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Why is it mandatory to have car insurance?

My enquiry is from aramex insurance subject

I got this question in homework.

Other related questions to my question are:

Why is it mandatory to have car insurance?

Why is it important to have car insurance even if you're a really good driver?

Is car insurance mandatory in Canada?

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The correct answer by me is: Having car insurance is required by law in most states. If you are at fault in a car accident, the auto liability coverage required on your car insurance policy helps pay for covered losses, such as the other party's medical bills and damage to their vehicle or other property that results from the accident.

The title of my answer is Why Do You Need Car Insurance? | Allstate

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