You’re involved in a car wreck. The other driver ran a red light, your vehicle is badly damaged, and you’ve sustained injuries. You’re relieved to know you have insurance, but as the days pass, you receive calls from adjusters, confusing paperwork, and a settlement offer that feels far too low. You wonder—am I being taken advantage of? And the answer is, probably.
Insurance companies are profit-driven businesses, not your advocates. They often work quickly to minimize payouts, especially when they know you don’t have legal representation. At Law Office of David J. Lopez PLLC, we help everyday people across Texas stand up to insurance giants. This article will explain how insurance coverage works in Texas and when it’s time to call a lawyer.
What You Need to Know About Insurance Coverage in Texas
Texas Is a “Fault” State for Auto Wrecks
In Texas, the person who causes a wreck is responsible for paying the damages. This means if another driver hits you, their insurance should cover your medical bills, car repairs, and other losses. However, getting that compensation is rarely straightforward. Their insurer may try to blame you, dispute your injuries, or offer a lowball settlement.
Minimum Liability Coverage is Often Not Enough
Texas law only requires drivers to carry 30/60/25 liability coverage:
- $30,000 for bodily injury per person
- $60,000 for bodily injury per wreck
- $25,000 for property damage
These limits can be quickly exhausted in a serious wreck. If you’re hurt and the other driver only has minimum coverage, you may need to use your own uninsured/underinsured motorist (UM/UIM) coverage—if you purchased it.
You May Have Coverage You Didn’t Know About
Texas insurers are required to offer UM/UIM coverage and personal injury protection (PIP), but you can reject these in writing. Many drivers don’t realize they have these policies until a lawyer reviews their file. These add-ons can help pay for lost wages, medical bills, and pain and suffering when the at-fault driver’s coverage falls short.
Insurance Investigations Are Not Neutral
After you file a claim for a car wreck, the insurance company will open an investigation. This process isn’t designed to uncover the full truth—it’s meant to protect their bottom line. Adjusters may record your statements, comb through your social media, or request documents they’re not entitled to—all to find reasons to deny or limit your claim.
When It’s Time to Lawyer Up…
When There’s an Injury or Wreck—Don’t Wait
The moment you’re involved in a wreck or suffer an injury, especially one involving another party’s negligence, you should contact a lawyer. The sooner you get legal representation, the better protected you’ll be from insurance tactics designed to minimize your claim. Early legal guidance helps preserve crucial evidence, prevents you from making statements that could harm your case, and ensures that your rights are protected from the outset.
When You’re Being Pressured to Give a Statement
If an adjuster calls and asks for a “quick chat,” remember that anything you say may be used to reduce or deny your claim. At Law Office of David J. Lopez PLLC in Austin, we can step in and handle all communications with the insurance company, so you don’t say something that could harm your case.
When the Settlement Offer Doesn’t Feel Right
You may receive a fast settlement offer with language like “final” or “best offer.” If you’re still undergoing treatment or unsure about the full impact of your injuries, it’s too soon to settle. Once you sign a release, you waive your right to future compensation. That’s when it’s critical to have a legal expert review your options.
When the Paperwork Is Confusing
Insurance documents—release forms, policy details, coverage exclusions—are intentionally complex. They’re written to favor the insurer. A lawyer can interpret what’s really being said and stop you from unknowingly waiving important rights. Don’t sign anything you don’t fully understand.
When Liability Is Being Disputed
Sometimes, the other party’s insurer may try to shift the blame to you. Texas follows a modified comparative fault rule—if you’re found to be more than 50% at fault, you lose your right to compensation. If liability is unclear or disputed, you absolutely need legal representation to protect your interests.
When You Suspect Bad Faith
Insurance companies in Texas are legally obligated to act in good faith. That means they must process claims fairly, avoid unnecessary delays, and honor valid claims. If they ignore your claim, delay payments without reason, or make baseless denials, they may be acting in bad faith. A lawyer can hold them accountable.
Insurance coverage in Texas can be complex, and insurance companies aren’t always (or ever) on your side. From confusing policies to unfair settlement tactics, it’s easy to feel unsure of what to do. But you don’t have to go at it alone. At the Law Office of David J. Lopez PLLC in Austin, we help Texans like you fight for the compensation they deserve after a wreck. Whether you’ve been injured, denied coverage, or pressured into signing away your rights, we’re here to stand up for you.
If you’re facing an uphill battle with an insurance company, it might be time to lawyer up. Contact The Law Office of David J. Lopez PLLC for a free consultation and experienced representation.