The average cost of car insurance in Texas is $1,794 a year, or $149 a month for a full coverage policy. The coverage levels you choose, the car you drive and your driving history will all impact what you pay for auto insurance in Texas.
Whether for full coverage or state minimum liability, State Farm has the cheapest car insurance in Texas on average. Geico and Auto Club Enterprises also offer cheap rates.
Read on to compare Texas car insurance rates by coverage level, driving record and more.
Key takeaways
- The cheapest companies for Texas auto insurance are State Farm and Geico.
- Drivers with bad credit will get the cheapest rates with Nationwide.
- Texas auto insurance rates are a little above the national average, but shopping around can get them well below average.
- The cheapest car insurance in Texas by coverage level
- Cheapest auto insurance in Texas for drivers with accidents
- Cheapest Texas car insurance rates with a speeding ticket
- Texas car insurance rates for teen drivers
- Cheapest car insurance in Texas for bad credit
- Best car insurance companies in Texas
- How much car insurance do you need in Texas?
- Compare Texas auto insurance quotes
- Compare auto insurance rates by city in Texas
The cheapest car insurance in Texas by coverage level
The cheapest car insurance company in Texas at all coverage levels we compared is State Farm.
For state minimum car insurance in Texas, Geico is the second-cheapest, while Nationwide has the second-cheapest rates for full coverage.
Here are average car insurance rates from Texas insurers for state minimum, 50/100/50 liability only and full coverage car insurance at 100/300/100 with $500 deductibles.
| Company | State minimum | 50/100/50 liability only | 100/300/100 with $500 deductibles |
|---|---|---|---|
| State Farm | $355 | $450 | $1,202 |
| Geico | $407 | $495 | $1,386 |
| Auto Club Enterprises (AAA) | $438 | $562 | $1,438 |
| Nationwide | $588 | $645 | $1,207 |
| USAA | $379 | $457 | $1,612 |
| Mercury Insurance | $484 | $598 | $1,830 |
| Progressive | $627 | $751 | $1,800 |
| Farmers | $738 | $986 | $2,431 |
| Allstate | $569 | $727 | $3,236 |
Cheapest auto insurance in Texas for drivers with accidents
If you have an accident on your record, you can expect your insurance rate to go up. Based on the rates for the companies listed below, the average increase after an accident is 62%.
However, at State Farm, it’s only 20%, so it’s not surprising that State Farm is the cheapest insurance company for Texas drivers with an accident. Take a look at the increase in rates across companies after an at-fault property damage accident below.
| Company | Clean record | 1 at-fault accident | $ increase | % increase |
|---|---|---|---|---|
| State Farm | $1,364 | $1,642 | $278 | 20% |
| Nationwide | $1,292 | $2,080 | $788 | 61% |
| Geico | $1,524 | $2,400 | $876 | 57% |
| Auto Club Entreprises | $1,614 | $2,641 | $1,027 | 64% |
| USAA | $1,718 | $2,724 | $1,006 | 59% |
| Progressive | $1,956 | $3,183 | $1,227 | 63% |
| Mercury | $2,080 | $3,981 | $1,901 | 91% |
| Farmers | $2,597 | $4,945 | $2,348 | 90% |
| Allstate | $3,574 | $5,615 | $2,042 | 57% |
Cheapest Texas car insurance rates with a speeding ticket
While a speeding ticket will increase your rates, it won’t cost you nearly as much as an accident. The average increase in Texas for a driver with a speeding ticket is 27%, based on the company rates below. Our analysis found that average rates don’t increase at all with two companies: State Farm and Allstate. However, that will depend on personal factors.
