Upgrade Requirements For Liability Insurance
In Texas certain minimum requirements must be met for all drivers.
Whether one is a non-licensed driver, such as a teen with a learner's permit, high risk, or someone with a good driving history, the same requirements must be met.
As of 2008 the Texas liability insurance required went up which raised rates for many, but this doesn't mean that less expensive premiums can't be found.
Liability needed to meet minimum mandates includes a 25/50/25 coverage.
What this means is that in the event of an accident due to your negligence, $25,000 would be paid for bodily injuries for each person harmed with a maximum of $50,000 paid per incidence if more than one person was injured.
Additionally, $25,000 would cover the cost of any property damage.
The original law was amended because of growing concerns that the existing coverage no longer was sufficient to compensate for the rising cost of medical care as well as car repair and replacement.
This change served to safeguard drivers that both caused an accident as well as those who were victims.
Although this resulted in slightly higher rates, they were negligible compared to the out-of-pocket expenses paid by those involved in an accident.
Additionally, for those who did not upgrade to meet these new mandates, severe penalties resulted.
Today, for those who are stopped and do not provide proof of insurance that meets the new laws, fines of $175 to $350 are usually issued.
For some drivers, this can equate to the cost of an annual premium.
For those who are stopped on more than one occasion, fines of up to $1,000 can be issued and the driver's license can be revoked.
Additionally, the driver will also find their car towed to an impound yard which charges by the day.
This also results in placement in a high risk category and filing of a SR-22 which results in higher rates.
For those who fail to review the declaration page of their vehicle insurance periodically, the upgrade may have been overlooked.
The result is the potential of putting financial resources at risk.
In the event of an accident, the driver would be held personally responsible for damages and injuries to self, others, and property if found to be at fault.
By upgrading to the higher liability limits, assets would still be protected.
Finding affordable insurance, which includes the upgraded Texas liability insurance, is possible if one is willing to research the options.
Although many people prefer to remain with companies they are familiar with, cheaper rates can often be found elsewhere.
Additionally, opting for a higher deductible and lowering the amount of comprehensive coverage on older vehicles lowers rates significantly.
By comparing multiple quotes the lowest rate can be found.
Whether one is a non-licensed driver, such as a teen with a learner's permit, high risk, or someone with a good driving history, the same requirements must be met.
As of 2008 the Texas liability insurance required went up which raised rates for many, but this doesn't mean that less expensive premiums can't be found.
Liability needed to meet minimum mandates includes a 25/50/25 coverage.
What this means is that in the event of an accident due to your negligence, $25,000 would be paid for bodily injuries for each person harmed with a maximum of $50,000 paid per incidence if more than one person was injured.
Additionally, $25,000 would cover the cost of any property damage.
The original law was amended because of growing concerns that the existing coverage no longer was sufficient to compensate for the rising cost of medical care as well as car repair and replacement.
This change served to safeguard drivers that both caused an accident as well as those who were victims.
Although this resulted in slightly higher rates, they were negligible compared to the out-of-pocket expenses paid by those involved in an accident.
Additionally, for those who did not upgrade to meet these new mandates, severe penalties resulted.
Today, for those who are stopped and do not provide proof of insurance that meets the new laws, fines of $175 to $350 are usually issued.
For some drivers, this can equate to the cost of an annual premium.
For those who are stopped on more than one occasion, fines of up to $1,000 can be issued and the driver's license can be revoked.
Additionally, the driver will also find their car towed to an impound yard which charges by the day.
This also results in placement in a high risk category and filing of a SR-22 which results in higher rates.
For those who fail to review the declaration page of their vehicle insurance periodically, the upgrade may have been overlooked.
The result is the potential of putting financial resources at risk.
In the event of an accident, the driver would be held personally responsible for damages and injuries to self, others, and property if found to be at fault.
By upgrading to the higher liability limits, assets would still be protected.
Finding affordable insurance, which includes the upgraded Texas liability insurance, is possible if one is willing to research the options.
Although many people prefer to remain with companies they are familiar with, cheaper rates can often be found elsewhere.
Additionally, opting for a higher deductible and lowering the amount of comprehensive coverage on older vehicles lowers rates significantly.
By comparing multiple quotes the lowest rate can be found.
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