Why Do I Have to Have Auto Insurance ?

Reader Question: Why the &(^* do I HAVE To have auto insurance anyway, I thought this was a free country!?

Rick,

Palo Alto CA

 

Hey Rick!

Auto insurance is becoming a very essential form of protection. In many parts of the world it’s compulsory. Auto insurance is that policy which is intended to protect the person(s) from the financial loss that occurs due to an automobile accident. The person, who takes the policy, pays the insurance company a certain amount as premium and thus ensures the service of the insurance policy for a fixed period of time. Auto insurance is limited. If the damage to the auto at any age exceeds the value of the auto, the insurer then pays only the value of the auto.