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Who Offers The Cheapest Car Insurance Rates in Texas?
Overall, State Farm has the cheapest car insurance rates in Texas for minimum liability coverage at $325 a year on average, according to our research. For full-coverage auto insurance, Texas Farm Bureau has the lowest average rate of $1,205 yearly.
Cheapest Car Insurance Rates In Texas
Below is a breakdown of the cheapest car insurance rates in Texas for different coverage levels and driver profiles:
| Cheapest Car Insurance in Texas (by category) | Company | Average Monthly Premium |
| Minimum Liability Coverage | State Farm | $27 |
| Full Coverage | Texas Farm Bureau | $100 |
| Young Drivers | Texas Farm Bureau*** | $242** |
| Seniors | Texas Farm Bureau | $80** |
| After A Speeding Ticket | Texas Farm Bureau | $100** |
| After An Accident | State Farm | $131** |
| After A DUI | State Farm | $175** |
| Bad Credit | Nationwide | $221** |
While these options are some of the cheapest in Texas, your quotes will differ based on many factors. To put this in perspective, we’ll break down the cheap pricing available with different ages, driving history, credit history and location.
Read More: Cheapest Car Insurance
Cheapest Car Insurance Companies in Texas
Through our study of insurance pricing, we found these are the cheapest car insurance companies in Texas:
- State Farm
- Texas Farm Bureau
- Geico
- Redpoint County Mutual
- USAA
You can click each provider to learn more. While these are the cheapest overall, services and resources for customers are different for large and smaller companies. We’ve broken down the cheapest large and mid-sized providers below.
Cheapest Large Insurance Companies in Texas
According to J.D. Power, large insurers are ones that have written $4.5 billion or more in direct premiums for personal auto. State Farm, Geico, USAA, Allstate and Nationwide are the cheapest large insurance companies in Texas. Below we’ve summarized each:
| Cheapest Large Car Insurance Company In Texas | Minimum Coverage (Annual) | Full Coverage (Annual) | # Of Discounts | Cost Rating (Entire US)* | Visit Review |
|---|---|---|---|---|---|
| $325 | $1,364 | 16 | 9.3 | Learn More | |
| $474 | $1,490 | 12 | 9.1 | Learn More | |
| $594 | $2,839 | 11 | 7.4 | Learn More | |
| $764 | $1,732 | 10 | 9.7 | Learn More | |
| $784 | $2,850 | 9 | 7.8 | Learn More | |
| $481 | $1,927 | 13 | 9.7 | Learn More |
| Cheapest Large Car Insurance Company In Texas | Minimum Coverage (Annual) | Full Coverage (Annual) | # Of Discounts | Cost Rating (Entire US)* | Visit Review |
|---|---|---|---|---|---|
| $325 | $1,364 | 16 | 9.3 | Learn More | |
| $474 | $1,490 | 12 | 9.1 | Learn More | |
| $594 | $2,839 | 11 | 7.4 | Learn More | |
| $764 | $1,732 | 10 | 9.7 | Learn More | |
| $784 | $2,850 | 9 | 7.8 | Learn More | |
| $481 | $1,927 | 13 | 9.7 | Learn More |
*Our research team considers nationwide factors when scoring providers. The ranking of providers in this table is specific to car insurance in Texas.
Note: While USAA is the cheapest large insurance company, they are only available for military members and their families.
Read more: Largest Auto Insurance Providers
Cheapest Mid-Size Insurance Companies in Texas
J.D. Power defines mid-size insurers as those that have written between $1 and $4.499 billion in direct premiums for personal auto. The cheapest mid-size insurance companies in Texas are Texas Farm Bureau, Redpoint Mutual and AAA. Below we’ve summarized the pricing information for each:
| Cheapest Mid-Size Car Insurance Company in Texas | Minimum Coverage (Annual) | Full Coverage (Annual) | # of Discounts | Cost Rating (US) | Visit Review |
|---|---|---|---|---|---|
| $374 | $1,205 | 6 | 6.8 | ||
| $657 | $1,642 | N/A | Unrated | ||
| $682 | $2,335 | 18 | 7.5 | Learn More |
| Cheapest Mid-Size Car Insurance Company in Texas | Minimum Coverage (Annual) | Full Coverage (Annual) | # of Discounts | Cost Rating (US) | Visit Review |
|---|---|---|---|---|---|
| $374 | $1,205 | 6 | 6.8 | ||
| $657 | $1,642 | N/A | Unrated | ||
| $682 | $2,335 | 18 | 7.5 | Learn More |
*Our research team considers nationwide factors when scoring providers. The ranking of providers in this table is specific to car insurance in Texas.
