Texas law requires people who drive in Texas to be able to pay for any automobile accidents they cause. Most drivers do this by buying automobile liability insurance. Section 601 of the Texas Transportation code is titled the Motor Vehicle Responsibility Act and it discusses the financial responsibility drivers in TX should have and penalties for not doing so.
The requirement of financial responsibility is listed in chapter subsection 601.051. Here it states that a person may not operate a motor vehicle in this state unless financial responsibility is established for that vehicle through:
- a motor vehicle liability insurance policy
- a surety bond filed under Section 601.121;
- a deposit under Section 601.122;
- a deposit under Section 601.123; or
- self-insurance under Section 601.124.
Most people choose to obtain financial responsibility for their vehicle with the first choice, an auto insurance liability policy. If you chose this method then Texas law requires 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. This basic coverage is called 25/50/25 coverage. This coverage increased as of April 1, 2008 from its prior limits of 20/40/15.
There are severe legal penalties for violating the state's financial responsibility laws. A first conviction will result in a fine between $175 and $350. Subsequent convictions could result in fines of $350 to $1,000, suspension of your driver’s license, registration and impoundment of your automobile. Driving without insurance is a misdemeanor, and thus a criminal offense, however is considered less serious in nature compare to felony offenses such as vehicular homicide or felony DWI.
As mentioned above TX Transportation Code (chapter 601) contains the Motor Vehicle Safety Responsibility Act where you can look for more information about the penalties for driving without insurance. You can see if it states here exactly the criminal charge or other information you are searching for. If you cannot find the information you need by reading through the Texas Transportation Code then you may need to contact the Texas Department of Public Safety (DPS) or a lawyer that deals with this type of Texas law.
We can also tell you that if a person was at fault in an auto accident and were found to be driving without insurance then Texas laws do require them to pay for the damages they caused. Subchapter F of the Transportation Code discusses the need for financial security after an accident.
This subchapter applies only to motor vehicle accidents in this state that result in bodily injury or death or in damage to the property of one person of at least $1,000. Under this section, 601.152 notes that the DPS shall suspend the driver's license and vehicle registrations of the owner and operator of a motor vehicle if:
- the vehicle is involved in any manner in an accident; and
- the department finds that there is a reasonable probability that a judgment will be rendered against the person as a result of the accident.
The suspension of the driver's license and vehicle registration should remain in effect until:
- the date the person deposits security and files evidence of financial responsibility;
- the second anniversary of the date of the accident, if evidence to the DPS is files that during this 2 year period that an action for damages arising from the accident has not been instituted; or
- the date evidence to the DPS shows that there has been a release from liability for claims arising out of an accident or a final adjudication that the person is not liable for claims arising from the accident or an installment agreement has been agreed to.
If the person defaults on the arraigned payment plan then the DPS should promptly suspend the license and registration of the person again. There is also the Texas Driver Responsibility Program (DRP) which requires the Department of Public Safety to assess surcharges based on certain traffic offenses, such as driving without insurance. The surcharges assessed for this program are in addition to other reinstatement fees required for other administrative actions.
The annual surcharge is $250.00 per year and is assessed on the license of each person who during the preceding 36-month period was convicted of driving while license invalid, failing to maintain financial responsibility, or operating a vehicle that has had its registration suspended.
Driving without insurance is taken as a serious offense in Texas. Get instant car insurance quotes for your needs here with us.
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