Auto insurance for your vehicle is not an option, as most states require you to have a minimum amount of insurance for your vehicle. In other words, it's a necessary expense, so finding the cheapest auto insurance is important so you can save money.
Not only do you need car insurance because it is mandatory, but you also need it to protect yourself. If you get into a car accident without insurance and you are responsible for the accident, you can be sued. To compensate the victim for the damage, you could lose your property. Your net worth includes every other vehicle you own, your home, and your property. You can protect your assets with insurance.
You also need to be adequately insured. In the event of a car accident, you are adequately protected to cover the damage. For example, if you are responsible for an accident, the total damage could be $25,000. If you only have $20,000 coverage, you are responsible for the remaining $5,000.
Another reason you need car insurance is that it can protect your car from damage that is beyond your control. Ice storms, for example, can cause damage of up to several thousand euros. You can sue your insurance company and pay for the repair. Without insurance, you have to pay for the damage out of pocket. Finally, a lack of car insurance can lead to the loss of your driver's license. If you are stopped for speeding or other traffic violations and you are unable to provide proof of insurance, that secondary violation may result in the revocation of your license.