What does automobile insurance primarily provide payments for?

Automobile insurance primarily provides payments for liability and physical damage, making this the correct answer.

Liability coverage is crucial in automobile insurance as it protects the policyholder from financial loss in the event they are found legally responsible for causing injuries to others or damaging their property in an accident. This includes coverage for bodily injury and property damage claims made by other drivers or pedestrians involved in an accident.

Physical damage coverage revolves around protecting the policyholder's own vehicle. This can include collision coverage, which pays for damage to the insured vehicle resulting from a collision with another vehicle or object, and comprehensive coverage, which offers protection against non-collision events such as theft, vandalism, and natural disasters.

This comprehensive approach ensures that drivers are safeguarded against the financial repercussions of an accident, whether it involves damages to their vehicle or claims from others who may be affected by their driving. Therefore, options focusing solely on health, personal injuries, theft, vandalism, or loss of value do not encapsulate the full scope of what automobile insurance is designed to cover.