Owning a car involves several risks.
Damage can also occur through theft, vandalism, or natural disasters.
Auto insurance can protect you against these risks. A PAP is a contract between you and your insurer, specifying each party's rights and obligations. Essentially, your insurer promises to provide specific coverage for you in return for your payment of a premium. All states require you to be financially responsible when driving a car. Depending on your state, you may be required to purchase auto insurance or post a bond.