Dallas, TX (WiredPRNews.com) Texas motorists shouldn’t let their auto insurance providers sell them more protection than they want against drivers with little or no coverage, according to state regulators.
In fact, consumers looking for cheap liability car insurance in Texas aren’t required by law to be covered at all for bodily injury or property damage caused by motorists who are uninsured or not insured at all.
In a bulletin issued this week, the Texas Department of Insurance reminded providers that those are two distinct types of coverage, and providers cannot legally make consumers pay for both if it they only want one.
Uninsured/underinsured motorist (UM/UIM) policies are a topic of concern in the Lone Star State, where about 22 percent of vehicles are unregistered, according to figures released in June by regulators.
The policies pay the expenses of consumers should they be involved in an accident caused by a driver whose liability limits are too low to cover injuries and damages or who has no coverage at all.
UM/UIM policies include:
–Bodily injury protection, which pays with no deductible for the policyholder’s medical bills, lost wages and other costs
–Property damage coverage, which covers a policyholder’s rental vehicle, mechanic’s bills and related expenses and includes an automatic $250 deductible
Under Texas law, insurers must offer both types of policy, and must also supply forms that allow consumers to opt for or out of either one or both. Motorists are not required to carry either form of coverage.
UM/UIM policies also may not go beyond the limits set by a consumer’s existing liability policy, according to the bulletin, which advised insurers to ensure that their business practices are in compliance with state law.
To read more about this and other Texas insurance issues, go to http://www.onlineautoinsurance.com/texas/how-to-get-cheap-liability-auto-insurance-in-texas.htm, where you will find informative resource pages and a free-to-use quote-comparison generator.