Owning a car entails a lot of responsibility. First and foremost is the car owner’s responsibility to fellow motorists and the pedestrians to ensure appropriate and lawful use of the vehicle on the road.
There is also the responsibility to the car itself, where the owner needs to accord it regular maintenance (which can cost a huge monthly sum) and of course, a good car insurance.
A car insurance (also called a motor or auto insurance) is a protection policy purchased for cars, trucks, buses, vans and other vehicles. It is a contract that protects the owner of a vehicle from possible losses that may arise due to accidents involving the car and against a liability that may be incurred as a result of the accident.
In the United States as well as other nations, a car insurance that covers liability for damage to property and on injuries due to accidents is mandatory for all car owners. Different states may have varying requirements as to the specific terms of coverage, as well as to the penalties imposed for the absence of a car insurance, like payments of fines, suspension or revocation of the driver’s license and in some states, possible jail time.
Few states allow a third party insurance in place of a full car insurance contract for those who cannot buy a car insurance to protect third parties from loss, injury or damage if t5he car is involved in an accident. These terms underline the crucial need to have a car insurance for the protection of possible victims in car accidents, aside from the protection of the insured vehicle and the insured car owner.