Texas Auto Insurance Requirements: 30/60/25 & Coverage

Texas drivers need to be able to pay for damage or injuries they cause in an accident.

For most people, that means carrying auto liability insurance.

The minimum liability coverage commonly used to meet the Texas requirement is 30/60/25:

$30,000 for bodily injury to one person
$60,000 total for bodily injuries in one accident
$25,000 for damage to someone else’s property

Those are minimum limits, not a recommendation for how much coverage every driver should carry. If you cause an accident that costs more than your policy limit, you can be responsible for the difference yourself. Texas Department of Insurance

The second thing to understand is just as important: liability insurance protects you against what you may owe other people. It generally does not pay to repair your own car after an accident you caused.

That requires different coverage.

What does 30/60/25 actually mean?

The numbers sound more complicated than they are.

Suppose you cause an accident.

$30,000 for one injured person

If one person’s covered injuries result in $40,000 of damages, your policy limit for that person is still $30,000.

$60,000 for bodily injuries from the entire accident

If several people are injured, the policy does not provide $30,000 to an unlimited number of people. The total bodily injury limit for the accident is $60,000.

$25,000 for property damage

That can include damage you cause to another vehicle or other property.

The Texas Department of Insurance warns that the state minimum may not be enough after a serious accident. If the amount you owe is greater than your insurance limit, you could have to pay the remaining amount yourself. Texas Department of Insurance

The better question is not just, “What is the cheapest policy that makes me legal?” It is, “If I cause a serious accident, how much financial risk am I comfortable keeping myself?”

A licensed insurance professional can help you understand available limits.

What does liability insurance not cover?

Your liability coverage is primarily there to pay for injuries or property damage you cause to someone else.

If your own car is damaged, you may need other coverage.

Collision coverage

Collision coverage can pay to repair or replace your vehicle after a covered collision, subject to your deductible and policy terms.

A deductible is the amount you pay yourself before the insurance company pays the covered portion of the claim.

For example, if you have a $1,000 collision deductible and a covered repair costs $5,000, you would generally be responsible for the first $1,000.

Comprehensive coverage

Comprehensive coverage, sometimes called “other than collision” coverage, protects against certain types of damage that do not come from a collision.

Texas Department of Insurance guidance includes examples such as:

theft
fire
hail
flooding
vandalism
hitting an animal

That can be particularly relevant in Texas, where vehicles can be exposed to hail, severe storms, wind, and flooding. Texas Department of Insurance

Do you need collision and comprehensive coverage?

Texas law does not require every driver to carry collision and comprehensive coverage.

But if you financed or leased your vehicle, your lender will typically require them because the lender has a financial interest in the car. Texas Department of Insurance

Once a car is paid off, the decision becomes yours.

Think about what would happen if your car were totaled tomorrow. Could you comfortably replace it yourself?

If not, dropping physical damage coverage solely to lower your premium deserves careful thought.

Texas automatically gives you an important choice about PIP

Personal injury protection, usually called PIP, helps with certain expenses after an auto accident.

It can cover eligible medical costs and can also help with expenses such as lost income.

Texas auto policies must provide PIP unless the named insured rejects it in writing. Texas Department of Insurance

This is different from liability insurance.

Liability focuses on damage you cause to someone else. PIP can help cover you and certain other people protected by the policy after an accident, regardless of who caused it, subject to the policy and Texas law.

If you are thinking about rejecting PIP because you already have health insurance, ask what costs your health plan does and does not cover after a crash.

The two types of coverage do not necessarily do the same job.

Uninsured and underinsured motorist coverage matters in Texas

What happens when someone hits you and they either have no insurance, or have insurance but not enough to cover the damage they caused?

That is where uninsured and underinsured motorist coverage, usually called UM/UIM, can help.

Texas insurance companies must provide UM/UIM coverage unless you reject it in writing. Texas Department of Insurance

Depending on the coverage, UM/UIM may help with things such as:

vehicle repairs
medical expenses
property in the vehicle
certain other damages
hit-and-run accidents

TDI reported in March 2025 that more than 2.4 million Texas-registered vehicles were not matched to an insurance policy, about 12% of registered vehicles at the time. Texas Department of Insurance

That does not mean every one of those vehicles was necessarily being driven uninsured, but it gives drivers a useful reason to understand what UM/UIM coverage does before rejecting it.

