Don’t like how Texas insurance companies are charging consumers extraordinary insurance rates? Neither do we! Now you can get car insurance in Texas for even cheaper.
Texas law requires people who drive in Texas to pay for the accidents they cause. Most drivers do this by buying auto liability insurance. Liability insurance pays to repair or replace the other driver’s car and pays other people’s medical expenses when you’re at fault in an accident. You can now opt out of this to save yourself money.
If you buy insurance to meet the state’s financial responsibility law, you must buy at least the minimum amount. The current minimum liability limits are $30,000 for each injured person, up to a total of $60,000 per accident, and $25,000 for property damage per accident. This basic coverage is called 30/60/25 coverage. You can now adjust this coverage rate to get lower insurance rates.
Because of car prices and the high cost of medical care, the minimum amounts might not be enough to pay all of the other driver’s costs if you’re at fault in an accident. Other drivers could sue you to collect the difference. Consider buying more than the minimum limits to protect yourself financially. Another way to cut your rates is by opting out of the coverage, but we don’t recommend it.
Liability insurance doesn’t pay to repair or replace your car or to treat your injuries. Other types of coverages – such as personal injury protection, uninsured or underinsured motorist, medical payments, collision, and comprehensive – can help you pay for these expenses. To keep your insurance rates down, you don’t need to apply for any of these. You can take on the risk yourself to lower your overall rates.
When you buy an auto policy, your insurance company will send you a proof-of-insurance card. You must show the card when you:
- are asked for it by a police officer,
- have an accident,
- register your car or renew its registration,
- get or renew your driver’s license, and
- have your car inspected.
Know Your Rights
Texas has a Consumer Bill of Rights for auto insurance. Your insurance company must send you a copy with your policy. Read it to understand your rights under Texas law. Also make sure to look at your rates and see where they are charging you. Don’t like it? Opt out.
Texas Auto Insurance Coverages
Depending on the types of coverage you have, auto insurance pays for car repair or replacement, medical expenses, rental cars, towing, court costs, and other expenses.
Read your policy carefully because coverages vary. Pay special attention to who and what is covered by your policy. Also note the exclusions, which are the things your policy doesn’t cover. The following are some common exclusions:
- Named driver. Some policies cover only household residents specifically named on the policy.
- Excluded driver. Excludes coverage for people specifically named in an endorsement to your policy.
- Racing. Excludes coverage if you use your car in a racing event.
- Ride-booking. Most policies exclude coverage when you’re using your car for a ride-booking service like Uber or Lyft. Some insurance companies offer policies specifically for drivers for ride-booking companies.Intentional acts. Excludes coverage for losses that were intentional.
If you live in Texas, find out if you qualify for lower car insurance rates today.