Auto insurance

Auto insurance

A wrecked vehicle in

Auto insurance protects the policyholder against financial loss in the event of an incident involving a vehicle they own, such as in a .

Coverage typically includes:

1. Property coverage, for damage to or theft of the car;
2. Liability coverage, for the legal responsibility to others for bodily injury or property damage;
3. Medical coverage, for the cost of treating injuries, rehabilitation and sometimes lost wages and funeral expenses.

Most countries, such as the , require drivers to buy some, but not all, of these coverages. When a car is used as collateral for a loan the lender usually requires specific coverage