There are many benefits if you obtain at least the state required auto insurance. With liability auto insurance you are protecting your assets by having insurance that will pay for the damages you cause others to their property or for their bodily injuries. Without the benefit of insurance covering these claims you would personally be responsible for these expenses.

If you add additional coverages such as collision and comprehensive your auto insurance will protect your investment (your car) and guarantees you a way of coping with the expense of accidents, vandalism or theft. It also secures your financial responsibility to the financial institution that lent you money to buy your vehicle.

When you drive you are responsible for the safety of your passengers, your fellow drivers, other people's property, pedestrians and yourself. Insurance helps ensure your ability to cover the costs of potential damages or injuries.

You are also required to be financially responsible by state laws, which are best satisfied through your insurance coverage. In most states insurance is a prerequisite to registering your car. So if you want to drive your own vehicle, you must be insured.

Louisiana like most all states requires financial responsibility, usually in the form of auto insurance, so that the state is assured you are able to financially take care of expenses associated with an accident if you are at fault. This state feels as most states do that if you want to register and drive a motor vehicle you need to prove you have the resources to pay for any damages you may cause to others.

Under Louisiana law, you must carry liability coverage on any automobile you own. This coverage pays for property damages or personal injury for which you may be legally responsible, up to your policy’s dollar limits. In LA, each vehicle is required to have 10/20/10 liability limits. Those limits provide payments of $10,000 for bodily injury to one person, $20,000 for bodily injury to more than one person in a single accident, and $10,000 coverage for damage to someone else’s vehicle or other property.

For more information on Louisiana auto insurance and the reason for needing it, contact the Insurance Commissioner.