When you buy a car, it’s important to make sure that it’s covered with insurance. But why? Here are 10 reasons why you should buy auto insurance:
To protect your car
If you don’t have insurance, you risk losing your car. If someone hits your vehicle and causes damage to it, they will be liable for the costs of repairing it and paying for any repairs that have been done. You could also end up having to pay for damages if another person’s car is damaged because of an accident involving your own vehicle.
If you have an accident with another person’s car and cause damage to theirs (which may happen more often than you think), then this could result in legal action being taken against both drivers involved – usually in courtrooms across Australia! That means that if one driver wins his case against another at court then there will likely be thousands or even millions of dollars’ worth of debt incurred by both parties as restitution by way of compensation payment due under law (and under certain circumstances).
An insurance policy protects against this type scenario happening too often so if someone hits yours whilst driving recklessly on public roads then he/she won’t get away scot-free after causing serious bodily harm/death through careless driving behaviour which makes theft much easier than usual because no one else knows about what happened until afterwords anyway when news outlets report about similar incidents happening regularly throughout Australia each year without fail.”
The cost of repair
- The cost of repair:
The estimated cost to repair a vehicle can range from $1,000 to $5,000. Depending on the type of damage and how much it has been damaged, the insurance company will calculate its value and use it to determine your premium rate. If you have collision coverage, then they will ask you how much it costs to fix the car after an accident so that they can add that amount into their calculations when determining what your premiums should be for future years.
- The cost of replacement:
If something happens with your car and it gets totaled due to an accident or natural disaster like lightning strikes or hail storms (which are covered by some policies), then there will be no way for you or anyone else around town who needs transportation because there aren’t any other cars available at any point during this time frame–you’ll have no choice but having someone else drive them until repairs are done!
To avoid losing your license
It’s no secret that if you get into an accident and don’t have insurance, your license will be suspended. This is a common occurrence for many drivers who are caught without coverage. In fact, according to the Insurance Information Institute (III), more than one in ten drivers with lapsed licenses were cited for driving without auto insurance in 2018 alone.
If the police catch you on the road without proper coverage and they take away your license or arrest you for driving without it, this can affect not only your ability to drive but also how long it takes before getting back on track as well as whether or not there are other consequences associated with driving again after being taken off the road by law enforcement officials
In case of an accident
In case of an accident, it’s important to know that your vehicle insurance will cover the cost of repairing or replacing your car. If you’re responsible for an accident, it can be very difficult to get back on the road after paying out-of-pocket expenses like paying for repairs and buying new parts. In addition, if you don’t have any insurance coverage in place at all then there is no one else who will pay for any damage caused by another driver’s negligence or carelessness.
If someone else causes damage to your car while driving negligently–for example by running into another vehicle parked on a highway shoulder–then this could mean thousands upon thousands of dollars in repairs alone! If this happens during rush hour traffic on one side of town then there may not even be much time left before everyone gets caught up in construction zones nearby due to road closures due to major construction projects being done nearby like bridges being rebuilt over highways etcetera (and so forth).
In case of theft
If your car is stolen, insurance can help you recover the costs of replacing it.
Insurance companies will also pay for the cost of recovering a stolen vehicle if it wasn’t insured in the first place.
Insurance is the best way to secure your investment
Car insurance is the best way to protect your investment. If you don’t have insurance, there’s a good chance that your car will be repossessed if it gets into an accident or stolen. And even if nothing happens to your car, having a policy will help keep the costs of repairs down in case something does happen. Insurance can also be used as collateral for loans–which means that lenders won’t require additional security from you before granting loans based on the value of your vehicle (or at least not as much).
It’s the law in some states.
In some states, you’re required to have insurance. It’s the law!
If you live in one of these states–or plan on moving there soon–it’s a good idea to check up on your state’s laws before making any decisions about buying car insurance. For example, California requires all drivers who do not have proof of driving privileges (like a license) to purchase Personal Injury Protection (PIP) coverage on their vehicles before they can drive legally on public roads. This means that even if your license is valid and current, if someone gets injured while riding with you as passengers or passengers in other cars who owe no responsibility for injuries suffered by themselves or others (such as children), then they may be entitled legal recourse against their own negligence through filing claims against whoever was driving at the time when said accident occurred under California laws regarding personal injury protection/liability policies which include uninsured motorist coverage as part of their package price
It can help you get a better rate on your car insurance.
If you have a good driving record and credit score, it’s likely that your premiums will be lower than they would be if you had less favorable information.
If you’re currently insured with a different company and want to transfer your coverage, the carrier will look at the same factors when determining how much they’ll charge for your new policy.
If you have multiple cars insured with the same company (and they’re all identical), they’ll also consider their own records when determining rates. In other words, if one of those vehicles has been involved in an accident or theft lately–or worse still, stolen–it could impact their decision about how much car insurance costs for everyone else on your policy as well!
You want to be safe if you need to drive someone else’s car.
You may need to drive someone else’s car.
You could be in a situation where you need to use another person’s vehicle, and they don’t have insurance on it. This is especially common when hiring out your own car as a rental or loaner, but even if you rent from an insurance company it could happen – especially if the owner has no idea what kind of damage their vehicle will incur during its period with you (or vice versa). When this happens, everyone loses: not only does the driver who rented your ride get sued for violating his or her own policy; now there’s also little chance that anyone who owns the property will see any money after all costs are covered by other parties involved with accidents or damages done by both parties’ vehicles during that time frame!
If you want to drive a rental car.
You can drive a rental car without insurance. However, if you do not have insurance on your car, then there will be an additional charge for damages to the rental company’s property and/or injury or death to another person in the event of an accident while driving the car.
You can buy insurance for the car you are renting and save money by doing so!
Insurance protects you from many things that might happen
- Insurance protects you from the cost of an accident.
- Insurance protects you from the cost of a theft.
- Insurance protects you from the cost of a collision.
- Insurance protects you from the cost of a fire (theft, etc.). If a fire occurs while your car is parked, insurance can cover most or all of your losses if it’s determined that negligence on your part caused it to happen. Some companies also offer “full replacement value” coverage for vehicles damaged by fires; this means they’ll pay whatever amount it takes to replace your car with another similar model if yours gets destroyed in one incident–though this benefit is provided only when purchased in conjunction with auto insurance policies that provide collision coverage as well!
There are many reasons why you should have insurance on your car. It’s not just about protecting yourself from accidents and theft, though those are good reasons to have it. You may also need it if you want to drive someone else’s car or if there’s a question about liability in an accident. Buying insurance is the best way to make sure that all these things happen without any problems for you!