Learn What Drives Your Rate
It starts with you. An insurance company needs to know the basics to get started: your age, sex, marital status, driving record, and the details about the car you drive. Why so many questions? Auto insurance companies take these factors into account to offer discounts and coverage options that match your lifestyle.
Before you buy a policy, your company will verify driving record and claims history. Texas law also permits insurance companies to use an insurance credit score to underwrite and price your policy, but you can’t be denied coverage solely on the basis of your credit history.
Where You Live Matters
Texas is #20. If you moved to Texas from out-of state, you may have been surprised by how much less – or more – you were paying for auto insurance. Texas ranks 20th on the list of average cost of insurance. Drivers in crowded urban areas like Dallas, Houston and San Antonio pay huge premiums, because the frequency of car crashes is greater than in the suburbs. And, car thefts are highest in the Southwest, so an anti-theft or tracking device can help.
Protect Yourself and Your Passengers
Know what’s required and what you need. Texas law requires the owner of a car or truck to buy insurance. But, it does not require you purchase insurance over the state minimum and that means that even a driver who buys insurance may not have enough coverage for injuries. Comprehensive and Collision coverages protect your investment in your daily transportation. Gap Coverage may be a good idea for a brand new car, unless you have guaranteed replacement cost from your insurer.