Cheapest Car Insurance Coverage in Texas
State Farm has the cheapest liability-only auto insurance in Texas, while Texas Farm Bureau has the cheapest full coverage car insurance in the state. In the sections below, we’ll detail the cheapest options for minimum liability and full-coverage car insurance in Texas.
Cheapest Liability Car Insurance Texas
At a rate of $27 per month or $325 per year, State Farm offers the cheapest minimum liability car insurance rates in Texas.
| Cheapest Liability Insurance in Texas | Average Monthly Cost | Average Annual Cost |
| State Farm | $27 | $325 |
| Texas Farm Bureau | $31 | $374 |
| Geico | $40 | $474 |
| Allstate | $50 | $594 |
| **USAA | $40 | $481 |
*These rates are based on an unmarried 35-year-old driver with good credit and a clean driving history. Your rates will vary depending on a number of factors.
Read more: Cheapest Liability-Only Vehicle Insurance
Cheapest Full-Coverage Car Insurance Texas
We found the cheapest full-coverage estimates in Texas at $100 per month or $1,205 per year come from Texas Farm Bureau.
| Cheapest Car Insurance in Texas | Average Monthly Cost | Average Annual Cost |
| Texas Farm Bureau | $100 | $1,205 |
| State Farm | $114 | $1,364 |
| Geico | $124 | $1,490 |
| Redpoint County Mutual | $137 | $1,642 |
| Nationwide | $144 | $1,732 |
*These rates are based on an unmarried 35-year-old driver with good credit and a clean driving history. Your rates will vary depending on a number of factors.
Read more: Cheapest Full-Coverage Vehicle Insurance
Cheapest Car Insurance for Young Drivers in Texas
We found that Texas Farm Bureau has the cheapest car insurance for both teen drivers and those aged 21 to 25. Below we’ve broken down the cheapest providers for both these age groups.
Cheapest Texas Car Insurance for 16-Year-Olds
Texas Farm Bureau has the cheapest overall in Texas for 16-year-olds at an average annual rate of $2,898.
| Cheapest Car Insurance in Texas | Average Monthly Rate | Average Annual Rate |
| Texas Farm Bureau | $242 | $2,898 |
| Geico | $340 | $4,084 |
| State Farm | $358 | $4,295 |
| Nationwide | $508 | $6,100 |
| **USAA | $469 | $5,622 |
Read more: Cheap Car Insurance For 16-Year-Olds
Cheapest Texas Car Insurance for 17-Year-Olds
At a rate of $2,066 per year, Texas Farm Bureau has the cheapest car insurance for 17-year-olds in Texas.
| Cheapest Car Insurance in Texas | Average Monthly Rate | Average Annual Rate |
| Texas Farm Bureau | $172 | $2,066 |
| State Farm | $280 | $3,362 |
| Geico | $319 | $3,831 |
| AAA | $436 | $5,232 |
| **USAA | $293 | $3,518 |
Note: Costs were taken from 2022 information.
Read more: Cheap Car Insurance For 17-Year-Olds
Cheapest Texas Car Insurance for 18-Year-Olds
At average rates of $1,937 per year or $161 per month, Texas Farm Bureau is the cheapest car insurance in Texas for 18-year-olds.
| Cheapest Car Insurance in Texas | Average Monthly Rate | Average Annual Rate |
| Texas Farm Bureau | $161 | $1,937 |
| State Farm | $255 | $3,061 |
| Geico | $271 | $3,257 |
| AAA | $396 | $4,751 |
| **USAA | $253 | $3,039 |
Note: Costs were taken from 2022 information.
Read more: Cheap Car Insurance For 18-Year Olds
Cheapest Texas Car Insurance For 19-Year-Olds
For 19-year-olds, Texas Farm Bureau has the cheapest coverage in the state at an average annual rate of $1,819.
| Cheapest Car Insurance in Texas | Average Monthly Rate | Average Annual Rate |
| Texas Farm Bureau | $152 | $1,819 |
| Geico | $222 | $2,661 |
| State Farm | $231 | $2,770 |
| AAA | $349 | $4,182 |
| **USAA | $225 | $2,698 |
Note: Costs were taken from 2022 information.