Texas is an at-fault state. What does that mean?

Texas generally follows an at-fault system for auto accidents.

In simple terms, the person legally responsible for causing an accident can be responsible for the resulting damages.

But real accidents are not always as simple as one driver being 100% responsible and another being 0%.

Questions about fault can involve:

police reports
witness statements
photographs or video
vehicle damage
traffic laws
insurance investigations

You do not need to decide fault yourself at the scene. After an accident, exchange information, document what happened when it is safe to do so, and report the accident to the appropriate insurer.

What happens if you drive without insurance in Texas?

Texas law requires drivers to show financial responsibility.

For most drivers, that means maintaining liability insurance.

The Texas Department of Insurance says a driver stopped without insurance can receive a ticket and may face a fine of up to $350. Repeat offenses can result in fines up to $1,000 and possible driver’s license suspension. Texas Department of Insurance

You also need proof of liability insurance for common vehicle registration transactions in Texas. TxDMV requires proof of current liability insurance when registering or renewing registration. Texas Department of Motor Vehicles

A lapse can also create another practical problem: you still need coverage afterward.

TDI advises consumers not to cancel an existing policy until the new coverage or written proof of coverage is in place. Texas Department of Insurance

What affects the price of auto insurance in Texas?

There is no single Texas car insurance price.

Insurance companies use their own underwriting and rating methods, which means two companies can look at the same driver differently.

According to the Texas Department of Insurance, common factors used in auto insurance pricing can include:

your driving record
claims history
where you live
how much you drive
your age
your vehicle
how expensive the vehicle is to repair or replace
how you use the vehicle
certain personal characteristics permitted under Texas law
credit information, where permitted

Each insurer can weigh these factors differently. Texas Department of Insurance

That is one reason a driver can receive different pricing or eligibility decisions from different insurance companies.

Texas insurers can consider credit information, but there are limits

Texas insurers may consider credit information as part of underwriting and pricing.

But TDI says an insurance company cannot refuse to sell you a policy based only on your credit information. Credit can be considered along with other underwriting factors. Texas Department of Insurance

That is more accurate than saying your credit score determines your insurance rate. It can be one factor among several.

Why your ZIP code can matter

Where you keep the vehicle can affect insurance pricing.

Insurers may consider things such as:

accident frequency
theft exposure
claims costs
repair costs
traffic patterns
weather losses

TDI notes that insurers may treat vehicles kept in urban areas differently because accident and theft exposure can differ from rural areas. Texas Department of Insurance

Texas weather can matter more than people realize

Liability coverage is only one part of the Texas insurance conversation.

Texas vehicles can also face damage from:

hail
wind
flooding
severe storms
fallen objects

Comprehensive coverage can protect against many of these types of losses, depending on the policy.

TDI specifically advises Texans that comprehensive auto coverage can pay for vehicle damage caused by flooding, hail, fire, and wind. Texas Department of Insurance

Driving carefully does not prevent a hailstorm.

What is gap insurance?

Suppose you owe $30,000 on your car loan, but after your car is totaled the vehicle is worth only $24,000.

Your regular auto insurance generally pays based on the vehicle’s value, subject to the policy, not simply the balance remaining on your loan.

That can leave a difference between what the insurer pays for the totaled vehicle and what you still owe.

Gap coverage is designed to address that situation.

The Texas Department of Insurance recommends considering gap coverage when the vehicle is worth less than the amount you owe on the loan. Texas Department of Insurance

Not everyone needs gap coverage forever. Once you owe less than the vehicle is worth, the gap may no longer exist.

What should you check before choosing a Texas auto policy?

Do not judge a policy only by the monthly payment.

What are my liability limits?
What happens if I cause damage above those limits?
Do I have collision coverage?
Do I have comprehensive coverage?
What are my deductibles?
Do I have PIP?
Do I have uninsured/underinsured motorist coverage?
Is rental reimbursement included?
Is roadside assistance included?
Are all household drivers properly listed?
Does the policy cover how I actually use the car?
What happens if I use the vehicle for work, deliveries, or rideshare driving?
Does my lender require additional coverage?
What discounts am I receiving?
Are there exclusions I should understand?

