Auto Insurance

Understanding auto insurance — who needs it, what it costs, and what it covers.

Coverage Overview

Auto insurance provides financial protection against physical damage and bodily injury resulting from traffic collisions, and against liability that could arise from incidents in a vehicle.

Average Cost

$1,500 - $2,500/year

Who Needs It

Anyone who owns or regularly drives a vehicle. All states except New Hampshire require some form of auto insurance.

Key Exclusions

These are typically NOT covered by this type of insurance:

✗Intentional damage
✗Using vehicle for commercial purposes (without commercial policy)
✗Mechanical breakdowns
✗Personal belongings stolen from car (covered by homeowners/renters)

Auto Insurance FAQ

What auto insurance coverage is required?

Requirements vary by state, but most require at minimum liability coverage (bodily injury and property damage). Some states also require uninsured/underinsured motorist coverage and personal injury protection (PIP).

What is the difference between collision and comprehensive?

Collision covers damage from hitting another vehicle or object. Comprehensive covers non-collision events like theft, weather damage, animal strikes, and vandalism.

Check Your Coverage

Use our Coverage Profile Builder to see if auto insurance is right for your situation.

Build Your Coverage Profile

Coverage Classroom provides educational information only. This is not insurance advice, and we are not licensed insurance agents or brokers. Always consult with a qualified insurance professional before making coverage decisions.