Texas Auto Insurance Guide
Personal Injury Protection Insurance
Defining Personal Injury Protection Insurance in Texas
Personal Injury Protection Insurance — otherwise known as PIP — covers medical bills for the insured and passengers in the insured's automobile when an accident occurs, regardless of who is at fault in the accident. PIP can also provide coverage for loss of work. States that are considered "No Fault" states are where you will find PIP required. Texas does offer PIP coverage but it is not a mandatory coverage on your auto insurance policy. Most auto insurance companies will not offer this coverage unless you ask for it specifically. It can be an expensive coverage to have on your policy. Many online auto insurance quotes you receive will more than likely not include this coverage.
Here are the increments of PIP coverage offered in Texas:
Most people take out PIP coverage on their car insurance policy if they do not have health insurance coverage or a bad health insurance policy. Also, drivers who carry passengers in their automobile who would hold them responsible in case of an accident that causes medical bills to incur. It is important to consult with your auto insurance company to determine the amount of PIP coverage you might need.
The amount of PIP coverage you have on your policy will always show on your Declarations page. This also contains all your coverage on your policy and how much the car insurance company is charging you for that coverage.
What Does Personal Injury Protection Cover In Texas?
Since PIP coverage is "no fault" coverage — whether the accident is your fault or not — it can help cover you for the below medical bill expenses incurred after an accident:
- Lost wages
- Surgical procedure fees
- Medical bills
- Physical therapy
- Ambulance costs
PIP also can cover lost wages, in case the accident puts you out of work for a long period of time. As medical bills continue to rise it may be a good idea to look at adding on PIP to your auto insurance policy.
It is important to remember that PIP does not cover damage to your vehicle or the other driver's vehicle. You would need Comprehensive and Collision coverage for your vehicle to be covered in the accident.
What Is The Cost Of PIP Insurance?
The price of PIP insurance varies based on amount of coverage you desire, age of drivers, and zip code. One of the benefits of calling an Independent Insurance Agency is that they can shop multiple insurance companies that can offer different options and pricing for PIP coverage. For the basic PIP amount of $2500 on your Texas auto insurance policy, the average cost is approximately $50 monthly additional premium. So, as you can see, auto insurance companies charge a substantial amount for this coverage.
What Are Some Alternatives to PIP Coverage?
Medical payments do not completely replace PIP coverage but it can cover up to $5,000 of your medical bills in an accident regardless of who is at fault. You will find on most auto insurance quotes it is substantially cheaper than PIP coverage.
Uninsured motorist bodily injury can be another alternative to PIP in that it covers your medical bills according to your UM limits if an uninsured or underinsured motorist hits your vehicle. Texas bodily injury UM starts a $30,000/$60,000 and also costs much less on your monthly premium compared to PIP. When you are looking for the best auto insurance policy for you, it is always safer to have too much coverage than not enough.
Uninsured Motorist Coverage
What Does Uninsured Motorist Coverage Cover In Texas?
Uninsured motorist bodily coverage covers your medical bills after an accident when the other driver does not have an active auto insurance policy and is at fault in the accident. This is a major issue in metropolitan areas with high populations. Texas has some of the largest cities in America — with Dallas, Houston, San Antonio, Fort Worth, and Austin — which makes the importance of having uninsured motorist on your auto insurance policy much more important.
Underinsured motorist coverage comes in to play when an accident occurs and that driver who was at fault does not have adequate bodily injury limits to cover the damage they did.
Uninsured motorist property damage (UMPD) covers the vehicles on your car insurance policy when it is damaged in an accident when the other driver does not have an active insurance policy. This coverage picks up if you do not have Collision coverage. It pays up to a certain dollar amount of repairs on your automobile.
An example of this is a Dallas driver who has 30,000/60,000/25,000 limits of liability has an at fault accident and the person they hit has $90,000 in medical bills. The at fault driver only has $60,000 of coverage for medical bills for the entire accident. So, the additional $30,000 to pay for the other party's medical bills are still outstanding, and the injured party can sue the driver who did not have adequate insurance. Or the driver who was injured will have to pay the other $30,000 outstanding balance out of pocket.
What To Do If An Uninsured Motorist Hits Your Vehicle
- Make sure everyone in your vehicle is safe
- If there are injuries call 911 immediately
- If no injuries call police non-emergency line and ask for a police report
- Take good photos of the damage of both vehicles
- Call and turn in a claim with your insurance company
- Get a copy of the uninsured driver's license
Do I Really Need To Purchase Uninsured Motorist Coverage?
Texas does not require you to carry uninsured motorist coverage, like some other states do. The decision is up to each individual insured. Here are some examples of situations that you might want to purchase uninsured motorist coverage in Texas.
- Your city has a large number of uninsured drivers.
- If you feel Texas limits of liability are not sufficient enough to cover your medical bills.
- You want to protect yourself against a hit and run accident.
