Texas Motor Vehicle Accident Rules & Regulations

Insurance System & Requirements

System type: Texas is an at-fault state, meaning the driver responsible for causing an accident is legally liable for the resulting damages. This system requires accident victims to pursue compensation directly from the at-fault driver’s insurance or through legal action if necessary.

Minimum liability requirements: Liability insurance in Texas is designed to cover costs for the other driver’s damages and medical expenses if you are at fault in an accident. State law mandates the following minimum coverage, commonly referred to as 30/60/25 coverage:

• $30,000 for bodily injury per person per accident
• $60,000 for bodily injury for all persons involved in a single accident
• $25,000 for property damage per accident

Optional coverages: Drivers in Texas can increase their financial protection by adding optional insurance coverages, such as:

• Collision coverage: Pays for repairs or replacement of your vehicle after an accident, regardless of fault
• Comprehensive coverage: Covers non-collision-related damages to your car, including theft, fire, flood, and vandalism

Personal Injury Protection (PIP): In Texas, insurance companies must offer PIP, but you can opt-out by rejecting it in writing. This coverage kicks in to help with a minimum of $2,500 per person for medical bills, 80% of lost wages, and essential services like childcare. It extends to you, your family, authorized drivers, and passengers. However, the expenses must be reasonable and incurred within three years of the accident.

Medical Payments (MedPay): MedPay is optional in Texas, allowing you to add it to your policy if you want extra coverage. It focuses on medical and funeral expenses related to an accident, usually for costs within a year of the incident. Unlike PIP, MedPay doesn’t include lost wages or household services. Instead, it’s a great option for covering deductibles and co-pays from your health insurance. 

Uninsured and Underinsured Motorist Coverage (UM/UIM): Uninsured/Underinsured Motorist (UM/UIM) coverage offers crucial protection when an at-fault driver lacks sufficient insurance to cover the damages. Texas law requires insurers to offer this coverage, which policyholders must decline in writing if they choose not to include. 

• Uninsured motorist coverage: Protects against accidents caused by drivers without insurance
• Underinsured motorist coverage: Covers expenses where the at-fault driver’s insurance limits are inadequate to compensate for the damages fully

Non-compliance penalties: Texas enforces strict compliance with its financial responsibility laws under Chapter 601 of the Transportation Code. All drivers must prove they are insured or otherwise financially prepared to cover damages in the event of an accident.

• Proof of financial responsibility: Drivers must establish proof of financial responsibility through one of the following methods: holding a valid insurance policy, depositing $55,000 in cash or approved securities with the comptroller, depositing $55,000 in cash or a cashier's check with the county judge, or obtaining a certificate of self-insurance if they have 25 or more vehicles registered in their name
• First offense: For a first offense, fines range from $175 to $350
• Subsequent offenses: If the driver has been previously convicted of this offense, the fines increase to a minimum of $350 and a maximum of $1,000
• Vehicle impoundment: Vehicles driven without valid proof of financial responsibility may be impounded for up to 180 days and can only be released when valid insurance is provided, and all towing, storage, and fines are paid
• If a court determines that a driver is economically unable to pay the fine, it may reduce the fine to below $175
• Drivers who receive notice of suspension must return their license and vehicle registration to the Department of Motor Vehicles within ten days, as failure to comply can result in additional fines of up to $200

Rideshare insurance requirements: Texas drivers must maintain coverage that aligns with state laws and company policies. Standard personal auto insurance policies typically do not cover rideshare activities, so drivers need additional coverage to avoid gaps: 

• Logged into the app but not transporting passengers: When the app is on, but no ride has been accepted, drivers must have liability coverage of at least:
  • $50,000 per person for bodily injury
  • $100,000 per accident for bodily injury
  • $25,000 for property damage
• Ride accepted, or passenger is onboard: Once a ride is accepted or a passenger is in the car, higher coverage applies:
  • $1 million in liability coverage
  • Uninsured/underinsured motorist and personal injury protection (PIP) coverage as required by law

Fault & Negligence Laws

Modified comparative negligence

Under Texas law, the court or jury determines the percentage of responsibility for each party involved in causing the accident. This includes plaintiffs, defendants, and third parties. For instance:

• If a claimant is found 30% responsible, they can recover 70% of the total damages
• If a claimant is 51% or more at fault, they are ineligible for compensation

This rule ensures accountability while still allowing partially at-fault individuals to seek recovery for their losses.

Multi-vehicle collisions

In accidents involving multiple vehicles, the fault is distributed among all parties found to have contributed to the incident. The legal framework allows the court to assign percentages of responsibility to each driver and any responsible third parties. Each defendant is liable only for the proportion of damages that aligns with their percentage of fault unless specific exceptions, like joint and several liability, apply.

