Insurance companies provide different types of car insurance because not all drivers have the same risks and requirements. If you are in a low risk category it makes sense that you should be able to take advantage of lower premiums. Insurance companies back up their decisions with a lot of data and they are very good at knowing where their risks are so if you are not in a high risk group you can save money by looking for a car insurance policy that suits you.
The kind of vehicle that you want to insure will also make a difference to the type of policy that you need. For instance motorbikes and vans need different insurance to cars because again they have different risks and different needs.
Choosing a policy can be confusing but if you take the time to compare and assess the various insurance types on offer it is possible to get a good match to your needs.