Alyssa Lane
Texas law requires drivers to show proof of their ability to pay for any accidents they cause. Most drivers do this by purchasing auto liability insurance. This type of insurance covers the costs of repairing or replacing the other driver's car, as well as their medical expenses, if you are at fault in an accident. In Texas, the minimum liability coverage required is $30,000 per injured person, up to a total of $60,000 per accident, and $25,000 for property damage per accident. This basic coverage is known as 30/60/25.
| Characteristics | Values |
|---|---|
| Type of Liability Insurance | Bodily injury liability |
| Texas Coverage Limits | $30,000 per person and $60,000 per accident |
| Type of Liability Insurance | Property damage liability |
| Texas Coverage Limits | $25,000 per accident |
| Average Annual Cost | $960 |
What You'll Learn
What does Texas liability insurance cover?
Texas liability insurance is the minimum coverage you need to drive legally in the state. It covers the cost of damages and injuries to other vehicles and drivers but does not cover your own vehicle or injuries.
Liability insurance in Texas is split into two parts: bodily injury liability and property damage liability.
Bodily Injury Liability
This covers the medical bills, lost wages, pain and suffering, and funeral costs of another driver and their passengers in an accident that you caused. Texas law requires a minimum of $30,000 of coverage per person and $60,000 per accident.
Property Damage Liability
This covers the cost of repairing another person's car or property in an accident that you caused. Texas law requires a minimum of $25,000 of coverage per accident.
These minimum requirements are often written as 30/60/25.
What Texas Liability Insurance Doesn't Cover
Texas liability insurance does not cover your own:
- Medical bills
- Lost wages
- Pain and suffering
- Repair or replacement costs for your vehicle
- Towing services
- Rental car
It also doesn't cover medical expenses for your passengers if you cause an accident.
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What does Texas liability insurance not cover?
Texas liability insurance does not cover the following:
- Your medical bills, lost wages, or pain and suffering.
- Repair or replacement costs for your vehicle.
- Towing services for your car.
- A rental car, if yours is in the shop for repairs.
- Medical expenses for your passengers injured in an accident you caused.
- Damage to your car because of fire, hail, theft, flood, flying gravel, or hitting an animal (if you have comprehensive coverage).
- Accidents that happen while you’re driving for a ride-hailing service or delivering food or other items for a fee.
- Accidents that happen while you or someone covered by your policy is driving a rental car.
- Accidents that happen while you’re driving a car that doesn’t belong to you but you could use regularly, like a company-owned car.
- Accidents that happen while you’re driving in other states and Canada.
- Equipment not permanently installed in your car.
- Your attorneys’ fees if you’re sued because of an accident.
- Accidents that happen while you’re driving in Mexico, driving for business, or racing.
- Damages that you caused intentionally.
Liability insurance in Texas covers the other drivers' and passengers' medical bills and property damages after a car accident you cause. It does not cover you or your vehicle.
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Texas liability insurance requirements
Texas law requires drivers to have a minimum amount of liability insurance, which is often referred to as 30/60/25 coverage. This means that drivers must have at least $30,000 in bodily injury coverage per person, $60,000 in bodily injury coverage per accident, and $25,000 in property damage coverage per accident. This basic coverage is mandatory for all drivers in Texas and helps cover the costs of accidents where they are at fault.
Liability insurance in Texas covers the cost of damages and medical expenses for another party in a car accident for which the policyholder is at fault. It pays for others' costs, such as medical bills, lost wages, pain and suffering, funeral costs, and repair costs to another party's car or property. However, it's important to note that liability insurance does not cover the policyholder's own medical bills, lost wages, repair or replacement costs for their vehicle, or towing services.
While the minimum liability insurance limits are all that is required to drive legally in Texas, it is recommended to purchase additional coverage. The minimum coverage may not be sufficient to cover all the costs if the policyholder is at fault in an accident, and they may be held personally responsible for any costs that exceed their policy's limits. To ensure adequate protection, drivers should consider purchasing a full-coverage policy or adding optional types of coverage, such as uninsured/underinsured motorist coverage, comprehensive coverage, personal injury protection, or medical payments coverage.
