TX DMV Insurance and Financial Responsibility 3

Question 1

What is the minimum property damage liability coverage required in Texas?

Accepted Answer

$25,000

Answer

Texas requires a minimum of $25,000 in property damage liability coverage per accident.

Question 2

Under the Texas TexasSure program, what is verified when you register a vehicle?

Accepted Answer

Active liability insurance coverage

Answer

TexasSure is an electronic insurance verification program that confirms active liability insurance during vehicle registration.

Question 3

A Texas driver involved in an at-fault crash that causes $30,000 in property damage but only carries the minimum $25,000 coverage — who pays the $5,000 difference?

Accepted Answer

The at-fault driver is personally liable

Answer

When damages exceed your liability limits, you are personally responsible for the remaining amount.

Question 4

In Texas, uninsured/underinsured motorist (UM/UIM) coverage is:

Accepted Answer

Optional but must be offered by insurers

Answer

Texas law requires insurers to offer UM/UIM coverage, but drivers may reject it in writing.

Question 5

Which of the following is a valid way to satisfy Texas financial responsibility requirements WITHOUT buying an insurance policy?

Accepted Answer

Filing a $55,000 surety bond

Answer

A surety bond of $55,000 filed with the county judge is one acceptable alternative to auto insurance in Texas.

(TX DMV) Texas Department of Motor Vehicle Practice Test

(TX DMV) Texas Department of Motor Vehicle Practice Test

TX DMV Insurance and Financial Responsibility 3