Texas Car Insurance Guide

Welcome to Texas sign

Direct Auto Insurance is proud to offer personal car insurance and commercial auto insurance in Texas , the “Lone Star” state. We welcome all drivers to apply for coverage and even cover drivers who may have a hard time finding insurance with other Texas car insurance companies. Whether you live in Laredo, Dallas, or somewhere in-between, when you choose Direct you'll find flexible coverage plans, helpful agents, and insurance to fit your needs!

Texas Car Insurance Laws

Direct Auto Insurance is proud to offer car insurance that helps Texas drivers meet their state law requirements. Our flexible coverage plans fit many needs and budgets, even for those who may have a hard time finding insurance at other Texas car insurance providers.

To help you make sure you have the coverage you need, here is a helpful breakdown of what minimum car insurance requirements Texas has, and how you can find the best coverage for your needs.

What are the minimum car insurance requirements in Texas?

Whether it&'s Grapevine, Austin, or El Paso, no matter what Texas city you live and drive in you need to have the right amount of coverage in order to meet your state's financial responsibility requirements. All drivers in Texas are required to adhere to the state's insurance minimums. In Texas, there are two types of coverage every driver needs: Bodily Injury Liability and Property Damage Liability . But what does bodily injury mean in auto insurance? And what property does Property Damage Liability cover? Here's a quick look at what those terms mean and the amount of coverage you need as a Texas resident.

  • Bodily Injury Liability: Texas requires minimum Bodily Injury Liability limits of $30,000 for each of your registered vehicles that will cover injury or death to any one person that results from a single car accident. Bodily Injury Liability limits of $60,000 are required to cover injuries or death to more than one person resulting from a single auto accident.
  • Property Damage Liability: Texas requires minimum Property Damage Liability limits of $25,000 on each of your registered vehicles.

Note that you'll also need to carry proof of insurance in every one of your vehicles, at all times. Your insurance company is also required to offer you Uninsured Motorist (UM) coverage and Personal Injury Protection (PIP), but you do not have to accept these coverages. If you choose to reject UM and/or PIP, your rejection must be in writing.

Coverage Definitions

Bodily Injury Liability insurance coverage helps pay for medical expenses and legal representation if you or another insured on your policy cause bodily injury to another person while operating your vehicle. The “limit” is the maximum amount your insurance company will pay for bodily injury damages resulting from a single accident.

Property Damage Liability helps pay for damage to the property of others caused by you or another insured on your policy while operating your vehicle. For example, this coverage would pay for damage you cause to property such as vehicles, poles, mailboxes, fences, etc. The “limit” is the maximum amount your insurance company will pay for property damage resulting from a single accident.

What if I don't meet Texas's minimum car insurance requirements?

If you are caught without the minimum Texas car insurance coverage , you could be subject to serious consequences like fines and the suspension of your license(s). You will also be unable to register your vehicle.

As noted by the Texas Department of Insurance , the penalties for violating the state’s financial responsibility laws could include impoundment of your car, thousands of dollars in fines, and even jail time.

Where can I find the cheapest car insurance rates in Texas?

Car insurance rates vary depending on a number of factors, including your driving record, the type of vehicle you drive, and the amount of coverage you select for your plan. The good news is that companies like Direct Auto Insurance can provide drivers with non-standard auto insurance, whether you are a high risk driver or are simply looking for an affordable rate that fits your budget. Start by getting a free car insurance quote , then work with a Direct Auto Insurance representative to create the perfect coverage plan that meets your state's requirements, but also your own needs.

Who needs commercial auto insurance in Texas?

If you use your vehicle or truck to do activities related to your occupation or business (other than commuting), you may need commercial auto insurance in Texas . Builders, contractors, landscapers, plumbers, ice cream vendors, and realtors are examples of small business owners and operators that tend to purchase commercial auto insurance policies.

Like everyday drivers, commercial vehicle drivers are required to meet certain financial responsibility requirements as mandated by Texas law. Minimum coverage requirements vary based on the vehicle's type, weight, purpose, and number of passengers. For example, farming vehicles with a gross weight of 48,000 pounds or more are required to maintain continuous liability coverage of at least $500,000 in Texas.

Commercial auto insurance in Texas doesn't have to cost an arm and a leg when you choose Direct. With competitive pricing, flexible payment options, and available discounts, Direct can help you find the right commercial auto insurance coverage for your business.

Are there additional coverage options?

For added peace-of-mind, Direct offers additional insurance coverages and products for Texas drivers including Mexico auto insurance motorcycle insurance , and roadside assistance . Find your nearest Direct Auto Insurance Texas location or call us at 1-877-GO-DIRECT to see how much you could save.

Other Texas Auto Insurance Resources

Commercial auto insurance produced by Right Choice Insurance Agency, Inc. and Direct General Insurance Agency, Inc. d/b/a Direct Auto Insurance as agents for Titan Indemnity Company, a Nationwide Insurance Company & its affiliates. Not available in all stores. Pay plans, discounts and coverages subject to terms and conditions.

Related Articles to Explore