Each year, more drivers hit America's roads. This can lead to an increased likelihood of a collision for you and your family. The difference between a small aggravation and large pain can be automobile insurance. But why do you need to own insurance and just how much should you buy? Car crashes can result in many different expenses, which can all be paid for based on the insurance policy you have purchased. Every state and province mandates car insurance by law. By not purchasing insurance, you run the risk of having to pay the full price of the harm or injury you cause others. Liability: Liability pays for damages due to personal injury and damage to property for which you are responsible. It also covers your legal fees if you are sued. Recommended, more comprehensive levels of insurance are available that take care of more events than the stripped-down, state-mandated insurance. Personal Injury Protection: This is required in some states and is optional in others. It pays you or your passengers for medical treatment resulting from a crash, regardless of who may have been at fault, and is often called no-fault coverage. Local government typically sets minimum amounts. Medical Payments: Medical payment coverage is available in states that are not considered no-fault; it pays despite who carries responsibility for an accident. All reasonable medical or funeral expenses will be covered under this insurance coverage. Collision: Damages that occur from a collision will be covered under this type of insurance. Comprehensive: Cover your car from damages from other sources by purchasing this type of insurance. 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 car insurance. This insurance will protect you if you are in an accident with one of these drivers. Under-Insured Motorist: There are other drivers who have liability insurance that can't pay for all the expenses they are supposed to take care of. This type of insurance protects you in accidents involving those drivers. Other policies, such as car rental, are also available. State Farm Clermont