Final answer:
In Washington, drivers who have acquired their license must have at least liability auto insurance, with the option of adding more coverage. The insurance premium varies based on the driver's risk group. Additionally, drivers may consider service contracts and warranties for vehicle repairs and maintenance.
Step-by-step explanation:
In the state of Washington, once you have acquired your driver's license, you are required to have certain types of auto insurance. The most basic requirement is liability insurance, which covers damages and injuries you may cause to other people or property while operating your vehicle. However, there are options to add more coverage for additional protection. The premium is the payment made to an insurance company for this coverage. The amount of the premium can vary based on your risk group, which includes factors such as age, driving history, and the type of vehicle you drive.
Beyond insurance, when purchasing a vehicle, you might encounter a service contract or a warranty. A service contract involves an additional payment for the seller to fix any issues specified in the contract for a certain period. A warranty is a promise by the seller to fix or replace the good for a certain period of time, generally included in the purchase without extra cost. Unlike auto insurance, these are not legally required but may offer peace of mind.