The State of Texas requires anyone who operates a motor vehicle to have liability insurance. In Texas, if you accidently injure someone or damage their property while driving, your insurance covers the loss. But a basic policy may not provide you with enough security. That’s why at the Noveri Insurance Agency, our professionals are available to help members of the Katy, TX community. We’ll work closely with you to design or update an existing policy to help avoid the potential consequences of being underinsured.
The Problem with Minimum Coverage
The state requires that drivers carry only minimum coverage. In Texas, those amounts are $30,000 for each injured person, $60,000 total per accident and $25,000 for any property damage. If you consider the rising cost of health care, those amounts could fall far short if someone needed surgery, was hospitalized for an extended period or faced a lengthy rehabilitation process. Regarding property damage, just think about the cost of replacing a new car. Many makes and models far exceed $25,000, and price tags keep going up.
Once the minimum coverage has been exhausted, you could be paying the difference out of pocket. And if your finances come up short, the injured party could file a civil lawsuit.
Common Ways to be Underinsured
While auto insurance is mandatory in Texas, there are always those few who don’t follow the rules. For example, if you suffer a loss due to the negligence of an uninsured driver, you may face an uphill battle getting fair compensation. Adding “uninsured motorist” coverage may remedy that situation. Minimum insurance policies are designed to protect others. But you can also take steps to enhance your financial security.
- Collision: This type of insurance covers damage to your vehicle caused by accident.
- Comprehensive: Compensates you for property losses such as theft, vandalism or non-driving accidents.
- Medical Payments: This type of coverage can pay for your medical bills, those of passengers, as well as any funeral expenses in the event of a catastrophic accident.
Creating a thorough auto insurance policy or upgrading and existing one means carefully considering your individual needs. At Noveri Insurance Agency, our professionals are available to assist members of the Katy, TX community. We’re here to help you help yourself.