Read more: Cheap Car Insurance For 19-Year Olds
Cheapest Texas Car Insurance for 21-Year-Olds
Texas Farm Bureau has the cheapest car insurance for 21-year-olds in Texas at a monthly rate of $136.
| Cheapest Car Insurance in Texas | Average Monthly Rate | Average Annual Rate |
| Texas Farm Bureau | $136 | $1,629 |
| Geico | $177 | $2,120 |
| State Farm | $177 | $2,121 |
| Nationwide | $222 | $2,659 |
| **USAA | $187 | $2,242 |
Note: Costs were taken from 2022 information.
Read more: Cheap Car Insurance For 21-Year-Olds
Cheapest Texas Car Insurance for 25-Year-Olds
At average yearly rates of $1,452, Texas Farm Bureau offers the cheapest car insurance in Texas for 25-year-olds.
| Cheapest Car Insurance in Texas | Average Monthly Rate | Average Annual Rate |
| Texas Farm Bureau | $121 | $1,452 |
| State Farm | $133 | $1,599 |
| Geico | $138 | $1,651 |
| Nationwide | $175 | $2,102 |
| **USAA | $189 | $2,265 |
Read more: Cheap Car Insurance For 25-Year Olds
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Cheapest Car Insurance In Texas For Seniors
By a large margin, Texas Farm Bureau offers the cheapest car insurance in Texas for seniors. In the tables below, we’ve broken down the top five companies for those aged 65-75.
Read More: Cheapest Car Insurance For Seniors
Cheapest Car Insurance In Texas For 65-Year-Olds
At average rates of $934 per year, Texas Farm Bureau offers the cheapest car insurance in Texas for 65-year-olds.
| Cheapest Car Insurance in Texas | Average Monthly Rate | Average Annual Rate |
| Texas Farm Bureau | $78 | $934 |
| State Farm | $102 | $1,224 |
| Nationwide | $122 | $1,465 |
| Geico | $127 | $1,525 |
| **USAA | $125 | $1,501 |
Note: Costs were taken from 2022 information.
Cheapest Car Insurance In Texas For 75-Year-Olds
Texas Farm Bureau has the cheapest car insurance in Texas for 75-year-olds at an average yearly rate of $986.
| Cheapest Car Insurance in Texas | Average Monthly Rate | Average Annual Rate |
| Texas Farm Bureau | $82 | $986 |
| State Farm | $114 | $1,377 |
| Geico | $139 | $1,673 |
| Nationwide | $161 | $1,928 |
| **USAA | $152 | $1,824 |
Note: Costs were taken from 2022 information.
Cheapest Car Insurance In Texas For High-Risk Drivers
State Farm has the cheapest car insurance in Texas for high-risk drivers overall. Texas Farm Bureau also has some of the lowest rates for those considered to be high-risk policyholders. Such drivers could include those with speeding tickets, recent accidents or poor credit.
Read More: Cheap Car Insurance For High-Risk Drivers
Cheapest Texas Car Insurance for Drivers With a Speeding Ticket
At an average rate of $1,205 per year, Texas Farm Bureau offers the cheapest car insurance in Texas for those with a speeding ticket.
| Cheapest Car Insurance in Texas | Average Monthly Rate | Average Annual Rate |
| Texas Farm Bureau | $100 | $1,205 |
| State Farm | $114 | $1,364 |
| Geico | $147 | $1,763 |
| Nationwide | $188 | $2,256 |
| **USAA | $182 | $2,182 |
Read More: Best Speeding Ticket Car Insurance
Cheapest Texas Car Insurance for Drivers With a Recent Accident
State Farm has the cheapest Texas car insurance for drivers with a recent accident with rates of $1,568 per year on average.
| Cheapest Car Insurance in Texas | Average Monthly Rate | Average Annual Rate |
| State Farm | $131 | $1,568 |
| Texas Farm Bureau | $158 | $1,898 |
| Geico | $191 | $2,295 |
| Nationwide | $239 | $2,873 |
| **USAA | $249 | $2,982 |
Read More: What Is Accident Forgiveness Coverage?
