Our team at Paragon Independent Insurance Agency is closely monitoring the latest changes to Texas law that may affect your auto insurance policy. The newest law change aims to bring fairness in determining loss with Plano, TX auto insurance claims when your car needs repair.

What Is the Mandatory Right to Appraisal?

Senate Bill 458 became law on June 20 and takes effect on September 1. The bill mandates all auto insurance carriers to include an appraisal provision. This provision offers a third-party, independent, and neutral option to determine the amount of loss when the insurer and policyholder cannot agree on a number.

Previously, policyholders had no choice but to accept the amount provided by insurers, even if it was low or unfair. To recoup the difference for auto repairs, they had to sue or pay out of pocket. This new law gives policyholders and insurers the option to settle loss claims using an independent source that relies solely on evidence, resolving disputes and avoiding courtroom battles.

Why Does the Law Exist?

State Farm quietly removed the appraisal provision from their auto insurance policies in 2015, and only a few people noticed. Robert McDorman, founder of Auto Claim Specialists, along with his team and the Auto Body Association of Texas, led by executive director Jill Tuggle, discovered the change. Recognizing the risks associated with this move, McDorman launched a statewide campaign that lasted ten years, garnering support along the way.

When Joe Collins sued State Farm for appraisal and won, he donated his winnings to the Mandatory Appraisal Rights Advocacy Trust. This gained attention and pushed the movement forward. After being dismissed twice in the Texas House and Senate, the bill passed unanimously on the third attempt and was fast-tracked into law.

At Paragon Independent Insurance Agency, we stand by the Mandatory Right to Appraisal law because we believe in fairness and accuracy. We are updating Plano, TX auto insurance policies to reflect this change. For more information on auto insurance or the mandatory r

Hit-and-run accidents in Plano, TX, are one of the worst scenarios motorists face, especially if they are severe. If the other driver takes off, who pays for the accident damages? The answer is your auto insurance. However, you must have the proper provisions in place to protect yourself. Paragon Independent Insurance Agency can help you buy a policy to protect yourself, passengers, and your vehicle.

Find the Right Coverage

Texas requires motorists to have minimum liability insurance, but that will only pay for damage you cause to other vehicles in an at-fault accident. To pay for damages in an accident where the at-fault driver is unknown, you must have different provisions in place. Uninsured/underinsured motorist coverage typically pays for damage from hit-and-run accidents. This provision also helps you when involved in an accident where the at-fault driver has no insurance or liability limits that are too low to pay for vehicle damage fully. For some policies, collision coverage may also pay for damage in a hit-and-run accident.

What If I or My Passengers are Injured?

Again, your policy will pay if you never identify the at-fault driver. Personal injury protection (PIP) can help cover medical bills, lost wages, and even funeral costs after an accident. PIP is designed to help you with financial expenses after an accident, whether or not you were at fault. Your policy may also have medical payments coverage. Also known as MedPay, this provision can cover medical payments related to accident injuries. It can cover payment to you, your passengers, and even pedestrians who may be involved in a hit-and-run accident.

Learn how your auto insurance policy can protect you and your car when someone takes off after an accident in Plano, TX. Contact the staff at Paragon Independent Insurance Agency for an appointment to explore your options.