TDI recommends checking whether a policy covers how you use your vehicle because personal auto policies may exclude some business, delivery, or rideshare activity. Texas Department of Insurance

How can you lower your Texas auto insurance cost without blindly cutting coverage?

There are legitimate ways to look for a lower premium.

TDI recommends asking insurers about discounts for things such as:

a good driving record
lower annual mileage
defensive driving
good student status
automatic payments
paperless billing
certain driving-monitoring programs

Another option is changing your deductible. A higher deductible can lower your premium, but it also means you have to pay more yourself after a covered loss. Texas Department of Insurance

Saving $20 a month can become a poor trade if it creates thousands of dollars of exposure after an accident.

What information should you have ready when requesting auto insurance?

You do not need to know every insurance term before you start.

But you should have accurate basic information available.

your Texas address
driver’s license information
drivers in your household
vehicle year, make, and model
vehicle identification number, if available
how you use the vehicle
estimated annual mileage
ownership or financing information
current insurance information
previous claims or accidents
tickets or driving history
when you want coverage to begin

Accuracy matters. Leaving out a household driver or saying a vehicle is used only personally when it is regularly used for business can create problems later.

Explore Texas Insurance Help for the broader Texas state insurance picture.

How Ensurance helps Texas drivers start an auto insurance request

You should have insurance choices without having to start over again and again.

Ensurance gives drivers one guided place to begin an auto insurance request.

You provide information about your vehicles, drivers, timing, and insurance needs. Ensurance organizes those details into one request so it can move toward licensed review where available.

Ensurance organizes the shopper’s auto insurance request so it can move toward licensed review and available quote options with clearer context and less repetition.

Different insurance companies and licensed professionals can evaluate the same driver differently.

Where available, a licensed agent, agency, or approved partner can review the organized request and help identify available quote options or the appropriate next step.

More help. More choices. Less spam.

For broader guidance on rates, coverage decisions, switching, and shopping, use the Ensurance Auto Insurance guide.

If you are ready to shop, start with Cate on the Ensurance homepage.

Start a Texas Auto Request

Learn more about how Ensurance works.

Texas Auto Insurance FAQ

What is the minimum auto insurance required in Texas?

For most drivers using auto liability insurance to meet Texas financial-responsibility requirements, the minimum liability limits are 30/60/25: $30,000 for bodily injury to one person, $60,000 total for bodily injuries in one accident, and $25,000 for property damage. Texas Department of Insurance

Does 30/60/25 cover damage to my own car?

Not normally. Liability coverage is primarily designed to pay for injuries or property damage you cause to others. Collision and comprehensive coverage protect your own vehicle against different kinds of covered losses.

Is PIP required in Texas?

Texas auto policies must provide personal injury protection unless the named insured rejects the coverage in writing. PIP can help with eligible medical expenses, lost income, and certain other costs after an accident. Texas Department of Insurance

Is uninsured motorist coverage required in Texas?

Texas insurers must provide uninsured/underinsured motorist coverage unless the named insured rejects it in writing. The coverage can help when an at-fault driver has no insurance or not enough insurance to cover the loss.

Does Texas require collision and comprehensive insurance?

Not for every driver. However, lenders generally require collision and comprehensive coverage while you still owe money on a financed vehicle.

Does comprehensive insurance cover hail in Texas?

Comprehensive auto coverage generally covers hail damage, subject to your deductible and policy terms. TDI also identifies flood, fire, theft, wind, and certain other non-collision losses as examples of damage comprehensive coverage may cover.

Can insurance companies in Texas use my credit?

Yes, insurers can consider credit information along with other underwriting factors. TDI says an insurer cannot refuse to sell you coverage based only on your credit information.

Why did my Texas auto insurance premium change?

Insurers can consider factors such as your driving record, claims history, location, mileage, vehicle, age, how you use the vehicle, repair costs, and credit information. Insurers also have different pricing models, so premiums can vary.

What happens if I drive without insurance in Texas?

Drivers who cannot show required financial responsibility can face tickets and fines. TDI says a first offense can result in a fine of up to $350, while repeat offenses can result in fines up to $1,000 and possible driver’s license suspension.