Cheapest Texas Car Insurance for Drivers With a DUI
At State Farm, you can find the cheapest auto insurance rates in Texas for drivers with a DUI with average pricing of $2,096 a year.
| Cheapest Car Insurance in Texas | Average Monthly Rate | Average Annual Rate |
| State Farm | $175 | $2,096 |
| Texas Farm Bureau | $185 | $2,215 |
| Geico | $209 | $2,513 |
| Progressive | $263 | $3,151 |
| **USAA | $243 | $2,918 |
Cheapest Texas Car Insurance for Drivers With Poor Credit
Nationwide offers the cheapest auto insurance in Texas for drivers with bad credit with average rates of $2,657 a year.
| Cheapest Car Insurance in Texas | Average Monthly Rate | Average Annual Rate |
| Nationwide | $221 | $2,657 |
| Texas Farm Bureau | $233 | $2,796 |
| AAA | $302 | $3,629 |
| Geico | $323 | $3,875 |
| **USAA | $286 | $3,428 |
Read More: Cheapest Car Insurance For Bad Credit
How To Get Cheap Car Insurance in Texas
The best way to find cheap car insurance in the state of Texas, like in any state, is to compare multiple providers and look for deals in your area. We also suggest talking to an insurance agent to learn more about how to save on auto insurance in the state.
Cheap Car Insurance Quotes in Texas
Auto insurance providers determine your rates based on a variety of set variables when they give you a quote.
Here are the most influential factors insurance providers to determine premiums in Texas:
- Your age
- Your location
- The gender listed on your driver’s license
- Your driving history
- Your credit score
- Your marital status
- The make, model, year and mileage of your vehicle
- The deductible you choose
Read More: Compare Car Insurance
Cheap Car Insurance Quotes In Texas By ZIP
Below you can get personalized cheap auto insurance quotes for your location in Texas.
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Car Insurance Discounts in Texas
Below are the car insurance discounts available from our top picks for the cheapest car insurance in Texas:
| Texas Car Insurance Discounts | State Farm | Geico | Travelers | Progressive | Allstate |
| Multi-policy | ✔ | ✔ | ✔ | ✔ | ✔ |
| Multi-vehicle | ✔ | ✔ | ✔ | ✔ | |
| Safe driver | ✔ | ✔ | ✔ | ✔ | ✔ |
| Good student | ✔ | ✔ | ✔ | ✔ | ✔ |
| Defensive driving | ✔ | ✔ | |||
| Driver training | ✔ | ✔ | ✔ | ||
| New vehicle | ✔ | ✔ | ✔ | ||
| Car safety equipment | ✔ | ✔ | ✔ | ||
| Loyalty | ✔ | ✔ | ✔ | ||
| Military | ✔ |
Here’s more information on the standard types of discounts offered by car insurance companies:
- Multi-policy: Bundle two or more insurance policies with the same company.
- Multi-vehicle: Insuring multiple cars under the same policy or combining auto insurance policies earns you this discount.
- Military: This generally applies to both veterans and active-duty military members.
- Senior: This often applies to policyholders who are 55 or older.
- Homeowners: If you own a home, you may qualify for this discount.
- Good student: This discount is usually for college and high school students under 25 who maintain a B average in their courses.
- Good driver: You can save money by maintaining a clean driving record (with no at-fault accidents, DUIs or traffic tickets in the last three years).
- Defensive driving: Those who take a qualifying defensive driving course get a discount.
- Driver training: Get a discount by taking a driver education training course.
- New car: Drivers who purchase new cars, typically no more than three model years old, get a discount.
- Safe car: This applies if your vehicle has safety features like anti-theft technology.
- Paperless: Receive a discount by opting to receive your documents through email.
- Pay-in-full: Save on your car insurance premium by paying in full up front.
Best Cheap Car Insurance in Texas
The cheapest car insurance companies in Texas include State Farm, Texas Farm Bureau, Geico, Redpoint County Mutual and USAA. Below, we go into more detail about each company’s offerings, reputation, customer ratings and history.
#1 State Farm
Best Customer Experience
Cheapest Minimum Car Insurance Rate In Texas: $27 per month
Cheapest Full Coverage Car Insurance Rate In Texas: $105 per month
Cheapest Coverage In Texas For: Those with an accident or DUI
Number of Discounts: 16
State Farm Overview
We rate State Farm as the best car insurance in Texas for its extensive coverage options, strong reputation and good customer service. It’s also one of the most affordable choices on average for many Texans according to our research — especially for students. State Farm has the best student discounts among leading auto insurance companies with up to 25% off for good grades and offers its Steer Clear® educational program for those under 25.
