A few small mistakes can be all that it might take for one person’s driving errors to lead to major injury and financial consequences for other people. Therefore, insurance is necessary to protect people from liability when they drive.
Texas state law mandates insurance coverage. Many motorists pay for more than what the state requires to more effectively protect themselves against both personal liability and financial devastation after a wreck. The cost of an annual insurance premium significantly increases how much people pay to have their own transportation.
What the state requires isn’t really enough
In theory, people in Texas can legally drive when if they have $30,000 in bodily injury liability coverage and $25,000 in property damage coverage. The amount of reimbursement available for injury-related expenses will go up to $60,000 on a basic policy if more than one person ends up hurt in the wreck.
However, if someone causes a crash and doesn’t have enough liability coverage based on the extent of the losses suffered by the other people involved, they could very well face a lawsuit. Many motorists carry multiple times more insurance than the minimum amount required by Texas state law. In fact, some people carry 10 times the recommended coverage amounts to protect themselves from liability.
Others will add supplemental coverage to their policies. Those who financed their vehicle and still have a balance due on it may need to carry comprehensive or collision coverage to ensure that the vehicle will receive appropriate repairs after a crash. Many people also choose to invest in uninsured and underinsured motorist protection.
When people have supplemental coverage on their policies, they don’t have to worry about how they will cover certain expenses if someone else causes a wreck. Someone’s income, their driving habits and numerous other factors may influence the right amount of insurance for their optimal protection. Reviewing and increasing one’s insurance coverage can be a smart move for anyone who is worried about liability or financial hardship after a wreck.