- You live in a metropolitan area that would increase your likelihood of being hit by a driver who is uninsured.
- You do not have health insurance and want protection against an uninsured driver injuring you or passengers and medical bill that incur thereafter.
How Uninsured Motorist Works
Texas state law mandates that drivers must carry at least state minimum coverage of 30,000/60,000/25,000 of coverage.
Here is an example of how uninsured motorist works: Let's say you are side swiped by another vehicle and no fault of your own. In a normal situation, you would call and turn in a claim with the driver's auto insurance company and they would pay your claim accordingly.
But, if the other driver of the vehicle doesn't have insurance to cover your medical damages you can utilize your uninsured motorist coverage to help pay for your medical bills incurred from the accident.
Many Texas auto insurance companies will not automatically add uninsured motorist coverage while receiving an auto insurance quote comparison. You will have to specifically ask them to add this coverage on. It can be an expensive coverage to add to your policy so be sure and ask you auto insurance agency how much it will cost on your monthly premium before you add the coverage.
What Is The Maximum Amount Of Uninsured Motorist Coverage I Can Purchase In Oklahoma?
The maximum amount of uninsured motorist coverage you can purchase in Texas is 250,000/500,000 and the minimum amount is $30,000/60,000. You cannot purchase higher uninsured motorist limits than you have on your Bodily Injury and property damage limits. For instance, if you carry 30,000/60,000/25,000 liability limits, the most coverage you can purchase on uninsured motorist coverage is 30,000/60,000. If you wanted 50,000/100,000 you would have to raise your bodily
Who has the cheapest auto insurance in Texas?
Different auto insurance companies have different price niches. Here are a few companies that have great prices customers with no prior insurance and bad driving records
- Safe Auto
- Save Money Car Insurance
- Venture Insurance Company
- Texas Ranger
- Falcon Insurance company
Here are a few companies that have low prices for customers who have Multi car policies and continuous prior insurance:
3. State Farm
4. Farm Bureau
What is the average cost of car insurance in Texas?
According to carinsurance.com the average auto insurance rate for a 30 year old driver with full coverage in Texas is $152 monthly or $1823 a year compared to the national average of $1758 per year. Of course, there are many factors that can make this price go up and down like driving record and zip code.
Is car insurance in Texas expensive?
Auto Insurance in Texas is 25% higher than the national average. This is mainly because of having 5 large metropolitan areas in the state in addition to having a lot of hail and flooding. Auto insurance rates in more rural parts in Texas are much more affordable and more in line with the national average.
How much Liability Insurance do I need in Texas?
The Texas state law requires every driver to carry at least 30,000/60,000/25,000 liability limits. You are subject to a citation if you are caught driving without insurance.
What do I need to get car insurance in Texas?
You will need several things to purchase an auto insurance policy in Texas. The first thing is a form of identification. Secondly, the vin number of the vehicle. Thirdly, money to pay the premium. And Lastly, A
way to sign the application in person or by email. If you are needing full coverage a lot of companies require you to provide photos of your vehicle before the policy can be complete.
How much is full coverage insurance in Texas?
According to carinsurance.com the average rate of full coverage insurance in Texas is $1823 per year which is higher than the national average. Which is four times higher than the average price for liability only insurance.
How much is car insurance for a teenager in Texas?
Auto insurance for teenagers can be very expensive. It is almost twice as much as an adult driver. If at all possible, its best for a teenage driver to stay on their parent’s policy for as long as possible. Also, it is much more affordable to keep your teenage driver rated on a liability only vehicle.
Top car insurance companies in Texas:
- State Farm
(This is according to reviews.com)
Is Texas car insurance higher?
According to thezebra.com Texas auto insurance is about 9% below the national average. Many factors go into auto insurance company rating factors. Hailstorms and flooding will always be a factor on Texas auto insurance pricing. The more claims turned in will result in higher auto insurance premiums.
What companies sell auto insurance with no credit checks in Texas?
There are numerous auto insurance companies who do not check your credit on an insurance quote. Here are a few that you can reference:
- Save Money Car Insurance
- Falcon Insurance Company
- Texas Ranger Insurance Company
- Venture Insurance Company
Why is auto insurance so expensive in Texas?
Due to a very large population in Texas it causes auto insurance companies to charge more for monthly premiums. Many factors come in to pricing auto insurance but there is a large number of uninsured drives in Texas that can cause premiums for everyone to go up. Texas also has a lot of hail storms and flooding issues that can cause catastrophic loss conditions especially in spring and early summer time.
How do I get the best price on car insurance in Texas?
There are several things you can do as a customer to lower your monthly auto insurance cost, here are a few:
- Pay your insurance on time and keep it continuous for at least 6 months at a time so you can qualify for a prior insurance discount
- Set up your monthly payments on automatic draft for an EFT discount
- Have a good driving record, not having any tickets or accidents in the past 3 years helps a lot
- Pay your policy in full for 6 months to avoid installment charges
- Sign up for paperless discount where your bills are emailed to you versus sent in mail
Do I have to add my teenage driver to my car insurance in Texas?