State Farm Insurance Cost and Coverage In Texas
On average, State Farm’s full coverage auto insurance costs $1,364 per year or $114 per month. This is around 38% cheaper than the state average.
State Farm has standard car insurance coverage options with optional add-ons that include roadside assistance, trip interruption and rental car reimbursem*nt. Also, if you’re working for a company like Uber or Lyft, you can get rideshare insurance for extra coverage.
Top State Farm Insurance Discounts in Texas
Below we’ve compiled some of the best auto insurance discounts for Texas residents from State Farm:
- Drive Safe & Save: Save up to 30% off premiums if you drive safely and enroll.
- Texas good student discount: You can save a maximum of 25% if your grade point average is a B or higher.
- Texas defensive driving discount: If you take the defensive driving course in Texas, you’ll save money.
- Steer Clear: If you’re 25 years or younger, you can enroll in this program and get discounts on your premium.
- Multi-car Discount: Save by insuring multiple cars with the company.
State Farm Customer Reputation in Texas
According to the 2023 J.D. Power Insurance Study, State Farm ranks second for overall customer satisfaction in the state of Texas. The company scored well over the state average of 816 out of 1,000, beating it by 22 points.
Keep Reading: State Farm Insurance Review
#2 Texas Farm Bureau
Best For Local Service
Cheapest Minimum Car Insurance Rate In Texas: $31 per month
Cheapest Full Coverage Car Insurance Rate In Texas: $78 per month
Cheapest Coverage In Texas For: Full Coverage, young drivers, seniors and those with speeding tickets
Number of Discounts: 6
Texas Farm Bureau Overview
For Texas locals, Texas Farm Bureau Insurance is the best and most affordable full coverage car insurance option in the state, according to our research. Since the company specializes in Texan auto insurance, you’ll likely get a more personalized touch when working with agents.
Texas Farm Bureau Insurance Cost and Coverage In Texas
Full coverage auto insurance from Texas Farm Bureau costs an average of $1,205 yearly or about $100 a month. This is around 45% cheaper than the state average.
Texas Farm Bureau policy options include all standard coverages. You can also get add-ons for death indemnity, rental car coverage and roadside assistance.
Texas Farm Bureau Insurance Discounts in Texas
Below are the car insurance discounts available with Texas Farm Bureau:
- Multi-policy: If you get multiple policy types with the company, you can save.
- Good student: If you’re a full-time student under 25 and maintain a B average, you’ll get a reduction in premiums.
- Multi-vehicle: If you insure more than one vehicle, you’ll get a discount.
- Claims-free: If you go claims-free for three years, you’ll get lowered premiums.
- Vehicle safety items: Select safety items in your vehicle can help you save on your policy.
- Driver’s training course: If you complete this course, you’ll save on your policy.
Texas Farm Bureau Customer Reputation in Texas
In J.D. Power’s 2023 Insurance Study, Texas Farm Bureau ranked third in the state for overall customer satisfaction. It placed eight points above the average in Texas with a score of 824 out of 1,000.
#3 Geico
Best for Budget-Conscious Drivers
Cheapest Minimum Car Insurance Rate In Texas: $40 per month
Cheapest Full Coverage Car Insurance Rate In Texas: $127 per month
Cheapest Coverage In Texas For: Affordable for most drivers
Number of Discounts: 12
Geico Overview
Geico is another top provider of car insurance in Texas. The company is known for cheap coverage, and many drivers find below-average rates. Drivers can take advantage of 12 discount opportunities, plus access to a usage-based insurance program called DriveEasy.
Geico Insurance Cost and Coverage In Texas
Geico’s full coverage has average costs around $1,490 per year or $171 per month. This is around 32% cheaper than the state average.
Along with standard car insurance coverage, Geico offers add-ons such as emergency roadside assistance and rental reimbursem*nt. It’s also one of the only top auto insurers to sell mechanical breakdown insurance (MBI), which acts like a car warranty and covers vehicle parts that malfunction.
Top Geico Insurance Discounts in Texas
Below we’ve highlighted some of the top discounts available with Geico in the state of Texas:
- Texas defensive driving discount: You can get a discount when you complete the state course.
- Texas drivers education course: You can get money off your premium by taking a driver training course.
