Texas Insurance Code § 1952.159 – Limitations on Stacking UIM Benefits
Table of Contents
Statutory Text:
Sec. 1952.159. LIMITATION ON RECOVERY.
The insured may not recover under underinsured motorist coverage benefits in an amount that exceeds the amount of actual damages sustained by the insured.
What Does This Law Mean for Injury Victims?
This statute prohibits “stacking” UIM coverage to recover more than your total damages.
Even if you are insured under multiple policies for example, your personal vehicle and a company car you cannot collect more than the full value of your injuries, regardless of how many policies apply.
This law prevents double recovery, but it also prevents insurers from using overlapping coverage to reduce what you’re fairly owed.
Example Scenario
You suffer $90,000 in injury damages from a crash. The at-fault driver has $30,000 in liability coverage. Your personal UIM policy pays $30,000. You also have coverage under your employer’s policy, which offers another $60,000. You can collect the full $60,000 in UIM, but no more than your total $90,000 in losses even though the policies combined exceed that.
When This Law Applies
This statute applies when:
You are entitled to UIM benefits from more than one policy
Your total damages exceed one policy’s limits
You seek additional recovery under a second policy
The combined payout from multiple policies exceeds your actual damages
This limitation only restricts overcompensation — you’re still entitled to full recovery up to your actual losses.
Related Statutes
§ 1952.101 – UIM Coverage Requirements
§ 1952.152 – Conditions for UIM Coverage
§ 1952.158 – UIM Subrogation Rights
§ 542.058 – Penalties for Payment Delay
Texas Civil Practice & Remedies Code § 33.001 – Comparative Fault and Recovery Limits
Texas Case Law Interpreting § 1952.159
Confirmed that UIM benefits cannot exceed actual damages sustained, even when multiple policies are involved.
Explained that anti-stacking clauses are enforceable if they do not deprive the injured party of full recovery.
Early case setting limits on multiple recoveries under UIM/UM coverage.
Frequently Asked Questions About § 1952.159
Houston Personal Injury Lawyer - Joel A. Gordon
Stacking is when you attempt to combine benefits from more than one policy or vehicle to increase your total payout.
You can access multiple UIM policies, but your total recovery cannot exceed your actual injury damages.
You may still use multiple UIM/UM policies, but the same limitation applies: you cannot collect more than your losses.
Sometimes. They may misapply the rule to reduce valid claims. A personal injury attorney can ensure your rights are protected.