Typical Car Accident Settlement Amounts In Texas (2026)

Settlement Amounts for Car Accidents in Texas

We conducted research in February 2026 on typical car accident settlement amounts in Texas using law firm websites. Reported ranges generally fell between $20,000 and $30,000, with an average of $23,125 calculated using the midpoint of each range and the average values reported by each firm. While this offers a general estimate of what accident victims might expect, actual settlement amounts vary widely depending on factors like injury severity, medical costs, lost income, and the specific details of each case.

Car Accident Settlement Amounts in Texas by Law Firms

*Settlement amounts were collected from law firms in February 2026.

Why Settlement Amounts Vary

The average settlement for car accident claims isn’t a flat rate. Some people walk away with less, and others may receive much more, especially if they suffer serious injuries or long-term complications. Here are a few key factors that influence how much you could receive:

• Medical bills: The higher your treatment costs, the higher your potential payout.
• Lost wages: If the injury kept you from working, this adds to your claim value.
• Pain and suffering: This is harder to quantify but often increases the total settlement.
• Legal representation: An experienced car accident lawyer knows how to negotiate with insurers, fight for a fair amount, and help you understand details in your crash report - like police codes that can affect how fault is determined.

Role of Insurance in Car Accident Settlements

A driving factor in the size of a car accident settlement is the at-fault driver’s policy limits. Texas requires car owners to carry auto insurance with at least the following coverages:

• Bodily injury liability of $30,000 per claimant, up to $60,000 per accident
• Property damage liability of $25,000 per accident

If an at-fault driver carries the minimum policy, their insurer only pays up to $30,000 for each victim’s losses.

When there are multiple victims, the insurer only pays up to $60,000 total. Thus, if an accident injured three people, the insurer can only pay out $60,000, with no victim receiving more than $30,000. If two of those victims had severe injuries, there might not be much left to cover the third victim’s losses.

Car owners can buy policies with higher limits. However, these policies have an increased average car insurance cost per month.

However, greater coverage is often worthwhile. The settlement after a crash is driven primarily by the victim’s losses and the at-fault driver’s insurance coverage. If the losses fall within the policy’s coverage, the case can often be settled by the auto insurer with a payout at or below its policy limits.

In some cases, the at-fault party can “stack” policies to increase coverage. For example, a business liability policy might cover liabilities from a business car accident that the company’s auto liability policy does not cover.

Once the victim’s losses hit the policy limits, both parties face a difficult situation. The victim can hire a Texas personal injury lawyer to sue the at-fault party for losses the insurance payout did not cover. However, if the at-fault party has no assets, the victim might never be paid the amount of the settlement or judgment.

Similarly, the at-fault party must pay for a litigation lawyer to defend them. While an insurer will pay for a lawyer before an insurance settlement is reached, its obligation to pay the driver’s legal fees ends when it pays the policy limits and steps out.

Because of these difficulties, the at-fault driver’s policy limits often effectively cap the amount a crash victim can recover for their injuries.

Uninsured and Underinsured Insurance Coverage

Uninsured and underinsured (UM/UIM) coverages make up the difference when the at-fault driver has no insurance or insufficient insurance coverage. The victim may pursue a claim under their own policy by proving the other driver is liable for the accident but lacks the resources to cover the victim’s losses.

Importantly, this coverage also applies to hit-and-run accidents. If the at-fault driver cannot be identified, injured victims can pursue claims under their UM/UIM coverage.

Choosing the Right Lawyer in Texas

Settlement outcomes can depend heavily on the lawyer handling your case. A skilled attorney can assess your situation, handle negotiations, and work to maximize your compensation, especially when dealing with complex claims or uncooperative insurers. We can help you connect with a trusted car accident lawyer anywhere in Texas—from Houston to Dallas.