According to the Texas Department of Insurance, the insurance regulator for TX, if your car needs to be repaired after an accident the insurance company will either have an adjuster inspect your car and calculate an estimate for repairs or ask that you provide repair estimates from mechanics and auto body shops.

Some car insurance companies in Texas may give you a list of “preferred” shops, but they cannot require you to use a particular repair shop. On collision and comprehensive claims, your company is obligated to pay only for parts of like kind and quality (LKQ) to those that were damaged.

Insurance companies will pay for repairs or replacement only up to the car’s actual cash value. Actual cash value is the amount your car would be worth if it were not damaged, so basically its fair market value before the accident occurred.

So as the TDI noted an insurance company can give you a list of preferred repair shops to visit however you can choose your own place to get the car fixed. You will however want to make sure that if your repair shop is charging more than a preferred shop to make the repairs that you will not have to pay the difference. If you want parts for your car made by an original equipment manufacturer (OEM) you may also have to pay more so once again check with the insurance company to see what their policy is on the type of parts used for the repair.

For Texas auto insurance from an auto insurance specialist, click here.