Auto insurance protects you from paying the full cost for vehicle repairs and medical expenses due to a collision. Some factors that affect the premiums you pay for this protection, include your:
- Marital status
- Credit history
- Car’s make and model
- City and neighborhood
Types of Auto Insurance
Every state requires drivers to have auto insurance. If you don’t have insurance, you must have financial responsibility waivers. These waivers ensure that you can pay for property damages or medical expenses. There are several components that can make up your insurance policy:
- Liability coverage protects you if you are at fault for a collision. It pays for medical expenses and vehicle damage for the other driver and passengers.
- Uninsured motorist coverage pays for damages to your car and medical expenses if an uninsured driver hits your car.