Bodily injury liability coverage…do you know what it really means?
Liability actually means that if you hit a car and it’s your fault, and somebody’s hurt or their property is damaged, that’s the amount that your insurance will pay for your accident.
What is the current minimum liability coverage required by the state of Texas?
In the state of Texas, you are required by law to carry 30/60/25 in liability coverages. That means if you hit someone and they get hurt, those first two numbers have to do with bodily injury.
If you hit a car and they get hurt, your insurance company will pay up to $30,000 per person that’s hurt in an accident up to a total of $60,000 and that’s what the 60 stands for per accident. If you damage somebody’s car and you have minimum liability coverages the most your insurance company will pay is $25,000 for that person’s car.
Now, what that means for you if you have a car that’s nicer, that costs more than $25,000 you might want to make sure that you have uninsured and underinsured motorists coverage because the most you’re going to get if somebody hits you that has minimum coverages is $25,000.
25% of Texas Drivers are Uninsured
There are some really steep penalties for people who drive without insurance in the state of Texas. Obviously, you can get fined, you can have your license suspended, and there’s even talk right now in the Texas legislature about impounding people’s cars.
At least have the minimum limits and look at your policy and make sure you have the proper coverages for your own situation.