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Texas Car Insurance Tort Laws, Coverage Types and Required Amounts

Drivers in the Lone Star State may think that getting affordable car insurance is a hassle, so here is some information that will help lower your premiums while still keeping your assets safe. Before you can select reasonable Texas car insurance rates, you need to know the legal requirements and the factors that impact those rates. Use the data below to analyze any car insurance rate quotes you get.

Types and Amounts of Coverage
The most basic insurance requirement is the 25/50/25 liability limit that refers to the amount of coverage you must carry to drive in the state. As Texas uses a tort system, someone is determined to be the "at-fault" driver in every accident. This person, and their insurer, is then responsible for paying for the personal and property damages involved. If you carry the limits above you have $25,000 in coverage to pay for bodily injuries to a single person in an accident, $50,000 to pay for bodily injuries per accident, and $25,000 to pay for damage to property in an accident. Be aware that these amounts are considered low. Most experts suggest having $100,000 in bodily injury per person and $300,000 in bodily injury per accident if you can afford the premiums.

You are not required to purchase uninsured motorist coverage as a part of your Texas car insurance policy; however, if you don't you could find yourself financially devastated when an accident occurs. The cost of adding this optional coverage to you policy is fairly low compared to the pay back. Unfortunately, having this insurance is more important now than ever.

In 2007 it was estimated that 15% of Texas drivers were uninsured. Given the economic situation since then, experts say that more drivers are cancelling their policies or their optional coverages. If you are hit by an uninsured or underinsured driver, you could be left paying tens of thousand for your medical expenses. To combat this, the state has instituted a Vehicle Insurance Verification program called TexasSure. This involves random checks by state officials and the department of insurance to see if drivers are carrying the required liability minimums.

How Rates are Determined
The rates, premiums and deductibles that you are offered by Texas car insurance companies will depend on where you live, the car you drive, your driving record, your age, credit rating, and how much you drive. One effective way to get a lower rate is to consult your credit report by using Equifax or one of the other credit reporting companies. They may mistakes, and by reporting them you can improve your credit score and lower your premiums.

You can also be aware of how much you drive, and let your insurer know if that changes. Start carpooling or move closer to your job and get a lower rate! Finally, find out what cars are the most expensive to insure before you buy your next vehicle. At the end of the day, there are many ways to have some control over the cost of your Texas car insurance if you are willing to make the effort.

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