What is vehicle insurance?
Q: What is vehicle insurance?
A: Vehicle insurance is a type of insurance that protects people in the event of a car accident by covering the potential cost of damages and financial loss that may occur as a result.
Q: Why is it important to have vehicle insurance?
A: In many places, it is against the law to drive without vehicle insurance. Having vehicle insurance ensures that the driver does not have to pay the entire cost of damage incurred by a car accident.
Q: What does liability coverage do?
A: Liability coverage is the bare minimum requirement for everyday drivers and it protects other drivers on the road from damages caused by the insured driver.
Q: What can happen if a driver does not have the minimum amount of liability coverage?
A: A driver can receive a ticket, have their driver's license revoked or even be arrested.
Q: Can the price of vehicle insurance vary?
A: Yes, the price of vehicle insurance can vary a lot depending on the company providing the insurance.
Q: Can the type of car a person drives affect their auto insurance rates?
A: Yes, the type of car a person drives can affect their auto insurance rates as the repairs needed for the car may differ from other cars.
Q: What is the driver's responsibility when it comes to vehicle insurance?
A: The driver pays a premium to the car insurance company in exchange for coverage of potential damages and financial loss that may result from driving. It is the driver's responsibility to ensure they have the minimum amount of liability coverage required by law.
