Currently, the average cost of auto insurance in Texas is $1,661 per year — which ranks the state #12 in “Most Expensive Insurance,” according to a 2012 survey by Insure.com. Consumer advocates have been complaining that the cost of Texas auto insurance has been creeping up in recent years. According to a study by the National Association of Insurance Commissioners, the cost of damage repair has been climbing and the price of collision coverage is the fifth highest in the land.
Mandatory Driving Insurance Coverage In TX
- You MUST purchase Texas insurance to pay for the accidents you cause. 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.
- If you are caught driving without proper insurance, you will be fined $175 – $350 for a first offense and $350 – $1,000 for subsequent offenses. Subsequent convictions could lead to suspension of your license and impoundment of your vehicle.
Insurance In Texas: Your Rights
- By law, your Texas auto insurance provider must send you a “Consumer Bill of Rights” with a new policy.
- Teenagers who take a Texas Department of Public Safety course are eligible for an auto insurance discount.
- It is against the law to sell Texas auto insurance without a license.
- Texas law mandates that driving insurance must be “reasonable, adequate, not discriminatory and not excessive.”
- Companies may legally charge you more if you drove uninsured for more than 30 days this year.
- If 2 or more companies reject you, it is possible to get liability, PIP, and UM/UIM coverages through the Texas Automobile Insurance Plan Association.
- Your Texas auto insurance company may not cancel a policy that is more than 60 days old unless: you fail to pay, you file a fraudulent claim or your license or registration gets suspended/revoked.
- A Texas insurance provider may not refuse to renew your insurance due to: weather-related claims, damage from animals, damage from gravel / falling objects, towing claims, or having one no-fault claim this year.
- Texas law gives you up to 2 years after an accident to settle your claim or file a lawsuit.
- Texas law requires your auto insurance company to have a toll-free contact number.
Finding Texas Online Auto Insurance Quotes
The best way to ensure you’re getting a fair shake on your Texas auto insurance is to search for free quotes online.