I Need Car Insurance

There are four main reasons why you need car insurance:

• To protect your car in the event of an accident, theft, or from another source of damage, like a falling tree. Your insurance company will reimburse you for the repairs or the value of your car. Since most people don't have enough money saved to repair or replace a car, insurance can save you a big financial headache.

• To protect your assets in the event of an accident. If you cause an accident, you are going to be liable for any damages and injuries you cause, in addition to your own medical and vehicular expenses. These costs can be substantial. If you don't have insurance or the money to pay, the courts will seize your other assets to pay the bills. This can bankrupt you and put you into a debt hole you may never climb out of. It's far cheaper to pay the insurance premiums than to face this kind of judgment. In sum, you need car insurance!

• To cover your expenses if you're in an accident that isn't your fault and the other driver has no insurance (or not enough). If you incur medical or repair expenses beyond what the other person's insurance will pay, your personal insurance will step in and pay the rest. Otherwise, you'll have to come up with that money. And yes, we did just say it covers medical expenses. 

• It’s required by every state but New Hampshire and Wisconsin. All other states require you to carry at least a minimum amount of liability insurance before you're even allowed to hit the road. This is for your protection, as well as for the protection of those you might injure.