Homeowner's policies cover more than just a home and its contents. Most types include the main dwelling, any other structures on the property, personal belongings that are kept either in the dwelling or elsewhere, costs of additional living expenses, and comprehensive personal liability, including medical payments and damage to others' property. Additional liability insurance is available for these situations. When you are evaluating the risks to which you are regularly exposed, driving a car is one that must be considered. The possibility of an accident involving your car is so great that many states have made at least limited automobile insurance mandatory.
Automobile insurance covers three broad risk categories.
Liability insurance covers personal injuries and property damage resulting from ownership, maintenance, or use of a vehicle. Separate limits for payments apply to each person involved in an accident and to property damage incurred. Medical insurance covers the medical costs incurred in an accident up to a set amount per person per accident. Collision insurance pays the costs of having a car repaired after it has been damaged in an accident. Additional automobile insurance is also available to pay for damages resulting from an uninsured driver, for towing and labor, and for transportation needed while a damaged car is being repaired.