Car insurance is now required throughout the United States, but the minimum requirements vary from one state to another. When you shop for insurance, the quotes you receive are based on your state of residence. If you move to another state, such as Texas, the minimum requirements may be lower or higher than what you currently have.
In Texas, car insurance must meet or exceed three amounts. Each amount is based on a particular type of liability insurance, injuries for a single person, all combined injuries, and property damage coverage. In Texas, those amounts are:
Bodily Injury: $30,000 per person, per accident
Bodily Injury: $60,000 for all injuries in a single accident
Property Damage: $25,000 for all property damages in a single accident
This means that you are covered for up to $30K for each person's injuries, with a maximum bodily injury claim of $60K for a single accident. You are also covered for up to $25K in property damages, across all damages in the incident. If the claims against you go above those limits, you are responsible for paying the remainder of the costs out of pocket.
It may seem like thirty thousand dollars is a lot of money for injuries, but medical care is expensive, and a serious accident could leave several people with high cost injuries and hospital stays. Your minimum insurance could be exhausted very quickly, and most insurance experts will advise you to purchase additional liability coverage.
Property damage can be looked at from a similar perspective. It wouldn't cost but a fraction of the minimum coverage, for instance, if you are only responsible for damaging a mailbox, but it you are found to be at fault for damaging multiple cars, or even if you total out a single luxury vehicle, the coverage would be exhausted quickly and could lead to severe personal financial problems. Increasing the amount of coverage is the best defense against such costs.