We see more cars on the road each year. This can lead to an increased likelihood of a car accident. Car insurance can be the difference between a minor setback and a major hassle. But why is insurance important and just how much should you get? Car insurance protects you by covering the cost of damage caused to your car or another person's car and injury to others, yourself, or passengers in your car, plus certain other situations, such as theft. Electing to drive without insurance could cause you to repair or replace a stolen or damaged vehicle or pay the cost of all the damage for which you might be responsible. Liability: This type of insurance will pay for the damage that you have caused. These damages may include bodily injury, and property damage. If you are sued, it also pays your legal fees. State laws typically mandate standard amounts of liability insurance, but higher amounts are available and very beneficial. Personal Injury Protection: Personal injury protection pays for hospital bills and other medical treatment for you or other people in your car, regardless of who was at fault in the accident. It is occasionally referred to as no-fault coverage. The minimum amount of personal injury protection is typically set by the state. Medical Payments: Medical payment coverage can be purchased in non-no-fault states; it will pay regardless of who carries responsibility for an accident. All necessary medical or funeral expenses will be covered under this type of coverage. Collision: Pays for damages to your car caused by a collision. Comprehensive: This type of insurance takes care of all non-collision damages. This may include weather damage, vandalism, and theft. Uninsured Motorist: If you are hit by a driver without insurance or a hit-and-run driver, this type of insurance will protect you. Under-Insured Motorist: Similar to uninsured motorist protection, this type of insurance protects you against drivers without enough insurance coverage. Other kinds of car insurance, like emergency road service, can also be purchased. What you pay for car insurance varies by company and will depend on multiple factors, including: *Your desired coverage *Your vehicle's make and model * Whether or not you have been in an accident * Your age, sex and marital status * Where you live Many people think of car insurance as a necessary evil, but it can save you from a financial dilemma. Review your needs, research your options, and with the guidance of your insurance agent, make the decision that fits you best. State Farm Clermont