- Military discount: If you’re a military member or a related family member, you can save up to 15%.
- Multiple vehicle: Save up to 25% If you insure more than one vehicle with Geico.
- Geico DriveEasy: Save just by enrolling in the program and being a safe driver.
Keep Reading: Geico Insurance Review
4. Redpoint County Mutual
Affordable For High Risk Texas Drivers
Cheapest Minimum Car Insurance Rate In Texas: $55 per month
Cheapest Full Coverage Car Insurance Rate In Texas: $137 per month
Cheapest Coverage In Texas For: Some full coverage policies
Number of Discounts: Not listed
Redpoint County Mutual Overview
Based in Austin, Texas, Redpoint Mutual has some of the most affordable coverage in the state, our researchers found. Like Texas Farm Bureau, this company might provide expertise in the area since it only deals in Texas.
Redpoint Mutual Insurance Cost and Coverage In Texas
Redpoint Mutual’s full coverage insurance costs an average of $1,642 per year or $137 per month. It sits at 26% cheaper than the state average. All standard auto insurance policy options are available with the company.
Redpoint Mutual Customer Reputation in Texas
Overall, Redpoint Mutual has a mixed customer reception when it comes to its services. The company is also rated a C+ on the BBB which means it may not respond to or resolve customer complaints in a timely manner.
We reached out to Redpoint Mutual for comment on these low scores, but have not yet received a response.
#5 USAA
Best For Military Members
Cheapest Minimum Car Insurance Rate In Texas: $40 per month
Cheapest Full Coverage Car Insurance Rate In Texas: $125 per month
Cheapest Coverage In Texas For: Affordable for military members and their family
Number of Discounts: 13
USAA Overview
USAA can be a great option for coverage in the state of Texas and offers superior customer service for military members and their families, according to our research. The provider also has plenty of coverage options, affordable rates and many discounts. Since its services are limited to military members and their families, we recommend reaching out to them for quotes if you fall into this group.
USAA Insurance Cost and Coverage In Texas
USAA offers full coverage auto insurance at an average cost of $1,927 per year or $161 per month. This makes it 13% cheaper than the average in the state.
The company offers a full suite of coverage options including things like roadside assistance and rental car coverages. It also offers classic car insurance for those with antique vehicles.
Top USAA Insurance Discounts in Texas
Below are the top auto insurance discounts offered by USAA in Texas:
- USAA Safepilot: Signing up for the program and using the safe driving app, you can save up to 30% and get 10% off for enrolling.
- Bundling: You can save up to 10% when bundling auto with another policy type.
- Texas driving course: Taking a defensive driving course can save you money off your premium.
- Good student: Save a on your policy if you’re a full-time student with a B average or higher.
- Safe driving: If you haven’t had accidents or violations in the last three years, you can qualify for a premium discount.
USAA Customer Reputation in Texas
Among military members, USAA has the best customer service rating in 2023 J.D. Power’s Insurance Survey.
Keep Reading: USAA Insurance Review
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Average Cost of Car Insurance in Texas
The average estimated rate for full-coverage car insurance in Texas is $184 per month or $2,205 per year. State minimum coverage for Texas averages around $57 per month or $683 per year.
Rates will vary depending on many factors such as driving record, credit history, coverage level and location in Texas.
Read More: Average Car Insurance Cost
Is Texas Car Insurance Expensive?
Texas car insurance is about 9% more expensive than the national average of $2,008 for a year of full coverage and $627 for minimum coverage. It is the 15th most expensive state for minimum liability policies and 12th most expensive for full coverage according to our research. Below, you can compare Texas car insurance costs to other states.
