Do wealthy people still need to buy car insurance?

If someone can afford to pay out of pocket for any damages in an accident, do they still need car insurance?

Answer provided by
Emily Maracle
Answered on Apr 21, 2021
Emily Maracle is a car insurance specialist living in New York. Originally from the Pacific Northwest, she has a degree in English Literature and a background in customer service. She enjoys cooking, gardening, and living sustainably. In the future, she can't wait to upgrade to a hybrid or electric car.
“While someone may be able to afford to fix any damages out of pocket, most states have a minimum car insurance requirement that drivers must abide by.
Also, there can be costly fees associated with accidents that go beyond damages. If an accident leads to a lawsuit, insurance can cover legal fees and protect financial assets.
Having some sort of liability insurance or uninsured/underinsured motorist coverage will provide extra protection for anyone on the road, regardless of their net worth. “

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