Is it worth getting fully comp?
Asked by: Charles Lubowitz | Last update: October 3, 2025Score: 4.8/5 (14 votes)
What are the disadvantages of fully comprehensive car insurance?
There are downsides. If you are in an accident, comprehensive insurance won't pay for the damage: collision coverage does. Comprehensive insurance may also be expensive if you are purchasing it along with collision insurance.
Do you need fully comp insurance?
Comprehensive gives you peace of mind that your car is covered. Some finance/lease agreements require you to have it, and most insurers only offer it on newer cars."
Is it better to have a $500 deductible or $1000?
Generally speaking, yes, a higher deductible is the better choice long term. Especially if you have a good driving history.
Is it worth it to get comprehensive?
If you live in an area prone to such risks or have an expensive car, comprehensive coverage is a safer bet. If your car is older and its market value is low, skipping comprehensive or collision might save you money. On the other hand, for new or valuable cars, a mix of both could offer peace of mind.
Why I Skip Collision & Comprehensive Coverage
When should you decline comprehensive insurance?
Your vehicle holds a low value: As with collision, consider dropping comprehensive coverage if your vehicle's market value is lower than a few thousand dollars. Figure in your deductible as well and the potential insurance payout may not be worth the price of the coverage.
Does Dave Ramsey recommend full coverage car insurance?
Dave usually recommends full coverage for car insurance, which includes both comprehensive coverage and collision coverage. These are often purchased together since they provide similar protections, but are actually distinct coverages.
What is a disadvantage of having a high deductible?
Cons of High Deductible Healthcare Plans
Individuals who are stretched thin for funds may delay or avoid seeking medical treatment due to the high cost of treatment. For example, someone injured may avoid the emergency room if they know it will result in an expensive bill that will be applied to the plan deductible.
What deductible is too high?
In 2023, health insurance plans with deductibles over $1,500 for an individual and $3,000 for a family are considered high-deductible plans.
What happens if my repairs cost less than the deductible?
What if my car repair costs less than my deductible? There may be times when your car insurance deductible is more than the cost of the damage to your vehicle. Unfortunately, in these cases, you'll need to pay for all repairs out-of-pocket. This is because insurance only pays for damages that are above your deductible.
What does comp only cover?
Comprehensive insurance coverage is defined as an optional coverage that protects against damage to your vehicle caused by non-collision events that are outside of your control. This includes theft, vandalism, glass and windshield damage, fire, accidents with animals, weather, or other acts of nature.
Can I let my friend drive my car?
Allowing another licensed driver to borrow your vehicle is known as "permissive use," which means you give someone, who isn't listed on your car insurance policy, permission to operate your vehicle. If they're involved in an accident, your auto insurance may pay for the damages and injuries, up to your coverage limits.
Does fully comprehensive cover breakdown?
Comprehensive car insurance provides a greater level of protection than that available under Third Party Fire & Theft. In addition to covering loss or damage to your car as a result of an accident, it also includes the following benefits as standard: Windscreen repair and replacement. Roadside Breakdown Assistance.
Is it better to have collision or comprehensive?
If your car is damaged in a road collision with another car or object and you're at fault, only your collision coverage can help pay to repair it. Only comprehensive coverage covers losses caused by contact with animals, civil disturbances, fires, natural disasters, theft, and vandalism.
How much will a comprehensive claim raise my insurance?
By State. You can expect the most elevated car insurance rates post-accident in California, where the average increase is more than 74 percent. Increases are less than 25 percent in Rhode Island, in contrast.
Does full coverage cover at-fault accidents?
Full coverage car insurance covers the costs to repair damage to your vehicle in an at-fault accident. However, in most states, it doesn't include coverage for bodily injuries that you or your passengers sustained. In “no-fault” states, your auto insurance does cover your bodily injuries up to the limits purchased.
Is a $3000 deductible high?
The IRS defines high-deductible health plans for 2023 as: Individual plans with deductibles of at least $1,500. Family plans with deductibles of at least $3,000.
What is a good deductible for car insurance?
Generally, drivers tend to have average deductibles of $500. Common deductible amounts also include $250, $1000, and $2000, according to WalletHub. You can also select separate comprehensive and collision coverage deductibles.
Why is it not a great idea to have a high-deductible?
Large medical expenses: Since HDHPs generally only cover preventive care, an accident or emergency could result in very high out-of-pocket costs. Future health risks: Because of the costs, you may refrain from visiting a physician, getting treatments, or purchasing prescriptions when they're not covered by your HDHP.
Do I want a high or low deductible?
Key takeaways. Low deductibles are best when an illness or injury requires extensive medical care. High-deductible plans offer more manageable premiums and access to HSAs. HSAs offer a trio of tax benefits and can be a source of retirement income.
What is the upside to having a high deductible auto insurance?
Lower Premiums: The most significant advantage of a high deductible is lower premiums. If you're looking to reduce your monthly or annual insurance costs, increasing your deductible is one way to do it.
What happens when you choose a high deductible to get a lower monthly cost for car insurance?
A high deductible will lower your overall insurance rate, however it will increase your out-of-pocket costs if you file a claim.
At what point is full coverage not worth it?
If Your Car Has Retained Much of Its Value
If the cost of car repairs exceeds the value of your car, insurance companies will consider it totaled. Instead of paying for repairs, you'll just receive a check. If your car is only worth a few thousand dollars, a full coverage premium might not be worth it.
What insurance does Suze Orman recommend?
One of my key life insurance rules is this: Stick with term life insurance. Unless you have someone in your family with special needs, there is typically no need to buy whole life, or universal life, which are referred to as “permanent” policies and cost a lot more.