Why We Need Car Insurance

Car insurance is required by law, and it’s an expense a lot of people would rather do without. Paying regularly for something that you don’t actually use on a regular basis – and may never use if you’re lucky – can seem like it’s a money-making scam on the part of the insurance companies.the truth is that car insurance is an investment that you are making in protecting yourself and your future from the unexpected. It’s not a scam – and yes, you really do need it.

Accidents Happen

It’s a common phrase for good reason: yes, accidents happen. They happen every day to the tune of millions of dollars in property damage and medical bills. They happen to good drivers. Everyone makes mistakes. You carry car insurance because of that simple fact.

While most accidents are minor, serious accidents are not at all uncommon. They can result in the total destruction of your vehicle or that of another driver, and in serious injuries that can leave someone off work for an extended period of time. They can leave people dealing with final expenses for a loved one.

You Can’t Afford Not to Have It

Unless you’re one of the few who is independently wealthy and has a large supply of cash to draw on if you are faced with a claim against you, then car insurance is something you simply can’t afford to be without. Think about it this way: if you can’t afford the car insurance premiums, how will you afford the much, much higher cost of paying a claim out of pocket?

Car insurance doesn’t exist to scam people out of their money on a product they may never use. It exists to protect you against the very real risk that you could find yourself financially responsible for some large bills you can’t afford to pay.

saving time and inconvenience when accidents happen

If you have car insurance, your insurer's expertise will help you through the unpleasant post-accident process, like working with another driver's insurer, walking you through the claims process getting your claim settled quickly and fairly.

peace of mind for you, a driving stud

There is a fair share of driving duds out there too. And car insurance offers financial protection from the driving mistakes of others.

Maybe you're an esteemed scholar of traffic law. Maybe you have stellar hand-eye coordination. Maybe you've never been in a car accident and are arguably the best driver on the planet. By definition, that would mean that all other drivers are worse. And there are a lot of drivers out there. A reliable car insurance policy protects you from the red-light texter, the reckless driveway-leaver, the make-up-applying fast-laner, and the end-of-the-rope road-rager.

it’s typically the law

And breaking the law is no good. Most states require its drivers to carry a minimum amount of car insurance in the form of liability coverage or financial responsibility bonds. Even New Hampshire requires you to post a bond that proves your ability to pay for potential post-accident expenses.

And since insurance is usually legally required, driving without it can result in fines and the suspension of driving privileges. Some states may even impound your ride. So unless you're a happy cyclist training for the Tour de France, a suspended license may really throw a wrench into your daily commute.