Broadly speaking, car insurance is designed to protect drivers and their passengers from incurring financial hardship after a car accident or similar incidents involving a vehicle. Without car insurance, it is difficult for victims of an accident to receive compensation for injuries sustained. Similarly, drivers who cause an accident could face huge costs that are financially devastating without having the proper auto insurance.
Car insurance serves as a safeguard, then, helping drivers avoid the burdensome costs that can accrue after a car accident. At-fault drivers can cover injury costs and property damage, while accident victims receive the compensation needed to repair and rebuild their lives.