Three Reasons to Get Car Insurance

by : Michael Hunter

Most Americans today own an automobile of some sorts. It is almost impossible to live in some places without an automobile because there is no other way to travel. This article is not about how many cars are on the road though, but rather, how many people have car insurance? You may not think of auto insurance as being important but after reading this article, you will.

1. The first reason that auto insurance is important is to protect the banks that have just financed your new car. If you go to a bank and get a $20,000 loan out to go and by a new car, you owe the bank $20,000 plus whatever the interest is.

But, if you are driving down the street and another driver crashes into you, wrecking your car, what are you going to do? You probably do not have the money to fix the car and the bank will not lend you anymore money. If the other driver has auto insurance his company will pay to fix your car.

Without car insurance you would have had to pay to fix your own car and you would have had to fall behind in paying the bank the money you owed them. This is a situation that would eventually hurt the economy if this case continued to happen.

2. The second reason is it protects your from uninsured motorists. Some motorists do not see the importance of auto insurance, so they do not purchase any. If you get into a car accident with a motorist that is uninsured you know that there is no insurance company to pay for the damage.

If this case arises your insurance company will pay to fix your damage. Unfortunately, if your insurance company pays to fix your car your insurance will be raised, but you will have a fixed car. It will cost you less to raise your insurance rate than it would to fix most car damages.

3. When considering auto insurance you must assume the worst. If you get into an accident and require medical attention, and you have no auto insurance, you will be responsible for paying the medical bills. Depending on the medical treatment that is needed you could be looking at an extremely large bill.

The price of health care is very high now and it is not worth saving a few dollars by not getting car insurance because you may have to pay for medical bills which could lose you much more money than you saved. You could gamble and assume you will not need to go to the hospital for anything after an accident, but the possibility is always out there.

Car insurance may seem like something that you do not need. You may say that saving a few hundred dollars a month is worth it. However, the second you get into an accident with another driver, the second you need to go to the hospital to receive medical attention, you are going to be asking yourself why you did not get auto insurance. Why wait for the worst? Prepare yourself today by going and getting auto insurance.