The number of drivers on the road increases every year. This can lead to an increased likelihood of a collision for you and your family. Car insurance can make the difference between a small setback and a major trial. But why do you need insurance and exactly how much should you purchase? Car accidents can result in many different expenses, which your car insurance might be able to pay for based on the type of coverage you own. Your state or province definitely requires some type of auto insurance. Electing to drive without insurance could cause you to repair or replace a stolen or damaged vehicle or pay the cost of all the damage that you may have caused. Liability: This kind of insurance coverage can pay for the damage that you are responsible for. These damages may include bodily injury, and property damage. Bodily injury damages can include medical fees, and lost wages. Property damage includes car repair costs or loss of use of property. If you are sued, this type of insurance will pay for your legal fees. State laws usually require minimum amounts, but higher amounts are available and usually recommended. Personal Injury Protection: Personal injury protection pays for hospital bills and other medical treatment for you or other people in your car, regardless of who was responsible for the accident. It is occasionally referred to as no-fault coverage. This insurance may also cover lost wages, service replacement and funeral costs. State law usually sets minimum amounts. Medical Payments: Medical payment coverage is available in states that are not considered no-fault; it pays despite who may have been at fault. If you purchase this type of coverage, you will receive payment for reasonable medical or funeral costs. Collision: Pays for damages to your car caused by a collision. Comprehensive: This applies if your car is stolen or damaged by something other than a collision, including fire, wind, hail, flood or vandalism. Uninsured Motorist: If you are hit by a driver without insurance or a hit-and-run driver, this type of insurance coverage will make sure you are covered. Under-Insured Motorist: Many drivers have liability insurance that might not be able to cover all the expenses they are supposed to take care of. This type of insurance protects you from those drivers. Other kinds of coverage, including car rental, can also be purchased. Your auto insurance payments varies based on the company and will depend on multiple factors, including: * What coverage you choose * The type of the car you own * Your driving record * Your age, gender and marital status * Where you live Some people have come to think of auto insurance as a necessary evil, but it can truly save you from a financial disaster. Review your needs, do your research , and with the help of your insurance agent, choose the option that best suits you. State Farm Clermont