What is Car Insurance?

Vehicle insurance is insurance purchased for cars, trucks, motorcycles, and other road vehicles. Its primary use is to provide financial protection against physical damage and/or bodily injury resulting from traffic collisions and against liability that could also arise there from the specific terms of vehicle insurance vary with legal regulations in each region. To a lesser degree vehicle insurance may additionally offer financial protection against theft of the vehicle and possibly damage to the vehicle, sustained from things other than traffic collisions.
___________________________________________________________________

Coverage levels

Vehicle insurance can cover some or all of the following items:

The insured party (medical payments)

The insured vehicle (physical damage)

Third parties (car and people, property damage and bodily injury)

Third party, fire and theft

In some jurisdictions coverage for injuries to persons riding in the insured vehicle is available without regard to fault in the auto accident (No Fault Auto Insurance)

The cost to rent a vehicle if yours is damaged.

The cost to tow your vehicle to a repair facility.

Accidents involving uninsured motorists.

Different policies specify the circumstances under which each item is covered. For example, a vehicle can be insured against theft, fire damage, or accident damage independently.