What type of insurance protects vehicle owners against financial loss due to accidents or theft?

Auto insurance is specifically designed to protect vehicle owners from financial loss resulting from accidents, theft, or other damages related to their vehicles. This type of insurance typically provides coverage for various situations, including liability for injuries to others and their property, as well as protection for one’s own vehicle against theft or collision-related damages. It helps ensure that vehicle owners can mitigate the financial burden that can arise from unforeseen circumstances involving their vehicles.

In contrast, health insurance focuses on covering medical expenses, homeowner's insurance protects one's home and possessions from damages, and travel insurance offers coverage for unexpected events that may occur while traveling. Each of these types of insurance serves distinct purposes and does not address the specific risks associated with owning and operating a vehicle.