Frequently Asked Questions

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Frequently Asked Questions

Can I keep the car insurance I have from my previous state of residence?
No, a driver is required to apply for car insurance in the state where their permanent residence is. If you are in the process of moving to Texas, keep in mind that you will be required to obtain the following minimum insurance coverages:
  • $25,000 for property damage
  • $30,000 for bodily injury per person
  • $60,000 for bodily injury total

However, you are also welcome to purchase additional coverage, such as accident, collision, comprehensive and rental if you so choose.

For more information: How To: Save on Texas Auto Insurance

Do I need to cancel my insurance if I am moving to another state?
If you are no longer residing in Texas, you must get car insurance in your new state. Although Texas does not require you to surrender your license plates if you are moving from the state, you should nonetheless surrender them to your tax county office.

For more information: How To: Save on Texas Auto Insurance

How can I avoid a license suspension if I choose not to insure my vehicle?
If you do not intend to operate your vehicle for a lengthy period of time, then you should cancel your car registration, as well as surrender your license plate. You must first adhere to these steps prior to canceling your Texas car insurance, in order to avoid any penalties, fines or the possibility of a driver s license suspension.

For more information: How To: Save on Texas Auto Insurance

If I have been in an accident, what property damage do I have to report?
In Texas, you are required to report any property damage that is $1,000 or more. As part of minimum insurance limits, Texas makes it mandatory to obtain $25,000 property damage coverage. You also have the option to obtain accident coverage, as well as collision and rental. For additional information about your available insurance options, contact the Texas Department of Public Safety.

For more information: How To: Save on Texas Auto Insurance

If I live outside of the state for half the year, am I still required to have car insurance?
You are required to get car insurance in the state you reside and have registered your vehicle. If you reside temporarily out of state for six months, you may keep your Texas auto insurance; however, verify the terms of driving with out-of-state auto insurance in the other state. If you temporarily residing in a state that requires state car insurance after being there for less than six months, you run the risk of facing drivers license suspension.

For more information: How To: Save on Texas Auto Insurance

What comes first, insurance or the SR-22?
The state of Texas uses the SR-22 form to help protect its citizens against problem drivers by monitoring their insurance.

If you need an SR-22, you ll first need to purchase a car insurance policy.

For more information: Filing the Texas SR-22 Insurance Form

What is the minimum liability insurance coverage?
The state of Texas requires drivers to obtain the following minimum insurance coverage:
  • $25,000 for property damage
  • $30,000 for bodily injury per person
  • $60,000 for bodily injury total

DMVADvisors.org Note: It s also recommended looking at other types of insurance coverage, such as collision, medical payments, rental reimbursement and roadside assistance.

For more information: How To: Save on Texas Auto Insurance

What proof of insurance can I provide when registering my car?
When registering your vehicle at a Texas tax county collector s office, you can provide your insurance card as proof of insurance for car. Another acceptable proof of insurance is an insurance binder. Speak with your auto insurance provider about the proof of insurance that will be provided to you. Make sure to bring this documentation to a nearby office in order to complete the car registration process without hassle or issue.

For more information: How To: Save on Texas Auto Insurance

What type of car insurance am I required to have?
In Texas, you are required to have liability car insurance that covers both damages and injuries that may result from an accident. You must purchase insurance that meets Texas’ financial responsibility law. When registering your vehicle, you can use your insurance card as proof of financial responsibility. The insurance card will also come in handy should you get pulled over or are renewing your driver’s license.

For more information: How To: Save on Texas Auto Insurance

What will happen if I fail to get or keep car insurance?
If you fail to get car insurance, you will face severe penalties, such as a driver s license suspension, along with high fines. In order to avoid any potential problem or issue, get car insurance at the time of purchasing a new vehicle. Keep in mind that the minimum insurance coverages in the state of Texas are the following:
  • $25,000 for property damage
  • $30,000 for bodily injury per person
  • $60,000 for bodily injury total

For more information: How To: Save on Texas Auto Insurance

Which types of vehicles need to be insured?
Motor vehicles that must be insured in Texas are below:
  • Passenger vehicles
  • Commercial vehicles
  • Trucks
  • Vans
  • Boats
  • Mopeds
  • Motorcycles

You will be required to obtain minimum insurance coverage as defined by Texas law. However, you may also opt for additional coverage, such as collision, coverage, rental and towing. The state of Texas offers various well-rounded, insurance packages for your peace of mind and greater safety on the road.

For more information: How To: Save on Texas Auto Insurance