Most Texas drivers have heard of "30/60/25," but few know what it actually pays for. Here is a plain-English guide, written from years of explaining it across the counter.
What 30/60/25 means
Texas requires every driver to carry liability insurance of at least:
- $30,000 for injuries to one person in an accident you cause
- $60,000 total for injuries to everyone in that accident
- $25,000 for damage to other people's property, usually their car
Liability coverage pays for the other people you hurt and the property you damage. It does not pay to fix your own car, and it does not pay your own medical bills.
How Texas checks that you're covered
Texas uses an insurance verification system called TexasSure. Police and county tax offices can use it to confirm a vehicle has active liability coverage, for example when you register a vehicle. If your policy lapses, the state can see it.
When the minimum is not enough
The minimum keeps you legal. It may not keep you protected. A few examples:
- Many newer cars and trucks cost more than $25,000 to replace. If you total one, the difference can come back to you.
- A serious injury can cost far more than $30,000 in medical bills.
- If you own a home or have savings, low limits can put them at risk after a bad accident.
Two coverages to think about before rejecting
Personal Injury Protection (PIP)
PIP helps pay medical bills and some lost income for you and your passengers, no matter who caused the accident. In Texas, insurers must offer it, and you have to reject it in writing if you don't want it.
Uninsured/Underinsured Motorist (UM/UIM)
UM/UIM protects you when the other driver has no insurance or not enough. Texas also requires it to be offered and rejected in writing. Given how many drivers on the road carry only the minimum, or nothing at all, it is worth a serious look.
What about your own car?
Collision and comprehensive coverage pay to repair or replace your own vehicle. If you have a loan or lease, your lender will usually require them. If your car is older and paid off, a licensed agent can help you weigh the cost against the car's value.
The bottom line
Buy the coverage that fits your life, not just the coverage the law requires. A good agent will show you the price difference between minimum limits and better protection in a couple of minutes.
This article is general information, not legal advice or a coverage recommendation. Talk to a licensed Texas agent about your situation.
Sources: Tarrant County Tax Office, liability insurance for vehicles.