What is Liability Car Insurance

What is Liability Car Insurance In Toronto and across Ontario, drivers are required by law to purchase a minimum amount of car insurance. There are various types of car insurance that you can purchase, and some types are optional. For example, you do not need to purchase a policy with towing or roadside assistance coverage. However, all drivers in Toronto must carry a policy that contains at least liability car insurance. This is a type of policy that can protect you and other drivers on the road from financial loss if you have an accident.

With liability car insurance in Toronto, the insurance company will pay for the damage that is caused to the other driver's vehicle during a car accident. However, any damage to your vehicle will not be paid for under a liability car insurance policy. The cost of a damage to a vehicle may be tens of thousands of dollars, and damage to personal property with an accident can be considerably higher. When you cause the accident, you are required to pay these expenses for the other party. Many people are not financially able to pay for these expenses out of their own pocket, so the liability car insurance policy provides drivers with a way to compensate other drivers for expenses related to an accident they cause.

You should be aware that another driver may take you to court and may attempt to obtain the funds owed to them if you do not have the financial ability to do so. This can result in considerable stress and hardship for all involved. Furthermore, if you do not have at least the minimum amount of liability car insurance in place, you may be subject to fines and other penalties by law enforcement officials. Therefore, all drivers should make an effort to purchase at least the required minimum liability car insurance policy.

Because a car accident can also result in damage to your own vehicle and may result in financial loss related to damage to personal property, additional types of insurance may be purchased by drivers. For example, comprehensive insurance may be purchased by the driver, and it includes additional benefits on top of the liability coverage. You can request a quote for car insurance coverage today from an insurance broker or provider, and you can begin learning more about the different benefits associated with obtaining a minimum liability policy versus optional coverages that you may purchase.