Auto Insurance is a type of insurance that aims to protect you and anyone who engages in traveling by car. It can save you from the high cost of accidents and injuries. Primarily, it is a contract in which you pay a monthly premium to the insurance company and get coverages in return. Basic Auto Insurance is a requirement in most states.
Moreover, if you lease a vehicle, your lender may also require you to purchase auto insurance to protect you from unforeseen circumstances. It is important because if you cause an accident to an underinsured driver, you will be responsible for covering all the accident costs. Consequently, it can harm your financial condition if you don’t have Auto Insurance.
