15% of Texas Drivers Opting to Drive Without Insurance — Why You Need Uninsured/Underinsured Coverage
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Ron Trumbo
Insurance Editor
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In Texas, InsuranceLoco recommends that you have enough Underinsured and Uninsured Motorist auto insurance protection. According to the Insurance Research Council, 1 in every 7 Texas cars is driven without car insurance. This means that if you're in an accident and the other driver either doesn't have car insurance, or doesn't have enough liability coverage to pay for your out-of-pocket expenses, lost wages, and pain and suffering, there's a 15% chance you could end up without any type of insurance protection — unless you have Uninsured/Underinsure Motorist Coverage.
Texas Uninsured/Underinsured Motorist Coverage
When you talk to a Texas insurance agent, ask the about uninsured/underinsured auto insurance. Texas law holds that uninsured/underinsured motorist coverage must be offered with every Texas auto insurance policy. If you elect to not car this coverage, you may be required to sign a release formally stating as such. Uninsured/underinsured coverage is almost like having an auto insurance policy for every other car on the road that meets your own insurance needs. Imagine if you had to collect on damages from another driver? Perhaps you missed 6-weeks from work, you're broken leg has kept you from being able to focus, would you have the time and energy to take another driver to court? Uninsured/underinsured coverage pays for your damages and shifts the responsibility of collecting damages from the other party to your insurance company.
As mentioned above, uninsured/underinsured coverage protects when you’re the victim of an accident and the other car either doesn’t have car insurance, or if they simply has such low coverage limits that their policy doesn’t fully cover your damages. Should the other car drive off, uninsured motorist coverage will cover hit-and-run accidents if you file a police report immediately.
Uninsured/Underinsured motorist coverage is separated by bodily injury and property damage. Bodily injury will help you take care of your doctor and hospital expenses, including those of you passengers. Bodily injury generally covers any lost wages caused by the accident. Many insurance agents recommend that your uninsured/underinsured coverage match your liability coverage. Specifically, make sure you can get the level of protection that your own liability coverage would pay to another driver if you were at fault.
Having Trouble Paying for Car Insurance in Texas?
Perhaps the pressures of the economic recession are forcing Texans to skimp on a few bills, but the consequences of getting caught without car insurance in Texas are severe. The first time you get caught without car insurance in Texas, you’re looking at a $350 fine. The second time, you can expect the fine to be $1,000, and your Texas drivers license to be suspended. You’ll also have your car impounded, which means you’ll have the shell out a couple hundred bucks for towing and vehicle impound.
If you find yourself in a financial rut and need some advice about car insurance, reach out to a licensed Texas agent; they’ll be able to give you tips for reducing your auto policy. They might recommend increasing your deductibles, and lowering certain coverage levels, but at least you’ll be able to function as a normal adult and make it to and from work.
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