Texas law requires people who drive in Texas to be able to pay for any automobile accidents they cause. Most drivers do this buy buying automobile liability insurance. According to the Texas Department Public Safety (DPS) Texans must prove financial responsibility before they can get a new driver license. Drivers renewing their licenses are not required to show proof of insurance.

For most drivers, financial responsibility means having liability insurance that meets state standards. Proof of self-insurance, government pool documents and bonds posted with the Department of Public Safety also can meet the requirements of law.

The minimum coverage required by law, until March 31st, 2008, is $20,000 per person for deaths and injuries up to $40,000 for any one accident, and up to $15,000 in property damage.

Effective April 1, 2008, the minimum coverage amount required by the state's financial responsibility law increased to $25,000 for each injured person, up to a total of $50,000 per accident, and $25,000 for property damage.

The liability limits for Texas auto insurance will increase again on January 1, 2011, to $30,000 for each injured person, up to a total of $60,000 per accident, and $25,000 for property damage per accident.

The fine for not having liability insurance is $175 to $350. Repeat offenders must pay $350 to $1,000 and may have their vehicles impounded for 180 days, plus have their driver licenses suspended. State law makes no provision for financial hardship. All drivers must prove financial responsibility.

You must also show proof of insurance of at least liability insurance when registering your vehicle in Texas so as the owner of the auto being registered you will need insurance. If you need more information on this subject you can contact the Texas Department of Insurance or DPS.

To get an affordable car insurance quote for TX click here.