An Overview of Texas Auto Insurance:

In Texas, car insurance is not just a legal requirement; it’s also an essential part of protecting your financial well-being in the event of an accident. Understanding the different types of coverage available can help you make informed decisions about the insurance policy that best suits your needs. Below, we break down the various types of auto insurance coverages available in Texas.

1. Liability Coverage

Liability coverage is mandatory in Texas and covers damages to other people’s property and injuries that you cause in an accident. Texas requires drivers to have minimum liability limits, but you can choose higher coverage limits for better protection.

• Bodily Injury Liability: This coverage helps pay for medical expenses, lost wages, and pain and suffering for people injured in an accident where you are at fault. It also covers legal costs if you are sued due to the accident.

• Property Damage Liability: This coverage pays for the repair or replacement of other people’s property that you damage in an accident. This includes other vehicles, fences, buildings, or other structures that are damaged by your vehicle.

Texas Minimum Requirements:

• $30,000 for bodily injury per person

• $60,000 for bodily injury per accident (for all people injured)

• $25,000 for property damage per accident

These minimum limits are often referred to as "30/60/25" coverage. However, these amounts may not fully cover the costs in a serious accident, so you may want to consider higher coverage limits.

2. Collision Coverage

Collision coverage helps pay for repairs or replacement of your own vehicle if it is damaged in a collision with another vehicle or an object, regardless of who is at fault. If you have a loan or lease on your vehicle, your lender or leasing company may require you to carry collision coverage.

• What It Covers: Damage to your vehicle caused by a crash with another car, truck, or stationary object like a tree or fence.

• When It’s Useful: If your vehicle is newer or has significant value, collision coverage provides peace of mind knowing your vehicle will be repaired or replaced after an accident.

3. Comprehensive Coverage

Comprehensive coverage is optional but highly recommended, especially in Texas where severe weather events such as hailstorms, floods, and hurricanes are common. This type of coverage helps pay for damage to your vehicle that isn't caused by a collision.

• What It Covers:

  • Natural Disasters: Floods, hail, hurricanes, tornadoes, etc.

  • Theft or Vandalism: If your car is stolen or vandalized.

  • Animal Collisions: If you hit an animal, such as a deer.

  • Falling Objects: Damage caused by falling trees or debris.

• When It’s Useful: Comprehensive coverage is a good choice if your vehicle is vulnerable to non-collision damage, particularly in areas of Texas prone to storms, hail, or flooding.

4. Uninsured/Underinsured Motorist Coverage (UM/UIM)

Uninsured/Underinsured Motorist (UM/UIM) coverage protects you in the event that you’re in an accident caused by a driver who either doesn’t have insurance or doesn’t have enough insurance to cover your expenses.

• What It Covers:

  • Uninsured Motorist Coverage: Pays for your medical expenses and vehicle damage if the at-fault driver doesn't have any insurance.

  • Underinsured Motorist Coverage: Covers the gap if the at-fault driver has insurance, but their limits are too low to cover your costs.

• When It’s Useful: While Texas doesn’t require UM/UIM coverage, it’s highly recommended, especially since a significant portion of drivers in the state are uninsured or underinsured. UM/UIM helps protect you financially if you’re involved in an accident with someone who lacks adequate insurance.

5. Personal Injury Protection (PIP)/Medical Payments

Personal Injury Protection (PIP) is a type of coverage that helps pay for your medical expenses, lost wages, and other expenses related to an accident, regardless of who is at fault. Texas law requires that PIP be included in your policy unless you specifically opt out in writing.

• What It Covers:

  • Medical Expenses: Covers the cost of your medical bills, even if you’re at fault.

  • Lost Wages: If you are unable to work due to your injuries, PIP helps replace a portion of your lost income.

  • Other Expenses: Covers costs such as childcare or household help that arise due to your injuries.

• When It’s Useful: PIP is beneficial for covering immediate costs without needing to wait for liability decisions, making it an essential coverage if you want quick financial relief following an accident.

6. Roadside Assistance Coverage

Roadside assistance is an optional add-on to your policy that provides support in the event your car breaks down.

• What It Covers:

  • Towing services

  • Battery jump-start

  • Flat tire changes

  • Lockout assistance

  • Fuel delivery

• When It’s Useful: If you often drive long distances or in remote areas of Texas, roadside assistance can be a valuable coverage to have, ensuring that you won’t be stranded if something goes wrong with your car.

7. Gap Insurance

If you finance or lease your vehicle, gap insurance can help cover the difference between the amount you owe on your car loan or lease and the current market value of your car if it's totaled in an accident.

• What It Covers: The "gap" between what you owe on the vehicle and the actual cash value (ACV) the insurance company will pay if your car is totaled.

• When It’s Useful: Gap insurance is especially helpful for people with new cars that are depreciating in value quickly. It ensures you aren’t left owing money on a car that’s no longer drivable.

8. Rental Reimbursement Coverage

Rental reimbursement coverage helps pay for a rental car if your vehicle is being repaired due to a covered event, such as a collision or comprehensive claim.

• What It Covers:

  • Costs associated with renting a car while yours is being repaired after an accident.

• When It’s Useful: If you depend on your vehicle for daily transportation, rental reimbursement can keep you on the road while your car is in the shop.

9. Custom Parts and Equipment Coverage

If you’ve customized your vehicle with aftermarket parts or equipment, such as custom wheels, a high-end stereo system, or performance upgrades, your regular car insurance may not cover these modifications. Custom parts and equipment coverage adds protection for these items.

• What It Covers: Damage or theft of custom parts and accessories.

• When It’s Useful: If you’ve invested in customizing your vehicle, this coverage helps ensure you don’t lose that investment in the event of an accident or theft.

Choosing the Right Auto Insurance Coverage in Texas

In Texas, the right car insurance policy depends on your needs, driving habits, and financial situation. While state-required liability insurance is mandatory, adding optional coverage types can provide added protection and peace of mind. Consider the risks you face, such as severe weather, high traffic, or potential accidents, and make sure you choose coverage that fits your lifestyle.

To get the best auto insurance for your needs, compare quotes from different insurance companies, and don't hesitate to speak with an agent who can help tailor your coverage options. By understanding your coverage options and selecting the right ones, you’ll be better prepared to handle any unexpected events on the road.

At Jones Prairie Insurance Services, we offer a range of auto insurance options to meet your needs. Have more questions? Contact us today or request a quote and a member of our team will be in touch with you.