The main reason why we need car insurance is the law. Yes, we can find at Road Traffic Act says that driver must have insurance that will cover the treatment costs if someone gets injured, or the repair cost if another person's property gets damaged. Actually these costs can be very high. So how we can pay?
Just make this problem simple. To make sure if we have an accident and at the same time we have the money to pay all costs, there is one thing we must have: car insurance. In this case we need third party insurance at least. Once our liability to others is covered, it's then our choice how much more cover we want to buy. For sure, depending on how much protection we need for ourselves.
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