7 things you need to know before driving around Texas

The Texas Government requires all drivers to have an auto insurance policy that comes with a certain amount of liability coverage. This liability coverage is of a base or minimum amount and is utilized to stay protected in the event of an accident. While Texas liability insurance does not protect the guilt or his vehicle, it is a useful cover to meet the damages caused to the other driver’s life or property.

Here are a few things you must know about Texas liability insurance or financial liability insurance.

What are the norms of Texas liability insurance?

• When a client buys auto insurance, she/he needs to abide by the Texas financial responsibility law that requires them to purchase or maintain a minimum liability limit.
• Currently, the Texas minimum liability insurance for an injured person is $30,000, the total amount per accident being $60,000. Additionally, $25,000 is the amount that is fixed for property damage per accident.
• The basic cover limit is called 30/60/25 or 30,000/60,000/25,000 coverage.

What are the expenses covered under Texas liability insurance?

• Medical expenses
• Hospital charges
• Rehabilitative care
• Lost income
• Pain and suffering
• Property damage costs to the victim

Is the basic Texas liability insurance coverage enough to protect you in an accident?

• Since the car prices and the cost of health care are both considerably high, the minimum liability may not be enough to cover the other driver’s cost during an accident.
• Often many drivers choose to sue the other party just to collect the difference.
• It is always prudent to buy more than the minimum limit so that you stay financially protected.

When do you need to show proof of Texas minimum liability insurance?

• The Texas law requires the citizens to furnish documentary proofs of the financial responsibility under select circumstances.
• Minimum liability insurance needs to be produced while registering a vehicle.
• When a driver’s license is issued, you may need to prove your financial responsibility.
• You may also need to produce the document at the request of a law enforcement officer.

What are the ways to ensure Texas liability insurance requirements are met?

• Insurance companies are required to produce a weekly account to make sure that all drivers abide by the financial responsibility requirement.
• This weekly report contains the Vehicle Identification Number or VIN of the vehicles insured under an active liability insurance policy.

Who needs to purchase SR-22 or SR-22A?

• SR-22 or SR-22 A is a certificate that an insurance company issues to the Texas Department of Public safety proving that you purchased liability insurance.
• Often people convicted of a few offenses require purchasing these certificates to retain their license.
• People guilty of a drug offense, driving under influence, driving with invalid or suspended licenses may need to purchase a certificate.

What are the penalties for not complying with Texas liability insurance requirements?

• Failure to comply with financial responsibilities laid by the Texas government may lead to suspension of license and payment of hefty fines.
• Those who fail to maintain Texas liability insurance requirement need to pay a surcharge of $250 per year. In the event of an offense, this surcharge is paid for three years in addition to other expenses associated with the offense.
• Often, people convicted of an offense may have to file or purchase for an SR-22 or SR-22A from the insurance company to be able to reinstate their driver’s license.