Texas auto insurance does cover DUI accidents in most situations, but which policy pays depends on who caused the crash. If a drunk driver hit you, their liability insurance is on the hook for your injuries and vehicle damage up to the policy limits. If you were the one driving drunk, your liability coverage still pays the other party’s losses, but getting your own car repaired through your own policy is where things get complicated.
If a Drunk Driver Hit You
Texas is an at-fault state. The driver who caused the crash is financially responsible for the other party’s losses, and every Texas driver is required to carry minimum liability coverage of $30,000 per person for bodily injury, $60,000 per accident for bodily injury, and $25,000 for property damage.1Texas Department of Insurance. Auto Insurance: A Guide for Consumers That coverage pays for the other driver’s medical bills, car repairs, lost wages, pain and suffering, and related costs.2Texas Law Help. Automobile Accident Insurance Coverage
Standard auto policies exclude damages caused “intentionally,” and some insurers try to use that clause to deny claims after a DUI crash. Texas courts, however, treat drunk driving collisions as accidents rather than intentional acts. An insurer would have to prove the driver deliberately intended to cause the collision to deny on those grounds.1Texas Department of Insurance. Auto Insurance: A Guide for Consumers In practice, the drunk driver’s liability policy almost always pays the injured party up to the policy limit.
Filing a Claim With the Drunk Driver’s Insurer
You can file a third-party claim directly with the at-fault driver’s insurance company. The Texas Department of Insurance recommends sending the insurer a copy of the police report and asking for a detailed written explanation if the claim is denied.3Texas Department of Insurance. How to Deal With the Other Driver’s Insurance
Common obstacles include the insurer disputing liability, arguing you shared fault, claiming the policy limits are lower than your damages, or simply dragging out the process. Because you have no contract with the other driver’s insurer, you have fewer leverage points than you would with your own company. If the claim stalls, you can file a complaint with the Texas Department of Insurance, use your own coverage in the meantime, or sue.
When the Drunk Driver’s Policy Isn’t Enough
Texas minimum liability limits are low, and drunk driving crashes tend to produce serious injuries. If the at-fault policy runs out before your bills do, several parts of your own policy can fill the gap.
Uninsured/Underinsured Motorist Coverage (UM/UIM). This pays for medical bills, car repairs, rental costs, pain and suffering, and diminished vehicle value when the at-fault driver has no insurance or not enough of it. Texas insurers must offer UM/UIM to every buyer, and you have to reject it in writing to go without. The standard deductible is $250, and coverage can be added in $5,000 increments.4Texas Department of Insurance. Uninsured Motorist Coverage One trap to avoid: get written permission from your own UM/UIM carrier before settling with the drunk driver’s insurer. Settling without that permission can forfeit your right to recover under UM/UIM.5My Texas Firm. Uninsured and Underinsured Motorists
Personal Injury Protection (PIP). PIP is no-fault coverage that pays regardless of who caused the crash. Texas insurers must include $2,500 per person in PIP unless the policyholder rejects it in writing. It covers reasonable medical and funeral expenses within three years of the accident and pays 80% of lost wages.6Office of Public Insurance Counsel. PIP vs MedPay Some policies may list driving under the influence as a PIP exclusion, so check your specific terms if you were driving.
Medical Payments Coverage (MedPay). Like PIP, MedPay pays regardless of fault and covers medical bills and funeral expenses. It does not cover lost wages, and it is subject to subrogation, so your insurer can later seek reimbursement from the at-fault party. MedPay is optional in Texas, with typical limits of $5,000 to $10,000.6Office of Public Insurance Counsel. PIP vs MedPay
Collision Coverage. If you carry collision, it pays to repair or replace your vehicle after any accident. You can use it and let your insurer pursue reimbursement from the drunk driver’s carrier through subrogation.3Texas Department of Insurance. How to Deal With the Other Driver’s Insurance
If You Were the Drunk Driver
Your liability coverage will almost always pay the other party’s injury and property damage claims, for the same reason it pays when you are the victim: Texas courts treat drunk driving crashes as accidents, not intentional acts.1Texas Department of Insurance. Auto Insurance: A Guide for Consumers
Your own vehicle is a different question. Liability does not cover your car; only collision does. Insurers sometimes look for grounds to deny collision claims tied to a DUI, pointing to policy clauses that exclude losses from criminal conduct or arguing that choosing to drink and drive turns the crash into an intentional act. Whether a particular insurer will pay depends on the policy language, so read your specific terms or ask your agent. Filing a collision claim after a DUI arrest is also a common trigger for cancellation or non-renewal, even if the claim gets paid.1Texas Department of Insurance. Auto Insurance: A Guide for Consumers
When Insurance Isn’t Enough: Lawsuits and Dram Shop Claims
If insurance proceeds don’t cover your losses, you can sue the drunk driver in civil court. This is separate from any criminal DWI prosecution, and you don’t need a criminal conviction to win. The civil standard is lower: you need to show it is more likely than not that the driver was negligent, not prove guilt beyond a reasonable doubt.7Crosley Law. Drunk and Impaired Driving: A Crash Victim’s Essential Guide You have two years from the date of the accident to file.
