There are more cars and drivers on the road every year. With the increasing number of vehicles on the road, accidents can happen. If you get in a car wreck, the auto insurance you own can make a big difference in what happens next. But why do you need insurance and just how much should you buy? Mandated coverage varies based on the state/province but typically includes the following: Liability: Bodily injury and property damage that you are responsible for will be paid for under liability insurance. Damages from bodily injury include medical fees, and lost wages. Property damage includes damaged property or loss of use of property. If you are in legal trouble, it also pays your legal fees. Recommended, higher levels of insurance are available that cover more than the stripped-down, state-mandated varieties. Personal Injury Protection: This is mandated in some states and is optional in others. Sometimes referred to as no-fault coverage, this pays the medical treatment for you or your passengers regardless of who was at fault. Local government typically sets minimum amounts. Medical Payments: This type of coverage can be purchased in states that are not considered no-fault and will pay regardless of who is responsible for an accident. If you buy this type of coverage, you will receive payment for reasonable medical or funeral costs. Collision: Damages that occur from a collision will be paid for under this type of insurance. Comprehensive: This applies if your vehicle is stolen or damaged by something other than a collision, including fire, wind, hail, flood or vandalism. Uninsured Motorist: Pays for repair and replacement costs when an insured person is in an accident caused by a driver who does not have insurance. Under-Insured Motorist: Many drivers have liability insurance that might not be able to pay for all the expenses they are responsible for. Under-insured motorist coverage protects you from those drivers. Other policies, such as car rental and emergency road service, are also available. What you pay for car insurance varies based on the company and will depend on multiple factors, including: * What coverage you choose * The type of the vehicle you own * Your driving record * Your age, sex and marital status * Where you live Some drivers think they can get by without auto insurance, but it is honestly something you don't want to live without. Evaluate your needs, do your research , and with the support of your insurance agent, choose the option that fits you best. Car Insurance Groveland