Drivers receive a five-percent discount on their Car Insurance in Austin TX, after they complete a drug and alcohol awareness program. More discounts are available for multiple cars added to any given policy and safe driving records. Compliance with all traffic laws over an extended period of time could lead to more reduced rates.
Automobile Insurance Requirements in TX
In the state of Texas, all drivers are required to maintain the mandated insurance requirements. This includes a minimum of liability. The requirements stipulate that this policy should provide $30,000 of coverage for each individual who is injured in an automobile accident with a maximum of $60,000. The policy should provide $25,000 for any sustained property damage. This minimum fulfills the driver’s financial responsibility.
Any automobile which is financed by a lender requires both comprehensive and collision as outlined in the loan contract. Any failure to comply with these requirements could lead to penalties for no insurance and repossession of the vehicle. Lenders require this higher level of insurance to protect their investment. After the loan is settled, the vehicle owner may reduce their coverage.
Alternatives to Liability Insurance
The vehicle owner could acquire a surety bond which equates to the same coverage amount as a liability policy. A CD valued at $55,000 or higher is another option; the driver could deposit the same value through the county judge to secure the same level of coverage. Owners who have a collection of twenty-five automobiles or more may qualify for self-insurance.
Drivers facing difficult in acquiring auto insurance may purchase their policies through the Texas Automobile Insurance Plan which allows them to purchase the mandated requirement. To qualify for this program, the driver must possess a valid license, live in the state, and provide proof of refusal by two carriers within a sixty-day period.
Penalties for Non-compliance
Any drivers without Car Insurance in Austin TX are subject to penalties and fines. The first offense is a fine that ranges from $175 up to $350. All additional offenses incur fines that range from $350 to $1,000. They may also suffer a license suspension and vehicle impoundment. All insurance policies are traceable through TexasSure, which records all registered vehicles. To learn more about auto insurance, you may contact Patrick Court today!