Texas Personal Lines Law & Coverage Rules
This chapter covers the state-specific personal lines rules that sit on top of the shared national property & casualty fundamentals: who regulates insurance in the state, the minimum auto liability limits drivers must carry, how the state handles injury claims, and the notice rules that govern cancellation and nonrenewal. Figures below were checked against the state's official statutes and regulator this session where noted; always confirm current numbers with Texas Department of Insurance (TDI) before advising a client.
The State Insurance Regulator
Insurance in this state is regulated by the Texas Department of Insurance (TDI). The regulator licenses producers, reviews policy forms and rates, investigates complaints, and enforces the state insurance code. There is no federal insurance department - knowing that the state's own regulator oversees personal lines is a common exam point. Official site: https://www.tdi.texas.gov.
Minimum Auto Liability Limits
Texas requires minimum motor-vehicle liability limits of 30/60/25 - $30,000 bodily injury per person, $60,000 bodily injury per accident, and $25,000 property damage (Texas Department of Insurance consumer guidance). These are minimums; producers should recommend higher limits to better protect the insured. Texas insurers must also offer Personal Injury Protection (PIP), which the insured may reject in writing. Because required limits can change, verify the current figures with the regulator (https://www.tdi.texas.gov).
How the State Treats Fault
Texas is a traditional at-fault (tort) state, not a no-fault state: the driver who causes a crash is liable for the other party's injuries and property damage. Adequate liability limits and uninsured/underinsured motorist coverage are therefore important.
Cancellation and Nonrenewal
State law limits the reasons an insurer may cancel a personal auto or homeowners policy mid-term (for example nonpayment or material misrepresentation) and requires advance written notice of cancellation or nonrenewal. The exact number of days depends on the reason and line - verify the current notice periods with Texas Department of Insurance (TDI) (https://www.tdi.texas.gov) rather than memorizing a single number.