No, you do not have to add your teenage driver to your auto insurance policy. But most auto insurance companies will make you either add or exclude all people in your household that is 15 and above. If you add a teenage driver to your policy it will raise your monthly premiums. But if you do not then you have to exclude them which will not be covered in your policy in case they have an accident while driving.
Is it illegal to not have car insurance in Texas?
Yes, it is illegal to drive a vehicle in Texas without at least state minimum auto insurance liability limits of 30/60/25. If you do not own a car then you can purchase a non owner insurance policy that will allow you to drive a vehicle that does not have insurance on it.
How much is a ticket in Texas for no insurance?
The average ticket for driving without insurance is between a $175 and $350 fine. Multiple citations for driving without insurance can get higher and have more penalties.
What's the fine for driving without a license in Texas?
A citation for driving without a valid Texas driver’s license starts at a minimum of $200. It can go up from there if you are caught more than once without insurance.
Can you drive in Texas without a license?
Generally, every driver in Texas is required to have a valid driver’s license or ID before driving a vehicle.
What is the cheapest auto insurance in Texas?
The cheapest auto insurance policy Texas offers is a basic liability policy with 30,000/60,000/25,000 liability limits. If you have a loan on your vehicle many lienholders will not allow you to carry this policy. They will require you to add comp and collision coverage with a $500 or $1000 deductible which causes your monthly premiums to increase.
What do you do if you can't afford car insurance?
In Texas state law does require you to carry state minimum limits to drive a vehicle legally. If the premiums are not affordable for you, there is always the option to utilize public transportation or use ride sharing services. Also, you can purchase a non owner insurance policy that in most cases is cheaper than carrying insurance on an actual vehicle. Non owner insurance is a good option if you are in between vehicles.
Is Texas a no fault state?
No, Texas is not a No Fault state. It is actually a Comparative Fault state. So, financial responsibility falls on the driver who is at fault in the accident. The best way to protect yourself against being financially responsible is to carry liability insurance on your automobile.
How to get the cheapest auto insurance for teenage drivers in Texas
There are several ways to save on auto insurance when you add a teenage driver to your policy, here a few:
- If your teenage driver has a GPA of 3.0 and above many auto insurance companies will give a Good Student Discount and save up to 10% on your premiums.
- Make sure your teenage driver has no tickets or accidents in the past three years.
- Try to get your teenage driver rated on a liability only vehicle
How much does liability insurance cost in Texas?
The average monthly cost of auto insurance in Texas is $48 monthly. This can vary based on zip, age, and driving record. This is for the bare minimum coverage of 30/60/25 liability limits. This policy is just to keep you legal. In case of an accident it only pays damage to the other person.
Truck insurance in Texas
One of the most popular vehicles to drive in Texas is a truck. Some trucks though can be more expensive and difficult to insure than other vehicles on the road. Most auto insurance companies in Texas do not offer coverage for a flatbed truck or a 3500 model. Being such large trucks, they can do a lot more damage than a smaller car on the road like a Hyundai sonata for example.
How much car insurance do I need in Texas?
All you need to stay legal as far as automobile insurance is concerned in Texas is a state minimum liability policy of 30,000/60,000/25,000. This is the least expensive car insurance policy you can purchase. Many people like to carry higher liability limits than this just in case they have an at fault accident and damage a vehicle that is worth more than $25,000. Which many vehicles on the road in Texas are worth more than that.
Texas proof of insurance requirements
When driving an automobile in Texas you must carry at least 30,000/60,000/25,000 bodily injury/property damage limits of liability. It is state law to carry insurance in Texas. You are required to carry an insurance company issued verification card in your vehicle that is currently active. If you drive a company vehicle the company you work for can provide you with an insurance card for the commercial auto insurance policy they carry. If you do not own a car you can purchase a non-owners insurance policy that can keep you legal in case you rent a car or borrow someone else’s.
Texas auto insurance quotes comparison
There are many ways to find auto insurance quotes in Texas by phone or online. There are many new online quote comparison sites that are coming to market recently. Two big names in this business are Everquote and The Zebra. These are not insurance companies but more of a platform for auto insurance companies to give consumers multiple rates from numerous companies at one place, it is becoming more and more popular.
How to get low cost auto insurance in Texas
Here are some ways to find some low cost auto insurance in Texas:
Sign up for a month to month policy so you don’t get into a long term commitment
- If your credit is not the best, find an auto insurance company who does not rate based on credit score. There are many of them out there, most all nonstandard auto insurance brokers have numerous carriers that don’t run credit.
- If you have tickets or accidents, find an insurance company that doesn’t charge as much for these violations. Sometimes smaller regional companies versus national ones can be a better option.
- Sign up for a month to month policy so you don’t get into a long term commitment