In this paper, a novel sliding mode-based control approach is proposed for a full vehicle suspension system subject to actuator faults and model uncertainties. The underlying design concept is to retain system stability and reliability in the presence of actuator faults, parameter variations and neglected nonlinear effects. The proposed approach is based on a new variable structure control, derived from optimal sliding surfaces, to attain a control signal with reduced chattering, typically present in sliding mode control. System stability is derived using Lyapunov theory. The proposed approach was implemented on a realistic 7-DOF full car model subject to uncertainties and actuator faults. Robustness of the overall scheme, optimized ride comfort and road holding ability under both healthy and faulty conditions are the main positive features of the proposed approach.Index Terms Sliding mode control, active suspension system, fault tolerant control, Lyapunov stability.