Texas Liability Insurance


If you want to drive in Texas, you need to have an insurance coverage. All the residents in the Lone Star State would have to follow laws that encourage them to become responsible motorists in terms of being able to pay possible damages in an event of a vehicular accident. An automobile policy is therefore, mandatory. Nearly all states in the US require a minimum protection known as liability coverage that contains specific limits, which needs to be met to legally drive in that particular state.

In Texas, the minimum liability injury is set at $30,000 per person, $60,000 on a single accident, and $25,000 to cover property damages. These figures took effect last January 1, 2011. This means that during an accident, the expenses and damages incurred to the other party will be shouldered by the at fault driver’s insurance company based on the amount mentioned above.

The state of Texas understands that it is important for all motorists to become financially capable of paying their liabilities in case of an accident. And even if some of these policies are not strictly required by law, adding additional policies on top of their minimum liability is strongly encouraged not only to protect themselves but to the other drivers as well.

What is the importance of liability insurance in Texas?

The main purpose of the liability insurance is to allow the driver to settle the damages from the other motorist during an accident, and to protect himself from unforeseen financial obligations. If the motorist does not have enough coverage to pay for the expenses, he would need to use his own money to pay for it, which could quickly round up from a few hundred to several thousand dollars. Additionally, any person driving in Texas without a coverage protection is legally accountable. For first-time offenders, they will be made to pay up to $350 but not less than $175. Second time offenders will be fined up to $1000 but not less than $350 and driver’s license suspension. In addition to that, it is also possible that the vehicle will be impounded.

To avoid such discomforts, all motorists in Texas are therefore encouraged to purchase the required coverage protection and even urged to buy additional policies as they see fit. Although the state’s requirements will suffice in most cases, it is not a guarantee that any potential costs will be covered by such limitations. People who do not want to risk any chance will have the option to buy additional policies. For example, the state’s minimum requirements for property damage is only $25,000, the other party could sue the offending driver if the actual cost of the damage is far more than the coverage limitation.

To remedy this potential scenario, the policyholder could increase this limitation and thereby decreasing the chances of any personal expenses. This is easily accomplished by informing the insurance provider that such rates are to be increased which later increases the coverage protection. Do keep in mind that your premium cost will increase as well. If you are unsure how all of these things are to be carried out, it is best to contact your state’s insurance commissioner or speak to your insurance agent about the importance of having the right insurance coverage.