Since auto insurance can differ from province-to-province, state-to-state and country-to-country, we've decided to clear up the main differences with this basic rundown of the mandatory policies of the largest countries. In Australia, Compulsory Third Party vehicle insurance is a mandatory requirement throughout most of the country. This type of car insurance usually only covers personal injury liability and comprehensive coverage is sold separately and can cover everything else a person may want for their car insurance.