What All Drivers Need To Know About Auto Insurance In Austin, TX

by | Jul 14, 2017 | Insurance

In Texas, drivers must follow all steps to maintain compliance with federal insurance mandates. The current federal mandate applies to auto liability coverage for all vehicles registered in the state. The mandate is enforced to lower the risk of a lawsuit after an auto accident. Local insurance agents can help drivers review Auto Insurance in Austin TX to become compliant with the law.

When is Proof of Insurance Required?

Proof of insurance coverage is required at any time that law enforcement stops the driver. This includes traffic stops and common checkpoints. The driver must also provide proof of insurance when registering any new vehicles. The Department of Motor Vehicles also needs proof of insurance when the owner renews their auto tag.

Who can Impose Penalties?

The city or county in which the auto owner lives can impose penalties if the owner doesn’t have auto liability coverage. The penalties are imposed via the court and after the driver receives a citation. The DMV can impose penalties based on outdated insurance coverage records. They send a notice to the driver to update coverage. If the owner fails to provide new proof of insurance, the penalties are applied to their DMV record. The auto owner will be required to pay the penalty before registering a new vehicle or renewing their tag.

Are There Any Further Actions That Can be Taken?

Yes, if the driver has been convicted of driving without auto liability coverage previously, a driver’s license suspension is possible. The county could also impound their vehicle and suspend their registration for their vehicle. In some extreme cases, the driver could incur a jail sentence based on the total number of previous convictions.

Why is SR-22 Required?

SR-22 certificates are required if the driver has failed to comply with auto insurance laws. They are also required if the driver was convicted of a DUI. The certificate indicates that the driver purchased auto liability coverage.

In Texas, all drivers must follow auto insurance laws or face penalties. They can acquire adequate coverage through local insurance providers to avoid the penalties. Drivers who want to learn more about Auto Insurance in Austin TX can contact Patrick Court today.

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