Understanding Auto Car Insurance
Reader’s Question:
Can you please give me a backgrounder about auto car insurance? I’m trying to explain it to my grandson, who just got his driving license, to educate him about being a responsible motorist.
Dick
New Haven, CT
The concept of auto car insurance can be traced back to the marine insurance invented by the ancient Chinese traders who ship goods to different parts of the world. Due to piracy and natural calamities, some ships got lost in the way and could not make it to their destination which created a loss to the investors. To protect their selves from the loss, they took the initiative of insuring the cargo ship.
History shows that protecting one self from financial losses is not some thing new that proved to be beneficial over and over. If people back in history had seen the importance of insurance, there’s no reason why people nowadays cannot see the value of it. Especially now with the boom of auto industry comes with it the increase in accident statistics that involves vehicles. We all know how devastating a vehicular accident can be – as it involves damages to car, properties, finances, persons, and it may even cost lives. This is not to scare you or give you some emotional blackmail. This is only to show you the negative factor brought by the automobile invention which an auto car insurance can help lessen the blow.
Having auto car insurance shows your being a responsible car owner. This does not only protect your losses, but also the innocent third parties that might get involve in a mishap intentionally or unintentionally caused by your car. The car insurance will assure the victims that they would be taken cared of making it a little less tragic for them. That’s why car insurance is required by law so that the innocent persons can be protected who can be either the car owner or other people or both.
Our country is lucky to have a grandfather like you who takes time to teach his grandson, not only about being a responsible motorist but also of as a good citizen.