Have you ever stopped to wonder why car insurance is mandatory, but other types of insurance, such as health care, are not? In the United States of America, all states require some form or car insurance except New Hampshire, which is the only state that does not require it.

Car insurance is mandated at the state level, so this allows each individual state to determine the regulation. States acting as individual powers can place any mandate they see fit on their residents, as long as it is not in violation of the restrictions placed on states in the constitution. Due to plenary power, states have more power to mandate necessary insurance policies than the federal government does. This may leave you wondering why 49 out of 50 states have chosen to mandate car insurance for their residents. There is no straight answer since it varies from state to state, but there are overarching benefits of mandating some type of car insurance, specifically liability insurance, for drivers.

As you’re most likely well aware, driving can be dangerous. It’s not something we want to think about when we’re out on the road, but it is a fact of life. We are human, and humans make mistakes. Making certain mistakes behind the wheel can be costly, and even potentially deadly. Picture the following situation. You’re driving along the road on the way to a nice dinner with friends and suddenly a driver rear ends you going 50 MPH. It smashes in the whole back end of your car in, totaling your car, and you get injured, causing you to need to go to the chiropractor. If the person who hit you didn’t have liability insurance, you’d probably be pretty upset. This is why most states mandate it. The benefits of mandating liability car insurance outweigh the costs.

Some of the common things that comprehensive car insurance covers are theft, vandalization, natural disaster damage, fire damage, falling object damage such as a rockslide, animal-induced damage, and damage caused by other people in the case of an event like a protest or riot.

Comprehensive car insurance does not cover damage done to your vehicle by you or another driver, medical expenses for any parties involved, or damage done to another person’s car. This type of car insurance is typically required if you are leasing a vehicle, otherwise it is optional.

When trying to decide if comprehensive car insurance is right for you, there are a few factors you will want to consider. If your car is older and not worth much, then you probably don’t need comprehensive car insurance, because what you end up paying will likely outweigh the benefits. However, if your car is newer or more expensive, you might want to look into comprehensive car insurance because the benefit of being able to have your car repaired in the case of one of the situations described above is worth the monthly payment and premium you might have to pay.

Collision coverage insurance is more popular, but these two insurance types can be used together to give you the most full coverage of your vehicle. If you are unsure if comprehensive car insurance is right for you, you can always get quotes from different companies and ask an agent to help you decide.

When you’re exploring different types of car insurance, you might be wondering what comprehensive car insurance covers. Depending on the exact insurance plan, it might be different, but there are many commonalities of comprehensive car insurance. This type of insurance helps you to repair or replace your vehicle if it is stolen or damaged in an accident that isn’t a collision. Comprehensive car insurance does not cover damage done to your car by any sort of driver-caused incident, whether it’s your fault or not.

Some of the common things that comprehensive car insurance covers are theft, vandalization, natural disaster damage, fire damage, falling object damage such as a rockslide, animal-induced damage, and damage caused by other people in the case of an event like a protest or riot.

Comprehensive car insurance does not cover damage done to your vehicle by you or another driver, medical expenses for any parties involved, or damage done to another person’s car. This type of car insurance is typically required if you are leasing a vehicle, otherwise it is optional.

When trying to decide if comprehensive car insurance is right for you, there are a few factors you will want to consider. If your car is older and not worth much, then you probably don’t need comprehensive car insurance, because what you end up paying will likely outweigh the benefits. However, if your car is newer or more expensive, you might want to look into comprehensive car insurance because the benefit of being able to have your car repaired in the case of one of the situations described above is worth the monthly payment and premium you might have to pay.

Collision coverage insurance is more popular, but these two insurance types can be used together to give you the most full coverage of your vehicle. If you are unsure if comprehensive car insurance is right for you, you can always get quotes from different companies and ask an agent to help you decide.

Auto Insurance

When we get in our cars we often don’t think about the fact that we are getting into a powerful machine that has the ability to cause harm. However, the reality is that being in a car is even more dangerous than being on an airplane. According to the Association For Safe International Road Travel, approximately 1.3 million people die in car crashes yearly, and that doesn’t even account for those who get injured but survive. So let’s face it, even if you think you’re a better than the average driver, which most of us do, it’s still important to have car insurance to keep yourself protected against the other guy who might not be as swell a driver as you.

Home Insurance

Our homes are our lives, quite literally the place we lie our heads. They house all of our precious things and memories from years gone by. Home feels like our safe place, and most of the time it is, but things do happen, and in the event that a fire breaks out or you are robbed you will want to have home insurance to cover you.

Life Insurance

Hopefully, I shouldn’t have to tell you why your life is important, but I can tell you why having insurance for it is. If you have family members that you love and care about, life insurance makes sure that your loved ones will be taken care of and that they won’t have to worry about funeral or burial costs. Obviously, this isn’t a fun concept to think about. Buying life insurance can feel like you’re buying insurance expecting to die but one of the benefits to having life insurance is that it can supplement your retirement income through accumulation. That just means that you’ll have more money to enjoy while taking a cruise in your old age!

Insurance provides coverage and peace of mind for us for those “what the heck” moments in life. You don’t want to take a gamble with your car, your home or your life so it’s best to be protected and insured with these types of insurance.