What is car insurance?
Car
insurance is a type of insurance policy that protects against financial loss.
Auto insurance pays the bills if the policyholder causes an accident. Depending
what kind of coverage a person buys, it also helps pay for repairs or
replacement of their own vehicle.
Here are
some of the costs car insurance can cover:
Repairing or
replacing the vehicle after a fire, theft, or other disaster
Medical
bills if the driver is hurt in an accident
Lost wages
if injuries from an accident stop the driver from working
Losses
another motorist causes if they are uninsured or underinsured
Damage to
other people's property the policyholder causes with their vehicle
Injuries
others experience if the policyholder causes a crash
Rental car
expenses if the vehicle is in the shop for repairs
