Can you buy a used car from a dealer in Texas without proof of liability insurance?

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Asked February 10, 2011

1 Answer


In Texas, it is a legal requirement to have liability insurance coverage to operate a motor vehicle on public roads. As such, if you want to buy a used car from a dealer in Texas, you will need to provide proof of liability insurance before you can take possession of the vehicle. When you purchase a used car from a dealer in Texas, the dealer is required to submit the necessary paperwork to the Texas Department of Motor Vehicles (DMV) to transfer ownership of the vehicle. As part of this process, you will need to provide proof of liability insurance to the dealer. The minimum liability insurance requirements in Texas are:

  • $30,000 for bodily injury or death per person
  • $60,000 for bodily injury or death per accident
  • $25,000 for property damage per accident
You can obtain liability insurance from an insurance company or agent licensed to do business in Texas. You will need to provide your personal information, such as your name, address, and driver's license number, as well as information about the car you are purchasing, such as the make, model, and VIN number. Once you have obtained liability insurance, you can provide proof of insurance to the dealer and complete the necessary paperwork to transfer ownership of the vehicle. The dealer may also offer additional insurance options, such as gap insurance or extended warranties, but these are optional and not required by law. In summary, you cannot buy a used car from a dealer in Texas without proof of liability insurance. It is a legal requirement to have liability insurance to operate a motor vehicle on public roads in Texas, and you will need to provide proof of insurance to the dealer before you can take possession of the vehicle.

Answered February 10, 2011 by Anonymous

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