What is the main purpose of having auto insurance?

The main purpose of having auto insurance is to protect against unintentional costs and financial losses. Auto insurance provides financial security by covering various expenses that can arise from accidents, theft, or other damages involving your vehicle. In the event of an accident, for instance, insurance can cover medical expenses for injuries sustained, repair costs for damaged vehicles, and liability for damages to another party.

This coverage is vital because unexpected events can result in significant out-of-pocket costs that could have a crippling effect on an individual's finances. By having auto insurance, drivers are better equipped to handle accidents and related expenses without facing severe economic hardship. This financial protection allows individuals to drive with peace of mind, knowing that they are supported in the face of unforeseen incidents.