"Full coverage" isn't a defined term in insurance law. There's no policy you can buy that's actually labeled "full coverage." When attorneys, lenders, and adjusters use the phrase, they mean a policy that goes beyond Arizona's bare legal minimum to protect not just other people, but your own vehicle and your own injuries. This guide breaks down exactly what full coverage includes in Arizona, how to tell whether you have it, and which pieces matter most after a crash.
What does full coverage car insurance actually cover?
Most people mean these coverages when they say "full coverage." Only the first is required by Arizona law; the rest are optional but are what make a policy genuinely protective.
| Coverage | What it pays for | Required in AZ? |
|---|---|---|
| Liability | Injuries & property damage you cause to others | Yes |
| Collision | Damage to your own car in a crash, regardless of fault | No* |
| Comprehensive | Non-crash damage, theft, hail, fire, flooding | No* |
| MedPay | Your medical bills after a crash, regardless of fault | No |
| UM / UIM | Your injuries when the at-fault driver has no/too little insurance | Must be offered |
*Not required by state law, but a lender or lessor will require collision and comprehensive on a financed or leased vehicle.
Do I have to have full coverage on my car in Arizona?
No. Arizona law only requires liability insurance. Collision, comprehensive, MedPay, and UM/UIM are all optional as far as the state is concerned. But "legal to drive" and "protected after a crash" are very different things, a minimum-liability policy pays nothing toward your own car or your own medical bills.
How do I know if I have full coverage?
Pull up your policy's declarations page (the summary page, usually the first page of your policy documents or the first screen in your insurer's app). If you see collision and comprehensive coverage listed alongside your bodily injury and property damage liability limits, you have what most people call full coverage. While you're there, confirm you also carry uninsured/underinsured motorist and medical payments coverage, those are the pieces people most often discover they're missing after it's too late.
Liability coverage: the only mandatory piece
Arizona requires all drivers to carry liability insurance. As of July 1, 2020, the minimum is $25,000 per person / $50,000 per accident for bodily injury, and $15,000 for property damage (A.R.S. § 28-4009). Liability coverage pays for injuries and property damage you cause to others. It doesn't cover your injuries or your own vehicle.
Collision coverage
Collision covers damage to your vehicle regardless of fault. If you caused the crash, collision is how you get your car repaired. If the other driver caused it but their carrier is denying liability, collision lets you move forward with repairs without waiting for the dispute to resolve. When you use collision coverage on a not-at-fault crash, your insurer typically subrogate against the at-fault driver's carrier and eventually reimburses your deductible.
Comprehensive coverage
Comprehensive covers vehicle damage from events other than a collision, hail, theft, fire, flooding, falling objects. It's a separate coverage from collision, though lenders typically require both on financed vehicles.
Medical payments coverage
Medical payments (MedPay) covers your medical expenses after a crash regardless of who was at fault. It can pay for ER visits, hospitalization, and follow-up care. It's optional in Arizona but can be valuable when you need care quickly and don't want to wait for the liability dispute to play out. Arizona doesn't have no-fault PIP, but MedPay fills a similar role, see our guide to personal injury protection (PIP) and MedPay in Arizona and who pays your medical bills after a crash.
Uninsured and underinsured motorist coverage
This is the coverage that matters most when another driver causes your injuries. Uninsured motorist (UM) coverage applies when the at-fault driver has no insurance at all. Underinsured motorist (UIM) coverage applies when they have insurance, but their limits aren't enough to cover your damages. Arizona requires insurers to offer both in writing (A.R.S. § 20-259.01), if you never signed a written rejection, you may still have this coverage by operation of law, even if you don't recall opting in.
Roughly one in ten drivers on Arizona roads has no liability insurance. UM/UIM coverage is how you protect yourself from that. For a deeper look, see our guide to uninsured and underinsured motorist coverage in Arizona.
Is full coverage worth it in Arizona?
For most drivers, yes, and the piece that carries the most weight isn't collision, it's UM/UIM. When an uninsured or underinsured driver hurts you, your own UM/UIM coverage is often the only source of compensation available. A minimum-liability policy leaves you paying your own medical bills and lost wages out of pocket. If you're not sure what's in your policy, now is a good time to check, before you need it. And if a crash has already happened, knowing your coverages helps you understand what your car accident case may be worth.
Our car accident attorneys handle claims throughout Phoenix and Scottsdale on a contingency fee basis. No fee unless we win. Call (480) 418-SHER (7437) or reach out online.