| State | Average Annual Minimum-Liability Premium | Average Annual Full-Coverage Premium |
| Alabama | $502 | $1,775 |
| Alaska | $486 | $1,685 |
| Arizona | $635 | $2,008 |
| Arkansas | $451 | $2,038 |
| California | $602 | $2,313 |
| Colorado | $566 | $2,173 |
| Connecticut | $980 | $1,919 |
| Delaware | $1,194 | $2,881 |
| Florida | $1,385 | $3,244 |
| Georgia | $680 | $1,973 |
| Hawaii | $529 | $1,656 |
| Idaho | $378 | $1,402 |
| Illinois | $441 | $1,541 |
| Indiana | $432 | $1,587 |
| Iowa | $274 | $1,563 |
| Kansas | $475 | $1,918 |
| Kentucky | $682 | $2,522 |
| Louisiana | $925 | $3,040 |
| Maine | $380 | $1,238 |
| Maryland | $901 | $1,833 |
| Massachusetts | $754 | $2,430 |
| Michigan | $1,360 | $3,643 |
| Minnesota | $481 | $1,766 |
| Mississippi | $453 | $1,658 |
| Missouri | $560 | $2,104 |
| Montana | $398 | $1,979 |
| Nebraska | $356 | $1,871 |
| Nevada | $1,283 | $2,788 |
| New Hampshire | $415 | $1,362 |
| New Jersey | $1,332 | $2,513 |
| New Mexico | $536 | $1,943 |
| New York | $870 | $2,088 |
| North Carolina | $469 | $1,627 |
| North Dakota | $445 | $1,916 |
| Ohio | $536 | $1,599 |
| Oklahoma | $516 | $2,278 |
| Oregon | $953 | $1,925 |
| Pennsylvania | $437 | $1,981 |
| Rhode Island | $1,036 | $2,357 |
| South Carolina | $701 | $1,845 |
| South Dakota | $328 | $2,291 |
| Tennessee | $404 | $1,524 |
| Texas | $683 | $2,205 |
| Utah | $732 | $1,928 |
| Vermont | $310 | $1,199 |
| Virginia | $545 | $1,781 |
| Washington | $561 | $1,616 |
| Washington D.C. | $686 | $2,218 |
| West Virginia | $604 | $2,177 |
| Wisconsin | $408 | $1,694 |
| Wyoming | $308 | $1,702 |
Read More: Car Insurance Rates By State
Why Is Texas Car Insurance So Expensive?
Some reasons Texas is more expensive than other states are its high crash fatality rates and high rates of vehicle theft. According to the U.S. Department of Transportation, Texas had the most traffic fatalities in 2022. The National Insurance Crime Bureau also ranks Texas second for vehicle thefts in the first half of 2023.
Read more: Factors That Affect Auto Insurance Rates
Texas Car Insurance Cost by Age
According to our findings, teen drivers pay far more for car insurance coverage in Texas than most other drivers. Full coverage costs average around $8,722 per year for a 16-year-old, while a 35-year-old typically pays $2,205 per year on average.
| Age | Average Monthly Cost | Average Annual Cost |
| 16 | $727 | $8,722 |
| 25 | $217 | $2,602 |
| 35 | $184 | $2,205 |
| 45 | $177 | $2,126 |
| 55 | $162 | $1,946 |
Texas Car Insurance Cost by City
Typically, drivers in cities like Houston and Dallas pay more for coverage than drivers in more rural parts of the state. The table below shows the average full coverage rates for 28 cities in Texas, based on an unmarried 35-year-old driver with good credit and a clean driving record:
| City in Texas | Estimated Monthly Cost | Estimated Annual Cost |
| Killeen | $120 | $1,444 |
| Waco | $121 | $1,450 |
| Denton | $130 | $1,561 |
| Midland | $131 | $1,573 |
| El Paso | $133 | $1,594 |
| Corpus Christi | $133 | $1,604 |
| Frisco | $135 | $1,614 |
| Brownsville | $136 | $1,632 |
| Austin | $136 | $1,635 |
| Tyler | $137 | $1,640 |
| McKinney | $139 | $1,669 |
| Plano | $141 | $1,693 |
| Fort Worth | $143 | $1,718 |
| Katy | $144 | $1,729 |
| Irving | $145 | $1,742 |
| Arlington | $146 | $1,754 |
| San Antonio | $147 | $1,768 |
| Laredo | $148 | $1,781 |
| Lubbock | $150 | $1,805 |
| Spring | $150 | $1,794 |
| Pasadena | $151 | $1,812 |
| McAllen | $152 | $1,818 |
| Mesquite | $152 | $1,819 |
| Garland | $155 | $1,859 |
| Grand Prairie | $156 | $1,866 |
| Amarillo | $157 | $1,885 |
| Dallas | $161 | $1,927 |
| Houston | $167 | $1,998 |
Note: Costs were taken from 2022 information.