Passenger rights

Passengers injured in car accidents have the right to seek compensation from the at-fault party, whether it is the driver of their vehicle, another driver, or both. Texas law protects passengers’ claims, and fault is not assigned unless evidence suggests they contributed to the accident (e.g., by distracting the driver). Passengers on the driver's insurance policy can also benefit from PIP coverage for medical costs and lost wages.

Statute of Limitations

You must file a lawsuit two years from the incident date for most personal injury cases, including car accidents. If the accident resulted in someone’s death, the two-year period begins on the date of their passing. 

If the injured person is under 18 or legally incapacitated when the accident happens, the clock on the statute of limitations pauses until they turn 18 or regain capacity. However, disabilities that arise later won’t extend the timeline, and you can’t combine multiple disabilities to gain extra time.

Moreover, if the person who caused the accident temporarily leaves Texas, the statute of limitations pauses during their absence, giving you extra time to file.

Claims against the government: The rules are stricter if the accident involved a government vehicle or occurred on government property. You must notify the government agency involved within six months of the incident, or else you might miss out on any compensation.

Procedures for MVAs & Police Involvement

When to report an accident

If you’re involved in a vehicle collision in Texas, the law requires you to report the accident immediately if it involves any of the following:

• Injury or death of any person
• Vehicle damage is significant enough that the vehicle cannot be safely driven

Filing a report

If you're involved in a car accident in Texas, filing a report with local law enforcement agencies is essential, regardless of the circumstances. However, a police officer is required to investigate and file a report if:

• The accident involves injury or death
• Property damage appears to be $1,000 or more

Law enforcement will investigate the collision and may file charges, even if the incident occurred on private property.

As of September 1, 2017, Texas no longer accepts driver-submitted crash reports (CR-2). The responsibility for filing lies with the investigating officer when applicable.

When an officer responds to and investigates an accident meeting the criteria above, they will complete a Peace Officer’s Crash Report (C-3). This official report documents the details of the accident, including:

• The parties involved
• The apparent causes of the collision
• Any citations or charges issued

How to access accident reports

Online access: To obtain a Texas Peace Officer’s Crash Report (CR-3), you can use the Crash Report Online Purchase System. Once the purchase is complete, the report will be emailed to you. Online transactions include a small surcharge, with regular copies priced at $6 and certified copies, often required for legal proceedings, available for $8.

In-person: Visit the local law enforcement agency where the accident was reported.

By mail: You can complete the CR-91 request form and send it with payment to the following address:

Crash Data and Analysis
Texas Department of Transportation
P.O. Box 12879, Austin, TX 78711

Mail requests may take up to 30 days to process. However, effective January 1, 2025, the CR-91 form will no longer be required for subpoenas and affidavits. Instead, you must file another request using their online system. 

Types of Compensation Available & Limits

Individuals injured in accidents may pursue compensation for damages under specific legal guidelines. Here's a breakdown of the types of compensation available and their limits:

Economic damages: These compensate for actual financial losses, including medical expenses (past and future), lost wages and diminished earning capacity, property damage, and future loss of earnings such as long-term income or inheritance.

Non-economic damages: These address intangible losses like physical pain and suffering, emotional distress, loss of companionship, consortium, or enjoyment of life, and disfigurement or physical impairment.

Caps: The state of Texas does not place a cap on economic or non-economic damages in car accident cases

Exemplary damages: Also known as punitive damages, these are not compensatory but serve to punish the defendant for gross negligence, fraud, or malice. They require clear and convincing evidence and are subject to strict legal caps.

Caps: For exemplary damages, the maximum award cannot exceed two times the amount of economic damages plus an additional $750,000 in non-economic damages, or $200,000, whichever is greater

Claims against the government: Under Section 101.023 of the Texas Civil Practice and Remedies Code, limitations on the liability of governmental entities are as follows: 

• State government: Liability for bodily injury or death is capped at $250,000 per person and $500,000 per single occurrence. For property damage, the limit is $100,000 per single occurrence
• Local government units: Except for municipalities, local governments are liable for a maximum of $100,000 per person and $300,000 per single occurrence for bodily injury or death, with an additional $100,000 cap for property damage per single occurrence
• Municipalities: Similar to the state government, municipalities have a liability limit of $250,000 per person and $500,000 per single occurrence for bodily injury or death. Property damage liability is capped at $100,000 per single occurrence
• Emergency service organizations: Liability for emergency service organizations is limited to $100,000 per person and $300,000 per single occurrence for bodily injury or death, along with a $100,000 cap for property damage per single occurrence

Medical Payments & Health Coverage

Health insurance: If you have health insurance, it can cover accident-related medical bills. However, you may still be responsible for deductibles, co-pays, or expenses not covered under your plan. Additionally, your insurer may seek reimbursement from any settlement you receive through a process known as subrogation.

