’ve been told you need “full coverage” auto insurance while under a loan or lease.But what exactly does that mean? Honestly, there is no such thing.It is not a term generally used by insurance companies because no insurance company can cover 100% of all situations, which is why so many companies do not use the term “full coverage.” The definition of full coverage will vary largely by the person and the situation.

What does “full coverage” actually mean? The answer to this question lies in who is asking.A lender will have a very different idea of “full coverage” than the owner of the policy, and both may vary from state-mandated coverage.As we noted above, the definition is open to interpretation; however, let’s take a bit of a deeper look at each perspective: How Do I Know What Type of Coverage I Need? The best way to make sure you have enough coverage for your specific needs and stay within your budget is to reach out to your local insurance agent.

Since they’re local, they understand the demands of your area.They’re also experts in the insurance world, so they can make sure you meet any requirements from both the state and a lender while also ensuring you have peace of mind and that you’ll be covered.ERIE insurance products and services are provided by one or more of the following insurers: Erie Insurance Exchange, Erie Insurance Company, Erie Insurance Property & Casualty Company, Flagship City Insurance Company and Erie Family Life Insurance Company (home offices: Erie, Pennsylvania) or Erie Insurance Company of New York (home office: Rochester, New York).  The companies within the Erie Insurance Group are not licensed to operate in all states.

Refer to the company licensure and states of operation information.The insurance products and rates, if applicable, described in this blog are in effect as of January 2024 and may be changed at any time.  Insurance products are subject to terms, conditions and exclusions not described in this blog.The policy contains the specific details of the coverages, terms, conditions and exclusions.  The insurance products and services described in this blog are not offered in all states.  ERIE life insurance and annuity products are not available in New York.  ERIE Medicare supplement products are not available in the District of Columbia or New York.  ERIE long term care products are not available in the District of Columbia and New York.  Eligibility will be determined at the time of application based upon applicable underwriting guidelines and rules in effect at that time.

Your ERIE agent can offer you practical guidance and answer questions you may have before you buy.A better insurance experience starts with ERIE.Haven’t heard of us? Erie Insurance started with humble beginnings in 1925 with a mission to emphasize customer service above all else.

Though we’ve grown to reach the Fortune 500 list, we still haven’t lost the human touch.Contact Drake Insurance today to experience the ERIE difference for yourself.