Texas's Motor Vehicle Safety Responsibility Act makes every driver financially responsible for deaths, injuries or property damage they cause. That means carrying at least minimum liability insurance and being able to prove it.
Minimum liability insurance (since January 1, 2011)
| Covers | Minimum |
|---|---|
| Injury or death of one person | $30,000 |
| Injury or death of two or more people | $60,000 |
| Property damage | $25,000 |
Know the rule
Unless exempt, you must maintain liability insurance or be self-insured under the Act.
Handbook p. 24 ↗You must show evidence of financial responsibility when:
- Applying for a driver license
- Registering a motor vehicle
- Getting a motor vehicle inspection report
- A law enforcement officer asks for it
- Another person involved in a crash with you asks for it
Accepted evidence of financial responsibility
- A liability insurance policy in at least the minimum amounts
- A standard proof-of-insurance form (insurer, policy number/period, insureds, limits, covered vehicles)
- An insurance binder showing compliance
- State comptroller certificate showing at least $55,000 on deposit
- A surety bond on file with DPS
- County judge certificate showing at least $55,000 cash or cashier's check on deposit
- DPS self-insurance certificate (more than 25 vehicles registered in your name)
- An image on a wireless device showing the standard insurance form information
Know the rule
If you're cited for not showing proof, the court may dismiss the charge if you prove a policy was in effect when the citation was issued.
Handbook p. 24 ↗Driving without evidence of financial responsibility
| Conviction | Penalty |
|---|---|
| 1st conviction | Fine of $175 to $350 |
| 2nd and each later conviction | License suspension and fine of $350 to $1,000 |
| 2nd+ (if you owned the vehicle) | Vehicle impounded by the court for 180 days |
Know the rule
Impoundment applies if you owned the vehicle at the time of the offense and on the date of conviction. Before release, you must show the court evidence of financial responsibility.
Handbook p. 24 ↗Your registration, license or privilege will be suspended:
- On conviction of a violation requiring suspension, unless you show DPS proof of insurance
- If a crash judgment isn't satisfied within 60 days
- If an installment agreement from a crash settlement is in default
- If uninsured in a crash causing death, injury or $1,000+ property damage and a judgment is likely
How long you must keep maintaining proof of financial responsibility after your most recent conviction, when required
Handbook p. 25 ↗Put it into practice
An officer stops you and asks for proof of insurance. Showing your insurer's card image on your phone counts. If you truly had coverage but couldn't show it, the court may dismiss the citation once you prove the policy was in effect that day.