Texas Laws Regarding Liability Auto Insurance for Consumers

Texas is a tort state for car insurance purposes, and all drivers are required to have liability insurance coverage in place. Proof of coverage must be produced when:

• an accident occurs
•  a driver is stopped by police
• registering a vehicle
• obtaining or renewing a driver’s license
• a vehicle is inspected

The minimum levels of liability coverage for Texas drivers are:

• $30,000 in bodily injury insurance to pay for injury claims made by one person injured in an accident
• $60,000 to pay for all injuries and damages sustained in an accident
• $25,000 in property damage liability insurance to pay for the cost to repair the other driver’s vehicle, as well as public property such as fences, guard rails, sign posts, light stands and mail boxes

Drivers in the state can choose to buy a policy with a higher level of coverage than the numbers listed above. If a serious at-fault accident occurs, it’s very likely that the level of damages caused will be higher than the minimum coverage limits mandated by state law. In that instance, the insurer will pay out up to the policy limit the driver has chosen and he or she is responsible for paying the difference personally.

To avoid having to liquidate assets to pay for these expenses, it makes more sense to buy an insurance policy which can offer a higher level of protection before an accident occurs.

Liability Only Auto Insurance Quotes for Texas Drivers

Texas drivers can get liability only auto insurance quotes from any company licensed to sell policies in the state. Under state law, all cars registered in the state must carry third party liability protection.

Minimum Texas Auto Insurance Coverage Requirements

The minimum level of liability coverage required in the state is:

• $30,000 in bodily injury liability coverage to pay for personal injury claims made by one person injured in an accident
• $60,000 in bodily injury liability protection to compensate all victims injured in the same accident
• $25,000 to pay for property damage claims for repairs to the other driver’s vehicle and any public property damaged in the accident

Optional Auto Insurance Coverage in Texas

Uninsured and underinsured motorist coverage is not a legal requirement in TX, but it is worthwhile to add it to a policy. Not all drivers in the state comply with state laws requiring liability insurance protection and uninsured motorist coverage pays for injury claims when the at-fault driver doesn’t have any coverage in place.

Underinsured motorist coverage is used to top up the policy limit that an at-fault driver has if the level of damages caused is higher than coverage that he or she has in place. The at-fault driver’s insurance company will pay out on the claim up to the policy limit and the underinsured motorist coverage is used to pay for the amount of damages remaining (up to its policy limits).