Compulsory Insurance

Plain English Definition: Insurance required by law to operate legally in certain situations.

What Compulsory Insurance really means for someone with an insurance policy

This ensures financial protection by mandating insurance coverage for specific activities, reducing uninsured risks.

Compulsory Insurance Real World Examples

• Auto liability insurance is mandatory in most states for driving legally.
• Employers must provide workers’ compensation insurance for employees.
• Homeowners with mortgages often need property insurance per lender requirements.