The number of cars and drivers on the road increases each year. As this number goes up, the possibility of accidents also goes up. If you get in a car crash, the car insurance you own can make a large difference in how much you have to pay. But why do you need insurance and exactly how much should you buy? Insurance requirements vary by state/province, but typically include the following: Liability: This kind of insurance coverage can pay for the damage that you have caused. These damages may include bodily injury, and property damage. Damages from bodily injury include medical fees, and lost wages. Property damage includes damaged property and loss of property use. If you are sued, liability insurance can pay for your court costs. Recommended, higher levels of insurance are available that cover more events than the lower, state-mandated insurance. Personal Injury Protection: Personal injury insurance is required 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. This insurance may also pay for lost earnings, service replacement and funeral expenses. State government typically sets minimum amounts. Medical Payments: This coverage is available in non-no-fault states; it pays regardless of who may have been at fault. If you buy this type of coverage, you will receive payment for necessary medical or funeral expenses. Collision: Pays for damages to your car caused by an accident. Comprehensive: Applies if your car is stolen or damaged by something other than an accident, including fire, wind, hail, flood or vandalism. Uninsured Motorist: If you are in an accident with a driver without insurance or a hit-and-run driver, this type of insurance coverage will protect you. Under-Insured Motorist: Just like uninsured coverage, this kind of insurance covers you from drivers without sufficient insurance coverage. Other types of coverage, like car rental, are also available. Your auto insurance payments vary by company and will depend on multiple factors, including: *Your desired coverage *Your vehicle's make and model * Whether or not you have been in an accident * Your age, gender and marital status * The place where you live Some have come to think of auto insurance as a necessary evil, but it is something you will need if you are ever in an accident. Review your needs, do your research , and with the support of your insurance agent, choose the option that best suits you. State Farm Agent Clermont
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