Like health or homeowner's insurance, auto insurance protects against financial expenses incurred as a result of damage to self or property. This may not happen every day, but there's always the chance it will. In this sense, auto insurance is worth the money and the peace of mind it provides.At the same time, 'car insurance' of one type or another, and/or proof of financial responsibility is mandated in all 50 U.S. states where it is not considered an option. Therefore, drivers must be proactive in reviewing their auto insurance policy regularly to adjust limits and to see if they're getting the best deal for the money.
What the world Would Look Like Without Auto Insurance
While drivers don't really think about it when paying their monthly car insurance payment, the World would be disastrous without auto insurance. For example, a driver distracted by talking on a mobile phone while driving strikes another car that results in damage and personal injury. Even though both drivers know who is at fault, the point is moot because both drivers are now responsible for paying for their own car damage and injuries.
The victim in the accident could conceivably take the other driver to court to recoup damages, but the trial would take months, perhaps even years, due to the high volume of other accident cases clogging the court system. Thus in all likelihood both drivers would be equally responsible for the accident. Not exactly fair since the person talking on the mobile phone was clearly at fault.
In a world without auto insurance, drivers would quickly become buried in debt and legal problems that they may never be able to recover from. Thus, car insurance may not be fun to pay every month, but it provides a legal and financial safeguard in the event of an auto damage or bodily injury.
The Benefits of Auto Insurance
The main benefit of car insurance for drivers is protection against financial liability in the event of car damage or bodily injury. The driver only pays the deductible, and the auto insurance pays the rest. However, many drivers fail to consider the numerous additional perks car insurance has to offer:
* Rental reimbursement in the event the car is incapacitated due to accident damage
* Financial protection in the event of theft, vandalism, hail, fallen trees, animal strikes, and windshield cracking
* Covers cost of labor when keys are locked in car
* Provides roadside assistance in the case of a flat tire, dead battery, or out of gas scenario
* Provides coverage for damage to personal property inside the vehicle (e.g., clothing or luggage)
* Driver's auto insurance coverage extends to guest drivers
* Towing and labor coverage in the case of an auto accident or car breakdown
On average, auto insurance costs drivers $1000+ annually. However, its financial protections and additional perks such as roadside assistance, rental reimbursement, towing and labor, and coverage for cracked windshields definitely make car insurance worth the money.
While drivers don't really think about it when paying their monthly car insurance payment, the World would be disastrous without auto insurance. For example, a driver distracted by talking on a mobile phone while driving strikes another car that results in damage and personal injury. Even though both drivers know who is at fault, the point is moot because both drivers are now responsible for paying for their own car damage and injuries.
The victim in the accident could conceivably take the other driver to court to recoup damages, but the trial would take months, perhaps even years, due to the high volume of other accident cases clogging the court system. Thus in all likelihood both drivers would be equally responsible for the accident. Not exactly fair since the person talking on the mobile phone was clearly at fault.
In a world without auto insurance, drivers would quickly become buried in debt and legal problems that they may never be able to recover from. Thus, car insurance may not be fun to pay every month, but it provides a legal and financial safeguard in the event of an auto damage or bodily injury.
The Benefits of Auto Insurance
The main benefit of car insurance for drivers is protection against financial liability in the event of car damage or bodily injury. The driver only pays the deductible, and the auto insurance pays the rest. However, many drivers fail to consider the numerous additional perks car insurance has to offer:
* Rental reimbursement in the event the car is incapacitated due to accident damage
* Financial protection in the event of theft, vandalism, hail, fallen trees, animal strikes, and windshield cracking
* Covers cost of labor when keys are locked in car
* Provides roadside assistance in the case of a flat tire, dead battery, or out of gas scenario
* Provides coverage for damage to personal property inside the vehicle (e.g., clothing or luggage)
* Driver's auto insurance coverage extends to guest drivers
* Towing and labor coverage in the case of an auto accident or car breakdown
On average, auto insurance costs drivers $1000+ annually. However, its financial protections and additional perks such as roadside assistance, rental reimbursement, towing and labor, and coverage for cracked windshields definitely make car insurance worth the money.
