Mitigating risks through car insurance

To live is to risk dying; to smile is to risk appearing the fool, to love is to risk not being loved in return. But risks can be mitigated. If you are buying a house, there is a risk of the house burning or getting hit by a disaster. If you are buying a car, there is a risk of accident. The question arises that how can we mitigate these risks? The method is commonly known as insurance. » Mitigating risks through car insurance