Auto insurance (or vehicle insurance, car insurance, motor insurance) is an insurance that costumers can purchase for cars, trucks and other type of vehicles.
Its primary use is to provide protection against losses incurred as a result of traffic accidents.
 In some countries it is not obligatory to get an insurance before driving on public roads. That´s why it is always advisable to find out about the auto insurance public policy where you live before going out with your car to avoid getting in trouble.
 It might vary in each country or state. You could get a penalty, see your driving license suspended or revocated and, in some states, you might be in for some jail time.
 Normally the minimum required by law is third party auto insurance to protect third parties against financial loss, damage or injuries caused by a vehicle.
 Usually coverage against loss or damage to the driver´s vehicle is optional, so make sure that you take the right decision before signing on your auto insurance policy.
 Premium charges depens on the vehicle´s price. In some states premium charges can be mandated by the government or the insurance company in accordance with the model of regulations set by the government.
 Frequently the insurer will have more freedom to set the price in physical damages than other types of auto insurance coverages that involve mandatory liability coverage.
 When the premium is not mandated by the government it is calculated for an actuary based on auto insurance statistical data.
 There are many factors that can have an impact on auto insurance premium and on the cost of future claims, such as car characteristics, coverage selected (limit and perils), the driver profile (age, gender, the driving history) and the usage of the car (commute to work or not and the predicted annual distance driven).