Stage 2 of 7: Coverage
- 1Report
- 2Coverage
- 3Records
- 4Demand
- 5Negotiation
- 6Lawsuit
- 7Release
Being hit by a driver with no insurance, or not enough, feels like a dead end. Often it is not, because your own policy may step in. Here is how an uninsured driver claim in Houston works under Texas law.
This article is written by the Houston office of LAWBOSS – Harris, Nelsen & Uvalle, PLLC. Jonathan Harris, Board Certified, Personal Injury Trial Law – Texas Board of Legal Specialization, is the attorney responsible for this site and practices primarily from our Houston office.
UM and UIM: two kinds of protection on your own policy
Uninsured motorist (UM) coverage pays when the at-fault driver has no liability insurance. Underinsured motorist (UIM) coverage pays when the at-fault driver has some insurance but not enough to cover your losses. Texas treats them together: Insurance Code section 1952.101 requires the coverage in every auto policy issued in Texas unless a named insured rejects it in writing.
Unless someone on your policy signed a written rejection, you probably have UM and UIM coverage.
If you are not sure, ask your agent or insurer for a copy of the declarations page and any signed rejection form. We ask for both at the start of every claim like this.
Why underinsured claims are common
Texas only requires liability coverage of $30,000 for injury to one person, $60,000 for two or more people and $25,000 for property damage in each crash (Transportation Code section 601.072). Many drivers buy exactly that. Those figures are minimums in the statute, not a guide to any claim’s value, but when injuries are serious the at-fault driver’s policy can be used up quickly, and UIM coverage is what remains.
Hit-and-run wrecks
A driver who leaves the scene does not end your claim. Texas requires a driver in a crash with injuries to stop, check on the people hurt and stay to give information, and leaving is a felony when someone is killed or seriously injured (Transportation Code section 550.021). Report a hit-and-run to the police at once (section 550.026), get the report number, and tell your insurer promptly. When the driver is never identified, UM coverage is often the claim that remains, subject to your policy terms.
Your own insurer becomes the other side
This is the part that surprises people. In a UM or UIM claim, you are asking your own insurance company to pay for what another driver did. It can and often does raise the same arguments that driver’s insurer would raise: that you were partly to blame, that your treatment went on too long or that an injury came from something else.
The fault rule still applies to your own insurer’s review: a share of 50 percent or less leaves the claim open, and that share comes off the recovery (Civil Practice and Remedies Code sections 33.001 and 33.012). Expect questions about speed, lanes and phone use. Texas makes reading, writing or sending a message on a portable device while the car is moving an offense (Transportation Code section 545.4251), and insurers check for it.
Five of the seven attorneys at our firm came from the insurance side, including Jonathan Harris, who spent more than a decade as a senior trial attorney for a major auto insurer, and Ian Nelsen, a former adjuster. We know how a UM file is reviewed from inside the company, and we prepare the claim with that review in mind.
Other coverage that may pay first
Personal injury protection (PIP) is also part of every Texas policy unless rejected in writing (Insurance Code section 1952.152). It pays regardless of fault (section 1952.155) and must be paid within 30 days of satisfactory proof (section 1952.156). PIP often covers early medical bills and lost pay while the UM or UIM claim is built.
How the claim moves
A UM or UIM claim moves through the same stages as any car wreck claim: Report, Coverage, Records, Demand, Negotiation, Lawsuit if needed, and Release. Our guide on how to file a car accident claim covers each stage, and our page on the car wreck settlement in Houston process explains how an offer is reached. In a UIM claim the at-fault driver’s policy is usually dealt with first, so the order of the paperwork matters.
A lawsuit over a wreck generally has to be filed within two years (Civil Practice and Remedies Code section 16.003); our car accident claims attorney in Houston team can tell you how that applies to a UM or UIM claim in your situation.
No Fees or Costs Unless We Win
The firm carries the case costs while the claim is open. You owe no attorney’s fee and do not reimburse those costs unless money is recovered for you.
Hit by a driver with no insurance? Call our Houston office or start a free claim review.
Questions about this stage
Will a UM claim raise my premium?
We cannot speak for any insurer’s pricing. Texas law does give you the coverage unless it was rejected in writing, and it exists for exactly this kind of wreck.
Do I need the other driver’s name for a UM claim?
Not always. In a hit-and-run, report the wreck to the police promptly and tell your insurer, then follow your policy’s terms for an unidentified driver.
Can I use PIP and UM on the same wreck?
Often both apply. PIP pays early bills regardless of fault, and the UM or UIM claim covers the losses the at-fault driver should have paid.