Summary: Auto insurance is required in both the USA and Canada. You can often save money by raising your deductibles (the amount of money you have to pay out of pocket before the insurance kicks in). You should avoid using insurance for small things, as it could raise your rates long-term. Higher coverage levels don't cost much more typically, but are probably a good idea, because you could be on the hook for a huge amount if the damages exceed your coverage. The type of car you have affects your premium, as well as the type of coverage (liability vs comprehensive). Sports cars often have higher premiums then sedans, but color is not a factor.
