Why Personal Injury Attorneys Pursue Insurance Companies Instead of Personal Assets

On TV, you often see big judgments where someone “takes the house,” garnishes wages, or has the sheriff sell off property. While that makes for good drama, the reality in Texas is very different. Texas has some of the strongest debtor protection laws in the country. For example, the first $50,000 of personal property for a single person (or $100,000 for a married couple) is exempt, and the homestead exemption protects a primary residence with no dollar limit. Because of these protections, most people are considered judgment-proof—meaning they don’t own enough non-exempt property to make collection worthwhile.

This is why accident victims typically pursue compensation through the at-fault driver’s insurance company, which exists specifically to cover injuries and damages caused by its policyholders. In Texas, state law requires every driver to carry at least $30,000 in liability coverage, ensuring a minimum amount of compensation is available for victims. Unlike individuals who may hide assets or avoid payment, insurance companies are legally obligated to pay valid claims.

However, because insurance companies are businesses designed to minimize payouts, they often dispute liability or undervalue injuries. That’s why having an experienced personal injury attorney is critical. A skilled attorney can identify all available coverage, navigate policy limits, and fight back against insurance tactics to maximize your recovery.