Texas Car Insurance


The Long Horn state is known for doing everything ‘big,’ from the over-the-top rodeos to the huge cities and big lights. Texas even does it big by keeping their residents safe with the requirement of liability insurance. Liability auto insurance is required by law to be carried by each and every driver in the state of Texas. From Amarillo to Laredo to Houston and every city in between, auto insurance laws have been made mandatory in an effort to protect drivers and keep the Texas roadways a little bit safer. It is a crime to drive without the state-required coverage in place.

Texas Car Insurance Requirements

Drivers in Texas must carry a liability insurance policy that includes the following amounts of coverage:

  • Bodily Injury: $30,000/ $60,000
  • Property Damage: $30,000

Liability insurance required by the state covers the costs of damages only to the other party involved in the accident. You have the option of adding additional coverage to your policy if you want greater protection.

Optional Car Insurance in Texas

Optional car insurance may provide you with the full protection that you need. It is a good idea to talk to an insurance agent about these policies to learn whether or not they can be beneficial to your needs. Optional Texas car insurance choices include:

  • Collision
  • Comprehensive
  • Uninsured/ Underinsured Motorist protection

Factors Affecting Texas Car Insurance Rates

No two people will pay the same amount for their car insurance because there are numerous factors used to give each individual their rate. Some of the factors that influence the auto insurance cost include:

  • Age and Gender
  • Education and Marital Status
  • Driving History
  • Insurance History
  • Type of Vehicle being insured
  • Deductible amount
  • Coverage Type/ Amount
  • Credit Score
  • Where you live n the state

Drivers who are under 27 years old pay more to insure their vehicles, as do men. Your driving history is one of the biggest factors that affect your rates. If you have even one ticket or have been involved in one accident, your rates can greatly increase. You can reduce your payment by increasing your deductible amount, but understand that this also increase your liability if you have an accident. Pay all of your bills on time to avoid a negative credit score, since this is also allowed to be used to determine your rates.

Texas Car Insurance Discounts

To keep the cost of your Texas car insurance low, make sure that you ask about discounts. All insurance companies offer discounts, and by taking advantage of them it is possible to cut the cost of your policy by 40% or more. Some of the most common discounts available to drivers in Texas include:

  • Loyal Customer discounts
  • Multi-Car discounts
  • Multi-Policy discounts
  • Safe Driver discount
  • Paid in Full discounts
  • Good Student discounts

Texas Car Insurance Quick Facts

If you do not want to carry the state-required auto insurance, you may place a surety bond with the state, or you can provide a certificate of self-assurance. Other options include placing $55,000 in securities or cash with the state controller or by providing a check or cashier’s check for $55,000 to the county judge.

If you choose to carry auto insurance, be sure that you have proof of coverage inside of your vehicle at all times. You must provide this proof to a law enforcement officer upon request. If you are self-insured, your certificate or proof must be provided. This proof must also be furnished if you have been involved in an automobile accident.

TexasSure is a program available throughout the state that allows electronic verification of your insurance compliance. It is the responsibility of your insurance agency to report your insurance standing to TexasSure.

Penalties are in place for those who choose to ignore the laws on car insurance in Texas. A first-time offense could result in a fine of $175 – $400 and additional offenses could result in higher fines and suspension of your driving privileges.