Auto insurance is needed primarily:
A) to finance automobile maintenance.
B) as protection against the cost of significant loss.
C) as a part of the homeowner's insurance requirements.
D) to counter the effects of increasing fuel prices.
E) to satisfy federal requirements for a lawful citizenship.

Question

Quizplus · Accepted Answer

Auto insurance is primarily needed to protect against the cost of significant loss, such as damage to the vehicle or injuries to others in case of an accident. It is not related to financing automobile maintenance, homeowner's insurance requirements, fuel prices, or lawful citizenship requirements.

Auto Insurance Is Needed Primarily