What is The Lowest Possible Price For Texas Auto Insurance
Reader’s Question:
What is the lowest possible coverage I could get for my Texas auto insurance? What will be the consequence if my insurance goes below that coverage?
Bertha
Dallas, TX
Last April 2008, the Minimum Insurance Law of Texas increased its minimum liability. The revised law requires all Texas vehicle insurance to carry a $25,000 worth of liability for one person, $50,000 for two or more insured persons, and $25,000 for property damages. This coverage is called 25/50/25 coverage. Prior to this revised law, the state requires every vehicle insurance to carry 20/40/15 coverage.
If you get an insurance policy, you will be required to get this minimum liability coverage. I’m not sure if it’s possible to get a policy that has a lower coverage because all insurance companies know about the minimum insurance law. But you should make it clear to the insurance company that you want to get at least the minimum coverage just to be sure that you’re not violating the state law.
In Dallas, if you were caught violating the minimum insurance law, you will definitely face some serious penalties. For the first violation, you will be asked to pay a fine between $175 to $300. But for your succeeding violations, the fine could go up to $1000 (depending on how serious you’re the violation is). And if you fail to get the right insurance coverage even after a couple of citations, your driving license could be suspended and your vehicle could be impounded.