The average cost of minimum liability insurance in Texas is around $80 per month or $960 per year, although rates can vary based on factors such as age, location, driving history, and credit history. Driving without liability insurance in Texas can result in fines of up to $1,000, suspension of the driver's license and vehicle registration, and higher insurance premiums.
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How much does liability car insurance cost in Texas?
Liability car insurance is a requirement to drive legally in Texas. It covers the cost of injuries and property damage caused by the policyholder in a car accident. The minimum coverage requirements in Texas are $30,000 in bodily injury liability per person, $60,000 in bodily injury coverage per accident, and $25,000 in property damage liability per accident. This is often written as 30/60/25 coverage.
The average cost of liability car insurance in Texas is $80 per month or $960 per year, which is close to the national average. However, rates can vary significantly depending on factors such as age, driving history, credit score, gender, and marital status.
It is important to note that liability insurance does not cover the policyholder's own medical bills, lost wages, or repairs to their vehicle. To ensure full protection, it is recommended to purchase a full-coverage policy, which includes collision and comprehensive coverage.
Driving without liability insurance in Texas can result in fines of up to $1,100 and suspension of the driver's license and vehicle registration.
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What happens if I drive without liability insurance in Texas?
Driving without insurance is illegal in Texas, and doing so can lead to various penalties. The consequences of driving without insurance in Texas can be severe, and the penalties increase for repeat offenders.
Fines
If you are caught driving without insurance in Texas, you may be fined up to $1,100. The base fine for a first offense is typically lower, but it can still be significant. In California, for example, the base fine for a first offense is between $100 and $200, and in Hawaii, it can range from $100 to $5,000.
License Suspension
Driving without insurance in Texas can also result in the suspension of your driver's license and vehicle registration. This means you will not be able to legally drive or use your vehicle until you have provided proof of insurance and paid any necessary fees to have your license and registration reinstated.
Higher Insurance Premiums
If you are caught driving without insurance, you may also face higher insurance premiums in the future. Insurance companies may view you as a higher-risk driver, which can result in increased rates.
Difficulty Securing Future Insurance
In addition to higher premiums, you may also find it more difficult to secure insurance in the future. Some insurance companies may not offer coverage to drivers with a history of driving without insurance, or they may have specific product restrictions for these drivers.
Out-of-Pocket Expenses
If you are caught driving without insurance and are involved in an accident, you may be held financially responsible for any property damage or injuries you cause. This can result in significant out-of-pocket expenses, potentially wiping out your financial future.
Impoundment
In some cases, your vehicle may be impounded if you are caught driving without insurance. You will be responsible for towing and storage fees, and you may not be able to retrieve your vehicle until you can show proof of insurance.
SR-22 or FR-44 Requirement
If your license is suspended due to driving without insurance, you may be required to file an SR-22 or FR-44 with the Texas Department of Motor Vehicles (DMV) to reinstate your driving privileges. This form serves as proof that you are now carrying the required minimum insurance coverage.
In summary, driving without liability insurance in Texas can result in various penalties, including fines, license suspension, higher insurance premiums, and difficulty securing future insurance. It is important to comply with the state's insurance requirements to avoid these consequences and ensure you are protected financially in the event of an accident.
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Frequently asked questions
In Texas, the base liability auto insurance is $30,000 in liability coverage for each injured person, up to a total of $60,000 per accident, and $25,000 for property damage per accident. This basic coverage is commonly referred to as 30/60/25.
Texas liability insurance covers the other drivers' and passengers' medical bills and property damage expenses after a car accident you cause. It also covers your legal fees if other parties sue you.
Texas liability insurance does not cover your own medical bills, lost wages, pain and suffering, repair or replacement costs for your vehicle, towing services, or a rental car while your vehicle is being repaired.
The average cost of Texas liability insurance is $80 per month or $960 per year. The minimum liability insurance costs $774 per year on average.
Driving without liability insurance in Texas can result in fines of up to $1,000, suspension of your driver's license and vehicle registration, and higher insurance premiums when you do get insured.
