Understanding and Abiding by Texas Car Insurance Laws?

Answer 1

Texas has specific car insurance laws that every driver in Texas must follow. Texas car insurance laws require drivers to maintain liability insurance, at the very least. Liability insurance pays for damages to another car if you are involved in an accident. Liability insurance does not pay for damage to your car or for injuries you sustained during an accident. Some automotive finance companies require vehicle owners to obtain full coverage insurance, which covers damage to other vehicles and damage to your vehicle.

Minimum Amount of Coverage in Texas

Texas car insurance laws require that you have the ability to pay for accidents that you have caused. Texas drivers must carry insurance that covers a minimum of $30,000 per person injured, up to $60,000 per accident and $25,000 for property damage. Drivers must carry a proof of insurance card in their vehicles, which must be presented when pulled over by a law enforcement officer. Drivers must also present insurance to renew an existing car or register a new car and to receive a car inspection.

Failing to Comply with Insurance Laws

The penalties for failing to comply with Texas car insurance laws are severe. Drivers who do not carry the appropriate amount of insurance may receive a ticket ranging from $175 to $350. Drivers who are convicted multiple times may receive fines from $350 to $1,000 and a suspension of their Texas driver license.

Car Insurance Verification

Texas has implemented a car insurance verification system called TexasSure that allows authorized state employees and vehicle inspectors to verify if a car has the appropriate automotive insurance. For example, a police officer can electronically confirm if a driver has insurance during a traffic stop. This prevents drivers from getting away with insurance cards with valid dates, even though the insurance policy has expired.

Finding Car Insurance

Texas drivers have a variety of options when looking for car insurance. Drivers can choose from national insurance companies or local agencies. Texas does not require drivers to select a certain company as long the minimum amount of coverage comes with the policy. Drivers should research insurance companies to determine which ones offer the best customer service and claim assistance. The website for Texas Department of Insurance allows you to compare insurance prices of a variety of notable insurance companies.