People who drive vehicles in Texas are responsible for the damage they cause to others while behind the wheel. The privilege of driving comes with the responsibility of showing proof of insurance to pay for any damages in a crash. Most drivers satisfy financial responsibility requirements by purchasing auto insurance.
However, many drivers in the Lone Star State are willing to risk the legal consequences of being an uninsured driver. So, what happens in a car accident without insurance? The consequences can be fairly bad for the uninsured driver who is injured and doesn’t have any fault.
Auto Insurance Requirements in Texas
Texas only requires drivers to carry minimum limits of liability insurance. All other coverage is optional. The minimum limits required by the state are:
- $30,000 per person
- $60,000 per accident
- $25,000 property damage
The Texas Department of Insurance (TDI) encourages drivers to think about purchasing higher limits. The current liability limits became a requirement in 2011 and are not adjusted for inflation. Accident costs can add up quickly, and if insurance policy limits are inadequate to cover all of the damages, personal assets can be at risk.
Optional Auto Coverage in Texas
Two optional coverages can be especially beneficial when injuries result from collisions with uninsured motorists. By law, both of the following options must be offered with every auto insurance quote, and drivers must opt out of them in writing.
- Personal Injury Protection - Personal injury protection (PIP) pays medical costs for the insured driver and passengers. It can also cover non-medical costs such as lost wages. This is a first-party coverage that pays without regard to fault.
- Uninsured/Underinsured Motorist - Uninsured or underinsured motorist coverage provides first-party coverage when an accident is caused by a hit-and-run driver or by another motorist who does not have adequate insurance to pay for the damage.
According to the Texas Department of Motor Vehicles (TxDMV), approximately 20% of the state’s more than 23 million licensed drivers are uninsured. Having additional coverage helps you avoid high out-of-pocket costs if the other driver has no or too little insurance.
Penalties for Driving Without Auto Insurance
The criminal penalties for driving without insurance increase as a motorist continues to avoid getting coverage. The first two times a driver is charged, the offenses are misdemeanors and punishable by fines. However, after the second offense, their driver’s license is suspended unless they file proof of insurance with TxDMV for the two years following the second offense.
What Happens When an Uninsured Motorist Causes an Accident
The Insurance Information Institute (III) estimates nearly 14% of Texas drivers do not have auto insurance. If one of those drivers happens to cause an accident, they may not have the means to pay for the resulting damage. This can be a big problem for those who are injured.
Those injured by an uninsured motorist have one less resource available to compensate them for their losses. If they purchased uninsured motorist coverage, they may make a claim to their insurance company. Yet, if they want to try to get compensation from the uninsured driver, they must file a personal injury lawsuit directly against the driver.
If you are an uninsured motorist who has some fault for an accident and is also injured, you may still be partially compensated for the injuries. In Texas, a person can be as much as 50% liable for causing an accident in which they were injured and still recover for their damages less an amount equal to the percentage of fault attributed to them.
What Happens When an Uninsured Driver Is Injured in an Accident
The fact that a person is driving without insurance is a matter separate from the right to recover compensation for injuries inflicted by someone else. It cannot be used against the injured driver to diminish a personal injury claim. The primary concern before filing a claim is whether the uninsured driver has the resources to pay it.
An injured driver who is uninsured may not have any medical coverage immediately available and may need to wait to collect compensation from an at-fault driver’s insurance company. If the at-fault driver is also uninsured, a lawsuit must be filed to seek compensation from the driver.
Before filing a lawsuit, your attorney can help you examine whether a driver who was apparently unable to afford the cost of auto insurance would have sufficient assets to justify a lawsuit. Lawsuits can be expensive and lengthy without guaranteed results. In addition to the fine for driving without insurance, an uninsured driver who is injured in an accident may end up paying out of pocket for their damages even though they were not at fault.
Can the Crime Victims’ Compensation Program Help Persons Injured by Uninsured Motorists?
The Crime Victims' Compensation Program (CVC) is designed to provide financial assistance to injured persons who are victims of violent crime and who have exhausted all other available means of recovery. Although driving without insurance is a crime, it is not the type of violent behavior the program seeks to provide relief from.
Persons injured in accidents with uninsured drivers are generally not eligible for relief from the CVC unless the uninsured driver leaves the scene. Hit-and-run is a crime covered by CVC. Eligible persons may receive up to $50,000 to pay for medical expenses, lost earnings, dependent care costs, and travel costs.
How to Proceed When You Learn the Driver Who Hit You Is Uninsured
You’re headed home from work in stop-and-go traffic. Just as things get rolling, you come around the corner to a sea of taillights, and even though you are able to stop in time, the driver behind you slams into the back of your car. You pull over and get out to exchange information and discover the other driver has no insurance.
The person without insurance knows they are in trouble, and they may try to leave or talk you out of calling the police. Instead, you should call 911 and request a copy of the police report, which can be especially helpful when the other driver has no insurance.
Steps you should take after every accident, especially when the driver doesn’t have insurance, include:
- Gather as much identifying information about the other driver as possible.
- Take pictures of the driver’s license, the driver, his vehicle, and anything else that has to do with road conditions or why the accident occurred.
- As soon as practicable, write down everything you can remember about the accident.
- Get a medical evaluation within 72 hours.
- Contact your insurance company to report the accident.
Why You Want Legal Advice When in an Accident with an Uninsured Driver
When you get into an accident with an uninsured driver, getting compensation for your injuries is very likely going to be more difficult and require a thorough investigation into all available sources of recovery. An experienced car accident attorney can evaluate all viable options and advise on the best course of action under the circumstances.
Personal injury law firm Farah Law has over 50 years of experience handling car accident cases, including accidents involving uninsured drivers. If you have been injured in a car accident in the greater Houston area, El Paso, or Las Cruces, New Mexico, schedule a free consultation and allow Farah Law to earn your trust.