Texas Car Insurance Requirements
Like most states, Texas requires drivers to carry a minimum amount of coverage. Minimum coverage limits include:
- Bodily injury liability: $30,000 per person and $60,000 per accident
- Property damage liability: $25,000 per accident
The minimum required liability insurance only covers injuries and property damage you cause to other drivers, not damage to your own vehicle. Texas car insurers are required to offer uninsured motorist coverage (UM), underinsured motorist coverage (UIM) and personal injury protection (PIP), all of which you can decline in writing.
Texas Commercial Auto Insurance Requirements
If you have a business vehicle, you’ll need to purchase commercial car insurance. Below are the business auto insurance requirements in Texas:
- Passenger vehicles (16-26 person capacity): $500,000 combined single limit (CSL)
- Passenger vehicles (27+ person capacity): $5 million CSL
- Carriers with household goods 26,000 pounds or less: $300,000 CSL
- Carriers with household goods over 26,000 pounds: $500,000 CSL
- Carriers with hazardous materials: $1 million or $5 million CSL, depending on substance
Is It Illegal to Not Have Car Insurance in Texas?
Under Texas law, it’s illegal to operate a motor vehicle without the minimum required insurance or certified self-coverage. Texas issues fines to drivers caught behind the wheel without the proper coverage.
On your first offense, you could be fined up to $350. If you’re caught a second time, you could be fined up to $1,000 and your license may be suspended. These may not be the only consequences of driving without insurance. You may also be required to carry SR-22 insurance and you’ll likely see your insurance rates go up.
Texas Car Insurance Self-Coverage Option
Texas is one of a handful of states in which you can self-insure as an alternative to buying coverage from an insurance company. This means that you provide evidence to the state that you can cover costs related to an accident.
To self-insure, you’ll need to make a deposit with the state comptroller and apply for a certificate certifying your self-coverage with the Department of Public Safety. Once you receive this certificate, you can treat it as you would your insurance card, keeping it handy in case of an accident.
Cheap Auto Insurance in Texas: The Bottom Line
In this article, we explored the cheapest auto insurance companies by coverage option and driver profile in Texas. We also looked into the average costs of car insurance in the Lone Star State and detailed Texas state law regarding car insurance policies.
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Cheapest Car Insurance in Texas: FAQ
Below are some frequently asked questions about cheap car insurance in Texas:
We found that State Farm, Texas Farm Bureau, Geico, Red Point Mutual and USAA offer the cheapest car insurance in Texas. However, the quotes you get may vary so we recommend getting quotes from multiple providers.
At average rates as low as $78 per month for some drivers, Texas Farm Bureau offers the cheapest full coverage car insurance in the state of Texas, according to our research.
With average rates as low as $27 a month, we found drivers can get the cheapest minimum liability car insurance in Texas with State Farm.
There are a few ways to lower your car insurance premiums in Texas. In the short term, you can choose a higher deductible or try a telematics program that adjusts your rates based on your driving habits. In the long term, you can try to boost your credit score and avoid any accidents or moving violations.
Insurers are required to offer personal injury protection (PIP) coverage in Texas. However, drivers can choose to decline this coverage if they want.
You can carry both PIP and Medical payments (MedPay) coverage in Texas, but coverage may be redundant in some ways, meaning you could end up paying twice for similar coverage. Since PIP is more comprehensive — covering lost wages and other expenses in addition to medical bills — it may make more sense to increase your PIP coverage amounts.
How We Rated Texas Car Insurance Companies
Because consumers rely on us to provide objective and accurate information, we created a comprehensive rating system to formulate our rankings of the best car insurance companies. We collected data on dozens of auto insurance providers to grade the companies on a wide range of ranking factors. The end result was an overall rating for each provider, with the insurers that scored the most points topping the list.
Here are the factors our ratings take into account:
- Cost: Auto insurance rate estimates generated by Quadrant Information Services and discount opportunities were both taken into consideration.
- Coverage: Companies that offer a variety of choices for insurance coverage are more likely to meet consumer needs.
- Reputation and experience: Our research team considered market share, ratings from industry experts and years in business when giving this score.
- Availability: Auto insurance companies with greater state availability and few eligibility requirements scored highest in this category.
- Customer experience: This score is based on the volume of complaints reported by the NAIC and customer satisfaction ratings reported by J.D. Power. We also considered the responsiveness, friendliness and helpfulness of each insurance company’s customer service team based on our own shopper analysis.
Our credentials:
800 hours researched
45 companies reviewed
8,500+ consumers surveyed
*Data accurate at time of publication.
