Liability car insurance: what it covers and how much you need
A-MAX Editorial Team
Reviewed by Jayson Cheves, Licensed Insurance Agent
Short answer
Liability car insurance pays for injuries and property damage you cause to other people in an accident. It is the coverage every driver in Texas, California and Arizona must carry by law. It does not pay to fix your own car or treat your own injuries, so many drivers add other coverage on top.
Liability is the base of every auto policy. At A-MAX, we explain what your limits mean in plain language and help you pick limits that fit your situation, not just the cheapest number on the screen.
1. What does liability car insurance cover?
Liability coverage has two parts. Both pay other people when you are at fault, up to the limits on your policy.
Bodily injury liability pays for the other people's medical bills, lost wages and pain and suffering.
Property damage liability pays to repair or replace what you hit, such as another car, a fence or a building.
Your policy also pays for your legal defense if someone sues you over a covered accident.
2. What does liability insurance not cover?
Liability only pays for damage you cause to others. It does not pay for:
Repairs to your own car after a crash. That is <a href="/knowledge-center/auto/collision-insurance">collision coverage</a>.
Theft, hail, flooding or vandalism. That is <a href="/knowledge-center/auto/comprehensive-car-insurance">comprehensive coverage</a>.
Your injuries when the other driver has no insurance. That is <a href="/knowledge-center/auto/uninsured-motorist-coverage">uninsured motorist coverage</a>.
3. What are the minimum liability limits in Texas, California and Arizona?
Limits are written as three numbers. The first two are for injuries (per person and per accident). The third is for property damage.
| STATE | MINIMUM LIABILITY | WHAT THE NUMBERS MEAN |
|---|---|---|
| Texas | 30/60/25 | $30,000 per injured person, $60,000 per accident for injuries, $25,000 for property damage |
| California | 30/60/15 | $30,000 per injured person, $60,000 per accident for injuries, $15,000 for property damage (since Jan 2025) |
| Arizona | 25/50/15 | $25,000 per injured person, $50,000 per accident for injuries, $15,000 for property damage |
If the damage you cause is more than your limits, you can be personally responsible for the difference. For each state's rules, see our Texas, California and Arizona pages.
4. Is liability only enough for you?
Liability only can make sense when:
Your car is paid off and you could afford to repair or replace it yourself.
Your car's value is low compared with the cost of adding collision and comprehensive.
You need to get legal on the road quickly and plan to add coverage later.
If your car is financed or leased, your lender will almost always require full coverage. If you own a home or have savings, higher limits help protect them in a serious accident.
5. How does A-MAX help you choose liability limits?
We shop multiple insurance companies and show you minimum limits and higher limits side by side, so you can see the price difference before you decide. We help drivers with tickets, accidents, SR-22 requirements and gaps in coverage every day. No judgment. We shop. You choose.
The bottom line
Liability car insurance is the coverage the law requires, and it protects other people from the cost of an accident you cause. It does not protect your own car. Know your limits, and decide whether minimums are enough for what you have to protect. See our liability-only auto insurance page for coverage options.
Ready to check your limits? Get a quote, find an office or call 1-800-921-AMAX.
Related A-MAX guides
Sources
- Texas Department of Insurance. Auto insurance consumer information. tdi.texas.gov
- Texas Department of Public Safety. Financial responsibility and minimum liability limits. dps.texas.gov
- California DMV. Vehicle insurance requirements and minimum limits (SB 1107, effective Jan 2025). dmv.ca.gov
- Arizona Department of Transportation. Vehicle insurance requirements. azdot.gov
About A-MAX Insurance
A-MAX Insurance has helped drivers find auto coverage for more than 20 years, with 240+ offices across Texas, California and Arizona.
We specialize in non-standard auto coverage: drivers with tickets, at-fault accidents, SR-22 requirements, gaps in coverage, no current license, or a record that doesn't fit the standard market. More than 3 million drivers have trusted us. We shop. You choose. Hablamos español.
This article is general guidance based on Texas, California and Arizona insurance rules. Coverage rules vary by state, carrier and individual situation. For advice specific to your policy, call 1-800-921-AMAX or visit an A-MAX office.
About this page
Written by the A-MAX Editorial Team. Reviewed by Jayson Cheves, Licensed Insurance Agent. We review and update it as state rules and carrier availability change.
Last updated October 29, 2026
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FREQUENTLY ASKED QUESTIONS
It pays for injuries and property damage you cause to other people in an accident, up to your limits. It also pays for your legal defense if you are sued over a covered accident.
No. Liability only pays for damage you cause to others. To cover your own car, you need collision and comprehensive coverage, often called full coverage.
They are your limits in thousands of dollars: $30,000 for one injured person, $60,000 total for injuries in one accident, and $25,000 for property damage. 30/60/25 is the Texas minimum.
Liability only is usually the lowest-cost way to meet state law, because it does not include coverage for your own car. Your actual rate depends on your driving record, car, location and the insurance company.
Yes. A-MAX specializes in drivers with tickets, accidents, SR-22 requirements and gaps in coverage. We shop multiple insurance companies to find your options.
NEED CAR INSURANCE?
We shop. You choose. Get a free auto quote online, call 1-800-921-AMAX, or stop by an office, in English or Spanish. No commitment.