The government of Texas has introduced new auto insurance laws so as to decrease the number of uninsured drivers. The government of Texas estimates that around 15-20% of all vehicles on the road are uninsured. The purpose of the new law is to lessen those numbers.

Texas auto insurance laws

Here are the 2 Texas auto insurance laws that you must know :

1 . Electronic proof: According to the new law, the auto insurance companies have to submit electronic proof of insurance to the Department of Motor Vehicles. The people are of the opinion that this will help to reduce the number of fake auto insurance policies.

2 . Liability: In Texas, you have to take the minimum amounts of liability coverage on every vehicle that you possess. According to auto insurance laws in Texas, the minimum liability coverage has to be around $25,000 for bodily injury or death of one individual per accident. In case of death of 2 or more individuals per accident, the minimum liability coverage has to be $50,000.

Finally, proof of insurance should be carried in the automobile. If you are caught by a law officer without any auto insurance, then you will be required to pay a fine for a first offense. You will have to pay higher penalties for second and third offenses. In case of third offense, your license can be cancelled. This is one of the most important auto insurance laws that you should be aware of.