Texas Car Insurance

Texas car insurance laws are set by the Texas Department of Insurance and all drivers must carry liability auto insurance for any vehicles registered in Texas.

Failure to comply with Texas car insurance laws can result in serious fines and suspension of both your driver’s license and vehicle registration tags.

As a result, it’s a huge benefit for Texas drivers to not only research what car insurance companies are available, but to also know the state’s rules and requirements.

Thankfully, we’re covering all of that now. Keep reading for a breakdown of what you need to know when it comes to car insurance in Texas. You can also begin searching for the most competitive rates in the Lone Star State by entering your ZIP code in our free car insurance comparison tool.

Texas Car Insurance Requirements

State minimum auto insurance rates and requirements vary from state to state. Compare state to state below:

Texas auto insurance laws changed in January of 2011 however even the current minimum requirements are higher than most states. According to the Texas Department of Insurance (TDI), we know that Texas requires liability auto insurance with the following minimum levels of coverage:

• $25,000 liability per accident per person
• $50,000 combined liability coverage per accident (all persons)
• $25,000 in property damage liability insurance

When the new Texas car insurance laws come in effect in January of 2011 drivers will need at least:

• $30,000 liability per accident per person
• $60,000 combined liability coverage per accident (all persons)
• $25,000 in property damage liability insurance

The downfall with even these higher limits is Texas still only requires liability insurance and liability coverage only covers damages / injuries to other people. Some agencies also report almost 20% of drivers are uninsured in Texas making the odds of being involved in a car accident with an uninsured motorist extremely high. This will result in having no insurance in place if the accident was not your fault and only carry minimum liability coverage.

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Your average monthly car insurance rates may not increase as much as you might think by adding additional coverage like comprehensive. Review rates for auto insurance coverage below:

Many Texas drivers opt for additional car insurance coverage by purchasing comprehensive and collision coverage along with underinsured/uninsured motorist coverage. Keep in mind, while comprehensive and collision are both considered optional coverages, you may be required to have both coverages if you are leasing your car from a dealer.

While purchasing a well-rounded policy may sound expensive its actually very affordable with Texas drivers averaging just around the national average for premiums ($1,460 vs. national average $1,430).

What happens if I drive a car with no insurance in Texas?

Very stiff fines and penalties exist for operating a vehicle with no car insurance in Texas along with the large exposure to personal liability. Texas operates under the tort law system where you can be sued for damages pertaining to almost any car accident and if the damages are high enough you can probably bet some Texas car accident attorney will file suit. While state penalties are heavy the potential personal liability is so great without car insurance its never a wise financial move to not have some form coverage.

The State of Texas also is home to a leading edge program called TexasSure – also known as the Texas Financial Responsibility Verification Program. Law enforcement officials have access to an automated verification system which can immediately tell whether or not you have insurance. The purpose of this program is to cut down on the number of uninsured drivers and those who have fake ID cards uninsured motorists pose great potential harm to all drivers.

Read more: Can you fake having car insurance?

ZIP codes affect auto insurance because of factors like traffic, crime to name a few. Find out how your ZIP code stacks up in TX.

Gender and age will affect your auto insurance. Younger drivers are often in a higher risk class. See if the gender stereotype (males vs female car insurance rates) holds true in TX.

Six major factors affect car insurance rates in Texas. Which auto insurance factors will affect rates the most? Find out below:

Who is the cheapest car insurance company in TX? Review the average auto insurance rates by company below:

Who are the largest auto insurance companies in Texas?

Texas Car Insurance Rates

Texas drivers will have no problem finding car insurance companies as they are in high supply with well over 100 licensed auto insurers in the state. TX auto insurance rates are just around the average national premiums so most people should have no problem finding affordable insurance. The way to get the best rates however will always be to start a car insurance comparison online.

Compare Car Insurance Costs Across Texas by City

Explore the diverse range of car insurance rates across different cities in Texas. From Bayside to Sudan, and Denison to Royse City, delve into the comparative costs of car insurance in these locations. Whether you’re a resident seeking the best rates or simply interested in regional differences, start comparing rates now to find the most suitable option for you.

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