Car insurance is required in all states. The law requires drivers to carry valid liability insurance in case they cause an accident that harms another person or damages their property. Drivers caught operating a vehicle without valid coverage can be subject to fines and citations for financial responsibility. Repeat offenders may be subject to imprisonment. In most states, vehicle owners are only required to purchase liability coverage. Vehicle owners then have the option of purchasing additional coverage to protect them in the event that they are involved in an accident with an uninsured or underinsured driver.
When it comes to purchasing auto insurance, the term “full coverage” is thrown around fairly often. Before making the ultimate decision, people consider the price of additional coverage and the likelihood they feel they may use it. It is common to hear many who have the following types of coverage believe they have full coverage.
- Liability coverage. This covers bodily injuries and property damage caused by your negligence, or the negligence of an authorized driver. This coverage is required in all states.