Auto insurance liability protection is a legal requirement for Texas drivers. The Lone Star State requires that bodily injury and property damage liability protection be put in place for drivers to stay legal.
Bodily injury liability coverage in Texas pays for medical bills and lost income stemming from an accident. It also compensates the accident victims for pain and suffering, and pays for legal fees involved in defending an action to recover damages for personal injuries resulting from an accident. This part of the policy also pays out a funeral benefit if the accident is a fatal one. The minimum level of coverage required under state law is $25,000 to pay for injuries and damages claimed by a single accident victim and $50,000 to compensate two or more people injured in the same accident.
Property damage liability coverage pays for the cost to repair public property damaged in the accident, including fences, buildings, guard rails, sign posts and light stands. It also pays to repair the other driver’s vehicle following an at-fault accident. The minimum level of this auto insurance liability coverage required under Texas law is $25,000.
Consumers can choose to buy a policy with a higher level of protection than the minimum required by law if they wish. It’s a very good idea to buy a policy with a higher limit; keep in mind that the insurance company will only pay out up to the limit the policyholder has put in place. Any damages owing above this amount must be paid by the policyholder personally.