Everyone who drives a car needs auto insurance. One common type of auto insurance is liability-only auto insurance, which provides essential coverage. At MSM Insurance Agency Inc., servicing Kearny, NJ, we are always ready to answer any questions you may have about liability-only auto insurance. Here’s what you need to understand.

What Is Liability Only Auto Insurance?

Liability-only auto insurance is coverage that pays for repair work on the other driver’s car if you cause an auto accident. It does not cover repairs to your vehicle or pay for roadside assistance.

Who Needs Liability-Only Auto Insurance?

Auto insurance is a requirement in nearly every state. Liability insurance is the most basic type of insurance that satisfies these legal requirements for driving on the road. If you have an auto loan, however, you may be required to opt for full-coverage auto insurance.

Liability insurance will likely fulfill your state’s requirements if you own your car outright. To understand exactly how much insurance coverage you need to drive legally in your state, it’s helpful to speak with an insurance agent.

What’s the Difference Between Liability-Only Auto Insurance and Full Coverage?

Liability-only auto insurance only covers the repair costs for the other vehicle if you cause an accident. Full coverage auto insurance varies, but it usually pays for repairs to your vehicle under various circumstances and can replace your vehicle if it’s destroyed by a fire or stolen.

Are you interested in learning more about liability-only or full-coverage auto insurance? At MSM Insurance Agency Inc., servicing Kearny, NJ, our team is more than ready to assist you. Call us today to speak with one of our agents.