At-fault driver’s insurance: If another driver is at fault for the accident, their liability insurance may cover your medical expenses up to the policy's limits. This is typically pursued through a settlement or legal claim.

UM/UIM coverage: If the at-fault driver is uninsured or does not have sufficient coverage, you can use your UM or UIM coverage to pay for medical bills, provided your policy limits cover the amount. 

Out-of-pocket payments: Victims may have to cover uninsured or underinsured expenses themselves and then pursue reimbursement through their insurance or a personal injury claim.

MedPay: An optional auto insurance add-on that pays for reasonable accident-related medical and funeral expenses, regardless of fault. It can cover hospital bills, doctor visits, ambulance fees, and out-of-pocket costs like deductibles and co-pays not handled by health insurance. 

PIP coverage: With a minimum of $2,500 per person for medical bills, 80% of lost wages, and essential services, PIP can cover immediate and ongoing healthcare needs after an accident. Your insurance company mandatorily offers this coverage unless you refuse it in writing. 

Medical liens: Some healthcare providers may treat you on a lien basis, providing services upfront in exchange for payment from your eventual settlement. This allows you to access care even if you can’t pay immediately.

Unique Local Considerations

Texas presents diverse challenges for drivers due to its vast geography, varying weather conditions, and cultural influences. These factors significantly affect driving conditions and accident risks across the state.

Weather and road conditions:

Texas’ diverse climate poses numerous weather-related driving challenges, impacting road safety across the state.

• Hurricanes: During hurricane season, evacuation orders often lead to panic and heavily congested roads, increasing the likelihood of accidents. Sudden changes in weather, like heavy rain or strong winds, can further complicate driving conditions
• Snow and ice: While rare, icy roads and snowfall in northern Texas or during winter storms create hazardous conditions. Many drivers, unaccustomed to navigating these challenges, face increased risks of accidents
• Flash floods: Flooded roadways and low-water crossings during heavy rains can lead to hydroplaning and serious accidents. In Texas, driving around barriers at flooded crossings is prohibited, with penalties including fines of up to $2,000 and/or up to 180 days in jail
• Tornadoes: Tornado-prone areas of Texas experience sudden, extreme weather changes that can cause accidents. Reduced visibility, flying debris, and unexpected road closures can make driving treacherous during such events
• Wildfires: As part of the Sun Belt, Texas often experiences extended periods of sunny, dry weather. When combined with strong winds, wildfires can ignite, leading to road closures and dangerous conditions for travelers. Evacuations or poor air quality during wildfires can also contribute to accidents

Traffic hazards and wildlife:

Texas’ vast network of highways and rural roads presents unique risks.

High-speed highways: Interstates such as I-35, I-10, and I-20 are heavily trafficked, increasing the likelihood of high-speed collisions, particularly during rush hours
Wildlife crossings: Rural and suburban areas face risks from deer and feral hogs, particularly at dawn and dusk, which can lead to potential accidents and severe vehicle damage
Congestion in urban centers: Cities like Houston, Dallas, and Austin experience significant traffic congestion, contributing to rear-end collisions and fender benders

Tourism and events:

Texas attracts visitors year-round for its festivals, scenic drives, and cultural events, which can increase traffic and accident risks.

Spring wildflower season: Highways like I-35, adorned with Texas bluebonnets, and I-45, known for Texas paintbrush, draw crowds in spring, often leading to increased roadside traffic
Music and cultural festivals: SXSW in Austin and the State Fair of Texas in Dallas bring large crowds, creating congestion and parking challenges, increasing the likelihood of parking lot hit-and-runs 
Sporting events: Major games in cities like Arlington and Houston result in heavy traffic near stadiums and increased accident risks

Texans can use DriveTexas, a website offering 24-hour accurate road condition updates, verified by TxDOT employees and contractors, covering Interstates, U.S. Highways, State Highways, and Farm-to-Market (FM) and Ranch-to-Market (RM) roads.

Local Resources & Contacts

Texas Department of Transportation (TxDOT): https://www.txdot.gov/

Texas Department of Insurance (TDI): https://www.tdi.texas.gov/

Texas Department of Motor Vehicles (TxDMV): https://www.txdmv.gov/

Texas Department of Public Safety (DPS): https://www.dps.texas.gov/

Texas Highway Patrol (THP): https://www.dps.texas.gov/section/highway-patrol