Texas Car Insurance Laws. 2024 Update

One of the most frequent questions we receive from clients is: “Can someone drive my car if they are not on my insurance?” In most cases, the answer is yes, as long as you’ve given them permission. Generally, your insurance policy will cover the driver in the event of an accident. However, it’s important to understand the nuances involved before handing over your keys. At TK Injury Lawyers, we help Austin drivers protect their legal rights and stay informed about their auto insurance responsibilities. Let’s examine the Texas Car Insurance Laws to solve all your doubts.

Auto Insurance Requirements in Texas for 2024

In Texas, car policies usually follow the vehicle, meaning that if someone borrows your car, your insurance policy will likely be the primary coverage in the event of an accident. State law requires that all drivers carry minimum liability insurance, which covers:

• $30,000 for bodily injury per person.
• $60,000 per accident.
• $25,000 for property damage.

While this is the minimum required by law, more is needed to cover all damages from a serious accident.

Optional Car Insurance Coverage in Texas

Beyond the minimum liability coverage, you can opt for additional insurance to provide better protection. These include:

• Collision Coverage: Pays for damages to your vehicle after an accident, regardless of fault.
• Comprehensive Coverage: Protects your car from non-collision-related thefts or natural disasters.
• Uninsured/Underinsured Motorist Coverage: Covers costs if a driver hits you without insurance or with inadequate assurance.

Texas Penalties for Driving Without Insurance

Operating a vehicle without insurance in Texas can lead to severe penalties. For first-time offenders, the consequences include:

• Fines ranging from $175 to $350.
• An additional $250 annual surcharge for three years.
• Vehicle impoundment.
• Possible license suspension.

Subsequent offenses result in harsher punishments, including higher fines and the requirement to file an SR-22 form. This can significantly increase your insurance premiums. Always ensure your vehicle is correctly insured before letting anyone drive it.

Why Meeting Texas Car Insurance Requirements Is Crucial

Making sure your vehicle meets Texas proper requirements goes beyond legal compliance; it also provides essential financial protection. If someone else drives your car and causes an accident, you may be held liable for:

• Property damage and medical expenses exceeding your policy limits.
• Out-of-pocket costs if the driver is uninsured or underinsured.
• Possible legal fees if the accident leads to litigation.

Frequently Asked Questions About Texas Car Insurance Laws 2024

What is the Texas law for car insurance?

Texas law requires all drivers to have at least 30/60/25 liability coverage. This means you’re financially responsible if you’re involved in an accident.

Can I drive a car that is insured by someone else in Texas?

Yes, you can, as long as you have their permission. The vehicle owner’s insurance will likely cover the damages in the event of an accident, although it’s essential to check with their policy provider.

Do I need full coverage on my car in Texas?

Texas law actually makes full coverage optional. Nevertheless, it may be required if you’re financing or leasing your vehicle. Complete coverage usually includes both collision and comprehensive insurance.

How long can you drive without insurance after buying a car in Texas?

Once you buy a car in Texas, you cannot legally drive without protection. You must have proof of insurance to register and drive the vehicle off the lot.

Contact an Experienced Austin Car Accident Lawyer for Help

For any inquiries regarding your insurance protection or if you require legal counsel, our dedicated team of car accident attorneys in Austin are ready to assist you in your case. Give us a call at (512) 910-2000 or schedule a free consultation.