Every year, more cars and drivers hit the highways. This can lead to a higher possibility of a collision for you and your family. Automobile insurance can make the difference between a small setback and a major trial. But why do you need insurance and exactly how much should you purchase? Coverage requirements will differ by state/province, but typically include the following: Liability: This type of insurance will pay for the damage that you are responsible for. These damages can include personal injury, and property damage. It can also cover your defense and court costs if you are sued. Recommended, more comprehensive levels of liability insurance can be purchased that take care of more events than the stripped-down, state-mandated varieties. Personal Injury Protection: This type of insurance pays for hospital bills and other medical treatment for you and other people in your car, no matter who was at fault in the accident. It is mandated in some states and optional in others. This insurance may also pay for lost earnings, service replacement and funeral costs. The minimum amount of this insurance is usually set by the state. Medical Payments: Medical payment coverage can be purchased in non-no-fault states; it pays despite who may have been at fault. All reasonable medical or funeral expenses will be covered under this type of coverage. Collision: Damages that occur from a collision will be covered under this type of car insurance. Comprehensive: Cover your car from all non-collision damages when you buy this type of coverage. This may include protection from theft, vandalism, and weather damage. Uninsured Motorist: Too many drivers are ignoring the law by driving without purchasing the right amount of auto insurance. This insurance will cover you if one of these drivers hit you. Under-Insured Motorist: This pays for damages when an insured person is in a crash caused by a driver who does not have the right amount of insurance to pay for the total cost of the damages. Emergency road service, car rental, and other types of car insurance can also be purchased. State Farm Clermont