Texas drivers must navigate a complex auto insurance system when dealing with liability coverage after a crash. Understanding Texas liability insurance policies after a car accident is essential to ensure proper compensation and protect your rights in the aftermath of an accident.
Texas Auto Liability Insurance Requirements
Texas law requires all drivers to carry a minimum amount of liability insurance to operate a vehicle legally. This insurance covers the damages you cause to others in a crash for which you are found at fault.
The minimum required liability coverage in Texas includes:
- $30,000 for bodily injury per person
- $60,000 total for bodily injury per accident
- $25,000 for property damage per accident
These coverage limits are often referred to as 30/60/25 policies. They only pay for damages suffered by other people, not your own injuries or vehicle damage.
What Liability Insurance Covers in a Texas Car Accident
Liability insurance provides financial compensation to others when you are legally responsible for causing a crash. It pays for:
- Medical bills of injured victims
- Lost income for victims unable to work
- Pain and suffering and other legal damages
- Property damage to vehicles and other personal property
- Legal defense costs if you are sued
Liability coverage does not pay for your own medical expenses or repair costs. For that, you must carry additional Coverage such as personal injury protection (PIP), collision, or uninsured/underinsured motorist (UM/UIM) Coverage.
Determining Fault in Texas Car Accidents
Texas follows a modified comparative fault rule. A party must be less than 51 percent at fault to recover damages. If you are partially at fault, your compensation is reduced by your percentage of responsibility.
Insurance adjusters examine the following to determine fault:
- Police reports
- Witness statements
- Photographs of the scene
- Vehicle damage assessments
- Surveillance or dashcam footage
- Texas car accident laws
The insurance company of the at-fault driver is responsible for compensating injured parties up to the policy limits. However, they will often attempt to minimize payouts or deny valid claims.
Limits of Liability Coverage in Serious Accidents
When an accident causes serious injury or death, minimum coverage limits are often not enough to cover all damages. If damages exceed policy limits, victims may:
- Pursue compensation through the driver’s assets
- File under their underinsured motorist policy
- Seek Coverage from additional policies, such as umbrella insurance
Insurance carriers only pay up to the maximum stated in the at-fault driver’s policy. Anything beyond those limits becomes the driver’s legal responsibility.
Optional Auto Insurance Coverage in Texas
Texas drivers are encouraged to carry more than just minimum liability insurance. Optional Coverage offers protection in cases where the other driver is uninsured, underinsured, or the damages exceed liability limits.
Key optional coverages include:
- Uninsured Motorist (UM) – covers your injuries and property damage if the at-fault driver has no insurance
- Underinsured Motorist (UIM) – pays when the at-fault driver’s liability policy doesn’t fully cover your losses
- Personal Injury Protection (PIP) – covers medical expenses and lost wages regardless of fault
- Collision Coverage – pays to repair or replace your car after an accident
- Comprehensive Coverage – covers damage from theft, fire, hail, or other non-collision events
Filing a Liability Insurance Claim After a Texas Car Crash
To initiate a claim against a liability insurance policy, the following steps are essential:
- Report the accident to the police and obtain an accident report
- Exchange insurance information with the other driver
- Notify your insurance company of the crash
- File a claim with the at-fault driver’s insurance provider
- Document all injuries, medical expenses, and lost wages
- Cooperate with the investigation, but avoid recorded statements without legal guidance
The insurer will assign an adjuster to evaluate the claim. In many cases, legal representation becomes necessary to ensure fair compensation.
When Liability Coverage Is Denied or Delayed
Insurance companies may deny or delay claims to avoid full payouts. Common reasons for denial include:
- Disputes over who caused the crash
- Alleged policy lapses or exclusions
- Claims exceeding policy limits
- Delays in seeking medical treatment
If your claim is denied or underpaid, you may need to take legal action. A skilled attorney can challenge wrongful denials, negotiate with insurers, or file a lawsuit if necessary.
Suing the At-Fault Driver Beyond Insurance Limits
If the at-fault driver’s policy limits do not cover your full damages, you can pursue additional compensation directly from the driver’s assets. The process may involve:
- Filing a civil lawsuit for negligence
- Placing liens on property
- Garnishing wages through a court judgment
These steps require legal intervention and may take time, but they can help secure the compensation you are legally entitled to receive.
Protecting Yourself with Adequate Coverage
Carrying sufficient insurance protects both you and others. Minimum policies are often insufficient. To avoid exposure to financial risk:
- Increase your liability limits to at least 100/300/100
- Add UM/UIM and PIP to your policy
- Review your policy annually to ensure adequate protection
Many serious injury cases in Texas involve multiple sources of recovery. Without strong coverage, you may be personally liable for damages that exceed your insurance limits.
Why Legal Representation Matters in Texas Insurance Claims
Insurance companies protect their bottom line—not accident victims. Hiring experienced legal counsel for your auto accident helps level the playing field and ensures that:
- Your rights are protected
- Your injuries are fully documented
- You do not settle for less than you deserve
A lawyer can handle the entire claim process, communicate with adjusters, and fight for the full value of your losses in court if necessary.
Final Thoughts on Texas Liability Insurance Policies After Car Accidents
Understanding the role of liability insurance in Texas is critical after any car accident. Minimum Coverage may not be enough in a serious crash. Victims must act promptly, gather evidence, and consider seeking legal assistance to ensure fair treatment and receive full compensation.
Get Help from an Award-Winning Car Accident Lawyer in Houston
Contact the Houston personal injury law firm of Baumgartner Law Firm at (281) 587-1111.
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