For which type of loss is an individual most likely to receive full replacement cost coverage under a Personal Auto Policy?

Full replacement cost coverage is typically associated with theft of the vehicle under a Personal Auto Policy. When a vehicle is stolen, the insurance policy often provides coverage that enables the policyholder to receive the cost necessary to replace the vehicle with a new one of like kind and quality, rather than just compensating for the market value at the time of the theft, which could be less due to depreciation.

In situations of collision damage, the coverage is generally limited to the actual cash value, which considers the vehicle's depreciation. Similarly, for non-collision damages, the payout is usually subject to a deductible and may not reflect the full replacement cost if the vehicle is not a total loss. Finally, for personal property damage, such coverage typically does not extend to the full replacement cost unless specifically stated in the policy, as these damages are often limited to the actual cash value of the property, not the replacement cost. Hence, theft stands out as the scenario most aligned with full replacement cost coverage.