Texas car insurance laws and requirements: What is changing in 2025

Q: Is it mandatory to have car insurance in Texas?

Yes , Texas requires that you carry at least the minimum mandatory coverage. Necessary coverage includes 30/60/25.

Q: Will my bare minimum car insurance cover me in another state?

Yes , your car insurance covers claims in another state, even if the minimums are higher in the other state.

Texas car insurance laws

Texas requires that drivers carry at least 30/60/25.

These limits are in place to ease the financial burden for drivers who cause an accident and for the victims. The at-fault driver knows their insurer will cover medical expenses and property damage up to a certain amount, and victims can more readily access funds to pay for accident costs.

However, coverage limits are very low and will not cover expenses from a serious accident. To be better protected, Texas drivers should consider increasing liability limits and adding coverage, such as collision and comprehensive.

Texas car insurance requirements

Texas requires the following coverage:

Liability. There are two parts to liability coverage. First, bodily injury liability pays medical costs associated with an accident, such as doctor visits, surgery, and prescriptions. Second, property damage liability covers repairing or replacing items such as vehicles, fences, or buildings.

Texas liability minimums are 30/60/25.

The average cost of a minimum coverage policy is $572. However, Texas Farm Bureau has the lowest minimum car insurance rates, averaging $363.

The table below shows the top insurers' average rates for minimum coverage in Texas.

Company	Average annual premium	Average monthly premium
Texas Farm Bureau	$363	$30
State Farm	$419	$35
Geico	$445	$37
Allstate	$560	$47
Auto Club Enterprises (AAA)	$564	$47
Nationwide	$596	$50
Redpoint Insurance	$656	$55
Progressive	$665	$55
Farmers	$1,122	$94
USAA	$446	$37

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Texas car insurance cost for minimum coverage limits

On average, state minimum car insurance costs $572. Car insurance rates for minimum coverage vary by company and driver. The table below shows average rates for drivers with minimum coverage in Texas.

The cheapest company for minimum coverage in Texas is Texas Farm Bureau at an average rate of $363 annually.

State minimum coverage limit	30/60/25
Average annual premium	$572
Average monthly premium	$48

Read our methodology

Are the Texas minimum coverage requirements changing in 2025?

Texas car insurance requirements will not change in 2025. You do not need to make any changes if you have minimum coverage. If mandatory coverage changes in the future, your insurer will inform you, along with any rate changes.

Why do limits change?

"Several states have minimum requirements of property damage of $10,000-$25,000," says Zack Pope, agency manager at David Pope Insurance in Missouri. "[Given] the current values of vehicles, that's extremely antiquated values of coverage and a main reason that I personally do not offer less than 100/300/100 to customers. It is significantly easier to see a car on the road that is valued at $100,000 than it has been in the past."

What does minimum car insurance cover in Texas?

Texas requires drivers to carry at least a minimum amount of car insurance to help offset accident costs.

Texas drivers are required to carry liability coverage. Bodily injury liability helps pay for injuries you cause to others in an accident. Property damage liability covers items damaged in an accident, such as another vehicle, fence, or other property.

Texas is a no-fault state, meaning your insurer pays for your injuries and damages regardless of who caused the accident. The law requires you to carry personal injury protectionPersonal injury protection (PIP) pays for your medical, hospital and funeral expenses resulting from a car accident, regardless of who's at fault. (PIP) to pay medical costs, such as doctor visits and prescriptions.

PEOPLE ASK:

Is Texas minimum car insurance enough?

It may not be. Even a moderately serious accident could exceed the state minimum limits of 30/60/25, and minimum coverage may not cover all accident costs. Furthermore, state minimums do not cover your vehicle; you need to add comprehensive and collision coverage.

How much car insurance is enough in Texas?

Car insurance isn't one size fits all. The amount of coverage you need depends on your assets, net worth and risk level.

For example, if you are financially stable and can afford to pay out of pocket for medical costs and repairs, you may keep insurance limits low. However, you may be sued for the cost difference if you have a sizeable net worth and don't carry enough insurance to cover expenses.

Additionally, if you drive very little or have a short commute, your chances of causing an accident are relatively low. Also, you may choose to skip coverages such as collision and comprehensive if your car isn't worth much, or you can afford to pay for a new vehicle if yours is damaged. However, if you have a loan or lease you will be required to carry this coverage by your lender.

Consider your financial situation when determining how much car insurance you need.

Texas penalties for driving without car insurance

Since Texas requires its drivers to carry car insurance, failing to do so has consequences. Although you may be tempted to skip coverage to save money, you'll wind up paying heavily in the long run.

Failing to carry Texas car insurance has penalties including those listed below. Keep in mind that repeated infractions have more severe penalties, such as jail time.

