What is Auto Insurance

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     An auto insurance is a policy purchased by vehicle owners to mitigate costs associated with getting into an auto accident. Instead of paying out of pocket for auto accidents, people pay annual premiums to an auto insurance company; the company then pays all or most of the costs associated with an auto accident or other vehicle damage.

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     In exchange for paying a premium, the insurance company agrees to pay your losses as outlined in your policy. Coverage include:

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• Property – damage to or theft of your car

• Liability – legal responsibility to others for bodily injury or property damage

• Medical – costs of treating injuries, rehabilitation and sometimes lost wages and funeral expenses