You will see more cars on the road each year. This could lead to a higher possibility of a collision. Car insurance can make the difference between a minor setback and a large trial. But why is insurance necessary and just how much should you buy? Coverage requirements vary by state/province, but usually include the following: Liability: This type of insurance can pay for the damage that you have caused. These damages may include bodily injury, and property damage. It also covers your defense and court costs if you are sued. State laws usually require standard amounts of liability insurance, but larger amounts are available and extremely helpful. Personal Injury Protection: Personal injury protection pays for hospital bills and other medical treatment for you and other people in your car, regardless of who was at fault in the accident. It is sometimes called no-fault coverage. The minimum amount of this insurance is typically set by the state. Medical Payments: Medical payment coverage is available in non-no-fault states; it will pay despite who carries responsibility for a crash. This insurance will pay for all insured person's reasonable medical and funeral expenses resulting from a crash. Collision: Damages resulting from a collision will be paid for under this type of insurance. Comprehensive: This applies if your car is stolen or damaged by causes other than an accident, including weather damage or vandalism. Uninsured Motorist: If you are hit by an uninsured driver, this type of insurance will protect you. Under-Insured Motorist: This pays for collision expenses when an insured person is in an accident caused by another person who does not have the right amount of insurance to pay for the full cost of the damages. Other types of coverage, like emergency road service and car rental, are also available. Auto Insurance Clermont