Texas also allows punitive damages (called “exemplary damages”) when the defendant acted with gross negligence or malice, and the jury must unanimously agree to the award under Texas Civil Practice and Remedies Code § 41.003. Exemplary damages are ordinarily capped at the greater of $200,000 or twice the economic damages plus up to $750,000 in non-economic damages, but § 41.008 lifts those caps entirely for conduct that qualifies as intoxication assault (Penal Code § 49.07) or intoxication manslaughter (Penal Code § 49.08).8Justia. Texas Civil Practice and Remedies Code § 41.008 Insurance policies generally do not cover punitive damages, so any such award comes from the driver’s personal assets.
One more detail about recovery: Texas uses a modified comparative fault system under Chapter 33 of the Civil Practice and Remedies Code. If a jury finds you 51% or more responsible for the crash, you recover nothing. If you are 50% or less at fault, your compensation is reduced by your share. A victim with $100,000 in damages found 20% responsible would receive $80,000.9Texas Bulldog Law. Texas Comparative Fault Guide Even when the other driver was intoxicated, defense lawyers often argue the victim was speeding, distracted, or failed to keep a proper lookout to reduce the payout.
Dram Shop Claims Against Bars and Restaurants
Under the Texas Alcoholic Beverage Code, a bar, restaurant, or other licensed alcohol seller can be held liable if it served alcohol to a patron who was “obviously intoxicated to the extent that he presented a clear danger to himself and others,” and that intoxication was a proximate cause of the crash.101-800 Lion Law. Dram Shop Law A blood alcohol level above 0.08% is not enough on its own; you have to show the establishment kept serving someone who was visibly impaired.
Establishments have a “safe harbor” defense. If employees completed an approved Texas Alcoholic Beverage Commission seller training course, the serving employee held a TABC certification, and the business did not encourage employees to violate the law, the establishment may avoid liability.101-800 Lion Law. Dram Shop Law Texas does not require sellers to carry dram shop insurance, so recovery can be difficult if the business is uninsured.11Hope Causey Law. Dram Shop Social hosts face narrower liability: they can be held responsible only if they knowingly provided alcohol to a minor and the minor’s intoxication caused the crash.
What a DWI Does to Your Insurance Going Forward
A DWI conviction has lasting effects on your coverage. Premiums typically rise 50% to 100%, with some estimates putting the average annual increase at around $649. Monthly liability-only coverage after a DUI averages about $153, compared to roughly $110 for a clean-record driver, and full-coverage policies average about $286 per month.12Insurify. Car Insurance After DUI in Texas
Most insurers apply the higher rates for three to five years, some for up to ten, and Texas has a lifetime lookback that lets companies see the conviction on your driving record indefinitely.12Insurify. Car Insurance After DUI in Texas
SR-22 Filing
After a DWI conviction, Texas requires you to file an SR-22, a Financial Responsibility Insurance Certificate. Your insurance company files it with the Department of Public Safety to confirm you carry at least the state minimum liability. You have to keep the SR-22 in place for two years from the date of conviction, and if the policy lapses, the insurer must notify DPS, which will suspend your license.13Texas Department of Public Safety. Financial Responsibility Insurance Certificate (SR-22)
Reinstating a suspended license requires submitting a valid SR-22 and paying a $100 reinstatement fee. If you don’t own a vehicle, you can get a Non-Owner SR-22 policy. Letting the SR-22 lapse can bring further suspension, vehicle registration problems, and criminal penalties ranging from a $500 fine for a first violation to $2,000 for later ones.13Texas Department of Public Safety. Financial Responsibility Insurance Certificate (SR-22)
If No Standard Insurer Will Take You
Drivers shut out of the open market after a DWI can turn to the Texas Automobile Insurance Plan Association (TAIPA), the state’s residual market. To qualify, you must be a Texas resident with a valid license and certify that two insurance companies have rejected you within the past 60 days.14ValuePenguin. Texas High Risk Auto Insurance Plan
TAIPA policies provide only state-minimum coverage, with no option for higher liability limits or for comprehensive and collision. Once assigned to an insurer through the pool, you keep coverage for three consecutive years at the same rates. All licensed Texas auto insurers must participate and accept their proportional share.15TAIPA. Texas Automobile Insurance Plan Association The volume is small, with TAIPA receiving just 1,381 new applications in 2021, which suggests most high-risk drivers still find coverage through private insurers at higher premiums.14ValuePenguin. Texas High Risk Auto Insurance Plan