Here are the cheapest companies for car insurance with a speeding ticket in Texas:
| Company | Clean record | 1 speeding ticket | $ increase | % increase |
|---|---|---|---|---|
| State Farm | $1,364 | $1,364 | $0 | 0% |
| Nationwide | $1,292 | $1,661 | $369 | 29% |
| USAA | $1,718 | $1,943 | $226 | 13% |
| Geico | $1,524 | $2,245 | $721 | 47% |
| Auto Club Entreprises | $1,614 | $2,258 | $643 | 40% |
| Progressive | $1,956 | $2,602 | $646 | 33% |
| Mercury | $2,080 | $2,856 | $775 | 37% |
| Allstate | $3,574 | $3,574 | $0 | 0% |
| Farmers | $2,597 | $3,642 | $1,045 | 40% |
Texas car insurance rates for teen drivers
Adding a teen driver to your car insurance is expensive, so shopping around for the best rates is a must. In Texas, Nationwide has the lowest rates for a teen driver on a parent’s policy, whether that teen is male or female.
| Company | Parent policy | Female teen | Male teen |
|---|---|---|---|
| Allstate | $3,216 | $5,902 | $7,035 |
| Auto Club Enterprises (AAA) | $1,582 | $3,697 | $3,317 |
| Geico | $1,541 | $2,963 | $3,086 |
| Farmers | $2,473 | $5,163 | $5,352 |
| Mercury Insurance | $1,856 | $4,813 | $6,059 |
| Nationwide | $1,319 | $2,047 | $2,246 |
| Progressive | $1,845 | $3,999 | $4,442 |
| State Farm | $1,372 | $2,363 | $2,662 |
| USAA | $1,516 | $3,170 | $3,412 |
Cheapest car insurance in Texas for bad credit
Few things will increase your car insurance rates as much as bad credit. In Texas, it’s legal for insurance companies to use your credit history when calculating rates. On average, based on the rates below, a driver with poor credit pays 74% more than a driver with good credit.
The cheapest company for a driver with poor credit in Texas is Auto Club Enterprises (AAA) at $2,50 a year. Farmers Insurance has the smallest increase for poor credit at only 19%, but base rates start higher.
| Company | Good credit | Poor credit | $ increase | % increase |
|---|---|---|---|---|
| Auto Club Entreprises | $1,614 | $ 2,508 | $ 894 | 55% |
| Farmers | $2,597 | $2,846 | $481 | 19% |
| Geico | $1,524 | $2,930 | $2,625 | 172% |
| Mercury | $2,080 | $3,078 | $850 | 41% |
| Nationwide | $1,292 | $3,144 | $688 | 53% |
| Progressive | $1,956 | $3,479 | $1,523 | 78% |
| Allstate | $1,980 | $3,574 | $2,115 | 59% |
| State Farm | $1,364 | $4,149 | $1,482 | 109% |
| USAA | $1,718 | $5,689 | $1,426 | 83% |
Best car insurance companies in Texas
There are a lot of ways to rate insurance companies, and what makes a company the best for you depends on a lot of personal factors, from rates to the way you prefer to buy insurance.
Below, we’ve listed J.D. Power’s ratings for car insurance companies in Texas. This is based on the 2022 survey of overall customer satisfaction.
Farm Bureau topped the list, with a score of 873, well above the regional average of 844. Although USAA rated very highly at 885, it isn’t ranked by J.D. Power since it caters only to military families.
| Company | J.D. Power rating (out of 1,000) |
|---|---|
| Texas Farm Bureau | 873 |
| State Farm | 851 |
| Geico | 843 |
| Automobile Club of Southern California (AAA) | 835 |
| Allstate | 832 |
| Progressive | 831 |
| Farmers | 819 |
How much car insurance do you need in Texas?
When you shop for car insurance, first determine what level of coverage suits your needs. The minimum car insurance coverage in Texas is 30/60/25, which means:
- $30,000 for each injured person per accident
- Up to a total of $60,000 per accident
- $25,000 for property damage per accident
However, state minimum requirements are typically too low to provide sufficient coverage. Even minor accidents can cause damage resulting in repairs and medical bills that exceed these levels, leaving you to pay the difference. Higher limits are recommended.
Also, state-required liability coverage does not cover damage to your car. For that, you need the optional coverages of comprehensive and collision.
Compare Texas auto insurance quotes
To find the best price on car insurance in Texas for your needs, request quotes from three to five different companies. Make sure you use the same coverage levels for every quote.
In addition to comparing quotes, be sure you’re getting the best deal by doing the following:
- Check to see which car insurance discounts apply to you.
- Raise your deductible to get lower rates.
- Bundle auto coverage with your home or renters’ insurance policy for a discount
- Keep a clean driving record to earn a discount.
