Protect Yourself with the Right Texas Car Insurance – Accident Responsibility

What Texas Car Insurance Do You Need?

Car insurance isn’t just a legal requirement in Texas—it’s your financial safety net if something goes wrong on the road. Whether you’re cruising around Dallas or just running errands in your neighborhood, accidents can happen, and having the right coverage makes all the difference.

At Genthe Law Firm, we’ve seen firsthand how underinsured drivers can end up in a financial nightmare after a car accident. Let’s break down what car insurance you really need in Texas by looking at common accident scenarios and how they could impact you.

Texas vs. Florida: The Difference in Insurance Systems

Before diving into the specifics, it’s important to understand that Texas operates under a fault-based insurance system. This means the person responsible for an accident is also responsible for paying the other party’s medical bills, property damage, and more. In contrast, Florida is a no-fault state, which means drivers use their own insurance to cover their medical costs, no matter who caused the accident.

Why does this matter? In Texas, the financial burden can be hefty if you’re found at fault in an accident—especially if you don’t have enough insurance. Let’s look at what that could mean for you.

Scenario 1: You Cause a Major Accident in Texas

Picture this: You’re driving down I-35, and suddenly, traffic comes to a halt. You’re unable to stop in time, causing a multi-car pile-up. The other drivers are injured, and their cars are damaged. Now what?

Since Texas is a fault state, you are responsible for paying their medical expenses and car repairs through your liability insurance. The state minimum for liability coverage is 30/60/25. This means:

  • $30,000 for injuries per person,
  • $60,000 for total injuries per accident,
  • $25,000 for property damage.

But here’s the catch: What if the medical bills alone exceed $60,000? You’d be personally responsible for the rest. A single accident could wipe out your savings or even lead to wage garnishment.

Person Extracted with Jaws of Life in Multi-Vehicle Accident in Dallas, TX

What You Need: We recommend bumping up your liability limits to at least 100/300/100. This way, you’re protected if things get expensive.

Florida Comparison: In Florida, drivers rely on their Personal Injury Protection (PIP) for medical costs up to $10,000, regardless of fault. While this speeds up the claims process, it also means Florida drivers often have less incentive to increase their coverage, which can leave them vulnerable in severe accidents.

Scenario 2: You Get Hit by an Uninsured Driver

Now imagine you’re driving through downtown Dallas, and a driver runs a red light, smashing into your car. To make matters worse, they don’t have insurance. What happens next?

Without Uninsured/Underinsured Motorist (UM/UIM) coverage, you’d be stuck paying out of pocket for your medical bills and car repairs. And, unfortunately, there are plenty of uninsured drivers on Texas roads.

Hit by an Uninsured or Underinsured motorist in Texas?

What You Need: Adding UM/UIM coverage to your policy ensures that if you’re hit by someone without insurance—or someone whose insurance isn’t enough to cover the damages—you’re still protected.

Florida Comparison: Florida’s no-fault system means your PIP covers some medical expenses even if the other driver is uninsured. But if your medical bills surpass that $10,000 limit, you’re out of luck unless you have UM/UIM coverage, which is just as important there as it is in Texas.

Scenario 3: Your Car Gets Totaled in an Accident (Regardless of Fault)

You’re involved in a fender bender, but your car is wrecked beyond repair. Who pays for that? If you only have liability insurance, your own car repairs aren’t covered—regardless of who caused the accident.

This is where Collision Coverage comes in. It pays for the damage to your car, no matter who’s at fault. And don’t forget Comprehensive Coverage, which helps if your car is damaged in non-collision events, like theft or a hailstorm (which we know are all too common in Texas).

What You Need: If you’re driving a newer or more expensive car, consider adding Collision and Comprehensive Coverage to your policy. It’s worth the investment to avoid a hefty repair bill.

Florida Comparison: Just like in Texas, Collision and Comprehensive insurance are optional in Florida. However, since Florida doesn’t require liability insurance for bodily injury, drivers without these add-ons can be vulnerable.

Why Texas Drivers Should Consider More Than the Minimum Coverage

Sticking to the minimum liability limits Texas requires is tempting, but accidents can get expensive quickly. Let’s be real: $30,000 per person for medical expenses doesn’t go far in a serious accident. And $25,000 for property damage? That might not even cover the cost of a single car in a multi-vehicle crash.

