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This may involve negotiations with your insurer on your behalf, or an official lawsuit against the other driver in your case.<br><br>Most states require that drivers carry auto insurance. This covers the costs of repairs or replacement of damaged property medical expenses, lost wages and legal fees in a case of bodily harm or property damage. New York, for instance, has no-fault insurance laws which require all drivers to have insurance coverage for their cars.<br><br>The insurance industry is a vital aspect of the economy. It serves as a safety net for individuals and families who could suffer losses. It helps mobilize savings in the home into a pool of funds to aid in disaster mitigation and loss management, and can promote commerce and trade through its investments in stocks and other productive channels.<br><br>Insurance companies are usually organized as either proprietary or mutual companies. 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