Why Do People Need Car Insurance? 
Many states require auto insurance in order to register a car . A car is a lethal piece of equipment . It can hurt people and destroy property . It can be damaged and suffer loss itself . People need auto insurance because they normally can not afford to cover the huge losses that they can create with a car . An insurance policy spreads the risk of operating a car over a large group of people . The insurance company tries to make the costs as equitable as possible . The result is that when someone is injured in an accident there should be some money available to pay the medical bills , repair the broken vehicles and provide interim transportation . 