In the United States, we have “fault states” and “no fault states” in reference to auto accidents and insurance. Texas is a “fault state,” which means drivers are responsible for paying for the accidents they cause. To do this, all drivers are required to buy auto liability insurance, which pays for the other driver’s medical expenses and costs to repair or replace the vehicle that the at-fault driver damaged or destroyed.
When you buy auto liability insurance in Texas, it has to meet the state’s minimum liability amount, which is as of this writing, $30,000 for each person injured, and up to $60,000 total for a single accident, and $25,000 for property damage for an accident. This is referred to as “basic coverage” or 30/60/25 coverage.
Is Basic Coverage Sufficient?
Is basic coverage enough? The real question is, would an insurance agent carry only basic coverage? The answer to both questions is “no.” Because medical care and motor vehicles are so expensive, the minimum amounts are in reality, insufficient. If all you have is basic coverage and the costs of the accident exceed your policy limits, the other drivers in the accident can sue you personally for the difference.
Our advice is to buy the best coverage that you can afford. Also, all drivers should be aware that liability does not cover them. In other words, your liability insurance will not pay to repair or replace your vehicle, nor will it pay your medical bills. The following types of coverage can help you pay your expenses:
- Medical Payments
- Personal injury protection
- Uninsured and underinsured motorist
So, what type of insurance should you purchase? “Many insurance companies use the Texas Personal Automobile Policy, a standardized policy form that offers eight types of coverages. Companies may sell other policies that the Texas Department of Insurance (TDI) has approved,” according to the Texas Department of Insurance (TDI). We recommend getting familiar with the TDI’s website and reaching out to your insurance agent to make sure that you have the best coverage for your budget.
Related: Does Car Insurance in Texas Follow the Driver?
If you need to file a car accident claim in Plano, Dallas or Fort Worth, contact our firm to meet with a Plano car accident attorney.