June 24, 2024

Car insurance is very crucial. Not only does it protect your car in case of an accident, but it also protects you from legal consequences and financial ruin. Every country has laws that state that a person is responsible for any damage in a car accident that he or she causes. If you are involved in an auto accident in New Jersey, it would be best if you hire a New Jersey truck accident lawyer.  

There are different types of car insurance that a person can select. 

  • Third party: this is the minimum coverage required by the law. It basically covers injuries to other people and damage to property.
  • Third-party, fire and theft: this covers the cost of repairs if your car is damaged by fire or stolen.
  • Comprehensive: it is more expensive that the above two. It protects other people and protects your car against damage.

The following are some of the reasons why you should have car insurance.


  • To protect your finances


If you cause an accident, you will be held responsible for the costs associated with it. The costs may include the medical expenses of the injured person, legal income, and legal fees. Car insurance can cover all these costs. But if you don’t have car insurance, you will be forced to pay these expenses using your own money. This can really affect you financially. 


  • It protects your vehicle


Even if your car is in good shape, you may still consider having comprehensive and collision coverage in your car insurance policy. Your car might get damaged by a natural calamity, making you repair or replace it. Comprehensive cover or collisions cover may help pay for the repairs or replacement if the car is stolen or damaged by natural calamities, such as fire, hailstone, floods, etc. 


  • It protects you and others


Having the right car insurance can protect you, your loved ones, your family members, your passengers, and other drivers. In the event of an accident, you want to make sure that you have the right coverage to take care of the property damaged or bodily injuries. One of the best ways to protect yourself and your loved ones is to ensure that you have car insurance.


  • Car insurance protects your auto lender


If you took a loan to purchase the car, your lender will want to be certain that you have the right auto insurance since the loan is secured by your car. If anything were to damage the car, its value will depreciate. That could perhaps weaken the lender’s collateral.

Most lenders are usually interested in knowing that you have either a comprehensive coverage or collision coverage as your insurance policy. These two types of coverage protect the physical value of the car, that’s why lenders prefer them. 


  • It saves time


The argument that arises after an accident can be quite time-consuming and stressful. But if you have car insurance, you can easily avoid any negotiation with the other driver or property owners involved in the accident. With the right car insurance, you don’t have to worry about the cost of repairing or replacing a car or paying for the damaged property. No-fault insurance policy can even pay you if you sustained injuries regardless of the party who caused the accident.