Each year, more cars and drivers hit the roads. This can lead to an increased likelihood of a car accident. Automobile insurance can make the difference between a small setback and a large hassle. So how do you know what type of car insurance you need and the quantity you should purchase? Auto insurance provides you with protection from covering the cost of damage caused to your vehicle or another person's vehicle and injury to others, yourself, or passengers in your car, and specific other incidents, such as theft. Every state or province requires automobile insurance by law. Making the decision to drive without insurance could mean you have to repair or replace a stolen or damaged vehicle or pay the cost of any damage that you may have caused. Liability: Personal injury and property damage that you are responsible for will be paid for under this type of insurance. If you are sued, this type of insurance can pay for your legal fees. State laws usually require standard amounts, but higher amounts are available and usually recommended. Personal Injury Protection: This is mandated in some states and is optional in others. It pays you or your passengers for medical treatment resulting from a crash, regardless of who may have been at fault, and is often called no-fault coverage. The minimum amount of this insurance is typically set by local government. Medical Payments: Medical payment coverage is available in non-no-fault states and will pay no matter who is responsible for the accident. If this type of coverage is purchased, the insured person will receive payment for all types of medical or funeral costs. Collision: Damages resulting from a car accident will be covered under this type of car insurance. Comprehensive: This applies if your vehicle is stolen or damaged by something other than a wreck, including fire, wind, hail, flood or vandalism. Uninsured Motorist: Pays for damages when an insured person is injured in a crash caused by a driver who does not have liability insurance or by a hit-and-run driver. Under-Insured Motorist: Pays for damages when an insured person is injured in a crash caused by a driver who does not have enough liability insurance to cover the total cost of the damages. Other types of coverage, such as car rental and emergency road service, are also available. What you pay for car insurance varies by company and will depend on multiple factors, including: *Your selected coverage *Your vehicle's make and model * Your driving record * Your age, sex and marital status * The place where you live Some people have come to think of car insurance as a necessary evil, but it can truly rescue you from a financial disaster. Review your needs, research your options, and with the guidance of your insurance agent, choose the option that fits you best. Insurance Clermont