Higher liability limits protect you from lawsuits, wage garnishment, or having to dip into your personal assets to cover the difference. At Genthe Law Firm, we often see clients who regret not having more coverage after an accident, which leaves them financially strained.

Medical bill and health insurance form with calculator

What You Need: We recommend looking at higher limits, like 100/300/100, to give yourself peace of mind and better financial protection.

Florida Comparison: In Florida, drivers often face a similar issuebodily Injury Liability (BI) is not required by law, so many people are underinsured. Boosting your coverage limits is a smart move to avoid financial hardship after an accident, whether in Texas or Florida.

FAQ: Common Questions About Texas Car Insurance

At Genthe Law Firm, we often get questions from clients about car insurance and what happens after an accident. Below are some of the most common questions we hear that weren’t covered in the article:

1. Is car insurance mandatory in Texas?

Yes, Texas law requires drivers to carry liability insurance, specifically 30/60/25 coverage:

  • $30,000 for injuries per person,
  • $60,000 total per accident,
  • $25,000 for property damage.

You must have at least this amount to drive in Texas legally, but as we discussed, we recommend increasing these limits for better protection.

2. What happens if I don’t have car insurance in Texas?

Driving without insurance in Texas can result in:

  • Fines of $175 to $350 for a first offense (fines increase for subsequent offenses),
  • Possible vehicle impoundment,
  • Suspension of your driver’s license and
  • An annual surcharge of $250 for three years to maintain your license after conviction.

If you cause an accident without insurance, you could also be held personally liable for all damages.

3. How does Texas handle hit-and-run accidents?

If you’re the victim of a hit-and-run and the driver is never identified, your Uninsured Motorist (UM) coverage can help pay for medical bills and damage to your car. Without UM coverage, you could end up covering these expenses out of pocket.

4. What is the difference between PIP and MedPay in Texas?

Both Personal Injury Protection (PIP) and Medical Payments (MedPay) coverage help pay for medical expenses after an accident, but there are key differences:

  • PIP covers medical expenses, lost wages, and other non-medical costs like rehabilitation or funeral expenses, regardless of fault.
  • MedPay only covers medical expenses and does not cover lost wages or other costs.

Texas does not require either, but insurance companies are required to offer PIP, and we recommend considering it for extra protection.

5. What should I do if the other driver doesn’t have insurance?

If you’re hit by an uninsured driver, you can file a claim with your own insurance company if you have Uninsured/Underinsured Motorist (UM/UIM) coverage. This policy protects you when the at-fault driver either doesn’t have insurance or doesn’t have enough to cover your damages.

6. Can I still file a claim if the accident was partially my fault?

Yes, Texas follows a modified comparative fault system. This means you can file a claim if you are less than 51% at fault for the accident. However, your compensation will be reduced by the percentage of your fault. For example, if you were 30% at fault, you’d only be eligible to recover 70% of your damages.

7. Does insurance cover rental cars after an accident?

If your policy includes Rental Reimbursement Coverage, your insurance company will pay for a rental car while your car is being repaired after an accident. However, this is an optional add-on that you’d need to specifically request in your policy.

8. Do I need comprehensive coverage in Texas?

While comprehensive coverage is not required by law in Texas, it’s a smart investment if you want to protect your car from non-accident-related damages, like theft, vandalism, or natural disasters (especially in areas prone to severe weather like hailstorms). It will pay for repairs or replacement if your car is damaged in such events.

Protect Yourself Before It’s Too Late

Accidents are stressful enough without worrying about how you’ll pay for medical bills, car repairs, or lawsuits. With the right insurance, you can focus on recovering instead of stressing over finances. At Genthe Law Firm, we’ve seen how being underinsured can devastate families. Don’t let that be you.

What You Need to Do: Review your policy today and make sure you’ve got the coverage you need. If unsure, talk to your insurance agent about increasing your liability limits, adding UM/UIM, or getting Collision and Comprehensive coverage.

Conclusion

Texas’s fault-based insurance system puts more responsibility on drivers to cover damages when they cause an accident. If you don’t have enough insurance, one bad day on the road could ruin you financially. Protect yourself by getting the right coverage now.

Need help after a car accident? At Genthe Law Firm, we’re here to fight for you. Contact us today for a free consultation and let’s make sure you get the compensation you deserve.

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