Fines	$170-$350
Other penalties	License suspension
Jail time	No

Read our methodology

Texas minimum coverage cost by age group

Younger drivers pay for more car insurance because they lack experience behind the wheel. Fortunately, rates decrease as drivers age.

The table below breaks down the cost of car insurance for various age groups. Redpoint Insurance has the best rates for teens with minimum coverage averaging $656. Texas Farm Bureau offers the cheapest coverage for adults at $365.

Additionally, females and males pay different rates. The average rate for a 40-year-old female is $576, and the average rate for a 40-year-old male is $567, a difference of $9.

Male

Male
Female

Age	Company	Male annual premium	Male monthly premium
16	Redpoint Insurance	$656	$55
16	Texas Farm Bureau	$1,159	$97
16	Geico	$1,332	$111
16	State Farm	$1,754	$146
16	Allstate	$1,866	$156
16	Nationwide	$2,928	$244
16	Auto Club Enterprises (AAA)	$2,995	$250
16	Progressive	$3,626	$302
17	Redpoint Insurance	$656	$55
17	Texas Farm Bureau	$871	$73
17	Geico	$1,117	$93
17	State Farm	$1,579	$132
17	Allstate	$1,601	$133
17	Auto Club Enterprises (AAA)	$2,470	$206
17	Nationwide	$2,907	$242
17	Progressive	$3,621	$302
17	Farmers	$4,535	$378
18	Redpoint Insurance	$656	$55
18	Texas Farm Bureau	$788	$66
18	Geico	$1,000	$83
18	Allstate	$1,351	$113
18	State Farm	$1,414	$118
18	Auto Club Enterprises (AAA)	$2,174	$181
18	Nationwide	$2,532	$211
18	Progressive	$2,934	$245
18	Farmers	$4,229	$352
19	Redpoint Insurance	$656	$55
19	Texas Farm Bureau	$714	$60
19	Geico	$825	$69
19	Allstate	$1,221	$102
19	State Farm	$1,239	$103
19	Auto Club Enterprises (AAA)	$1,778	$148
19	Progressive	$1,819	$152
19	Nationwide	$2,147	$179
19	Farmers	$3,294	$275
20	Texas Farm Bureau	$647	$54
20	Redpoint Insurance	$656	$55
20	Geico	$736	$61
20	State Farm	$1,060	$88
20	Allstate	$1,108	$92
20	Auto Club Enterprises (AAA)	$1,569	$131
20	Progressive	$1,595	$133
20	Nationwide	$1,797	$150
20	Farmers	$2,993	$249
21	Texas Farm Bureau	$599	$50
21	Geico	$613	$51
21	Redpoint Insurance	$656	$55
21	State Farm	$856	$71
21	Allstate	$907	$76
21	Nationwide	$1,158	$97
21	Auto Club Enterprises (AAA)	$1,226	$102
21	Progressive	$1,256	$105
21	Farmers	$1,973	$164
22	Texas Farm Bureau	$555	$46
22	Geico	$564	$47
22	Redpoint Insurance	$656	$55
22	State Farm	$770	$64
22	Allstate	$830	$69
22	Nationwide	$1,014	$85
22	Auto Club Enterprises (AAA)	$1,055	$88
22	Progressive	$1,141	$95
22	Farmers	$1,818	$152
23	Geico	$527	$44
23	Texas Farm Bureau	$534	$45
23	Redpoint Insurance	$656	$55
23	State Farm	$677	$56
23	Allstate	$765	$64
23	Nationwide	$938	$78
23	Auto Club Enterprises (AAA)	$946	$79
23	Progressive	$1,032	$86
23	Farmers	$1,631	$136
24	Geico	$504	$42
24	Texas Farm Bureau	$514	$43
24	State Farm	$591	$49
24	Redpoint Insurance	$656	$55
24	Allstate	$707	$59
24	Nationwide	$878	$73
24	Auto Club Enterprises (AAA)	$885	$74
24	Progressive	$951	$79
24	Farmers	$1,544	$129
25	Geico	$489	$41
25	Texas Farm Bureau	$495	$41
25	State Farm	$512	$43
25	Allstate	$656	$55
25	Redpoint Insurance	$656	$55
25	Nationwide	$728	$61
25	Auto Club Enterprises (AAA)	$743	$62
25	Progressive	$802	$67
25	Farmers	$1,414	$118
30	Texas Farm Bureau	$410	$34
30	State Farm	$415	$35
30	Geico	$438	$37
30	Allstate	$563	$47
30	Auto Club Enterprises (AAA)	$571	$48
30	Nationwide	$619	$52
30	Redpoint Insurance	$656	$55
30	Progressive	$718	$60
30	Farmers	$1,192	$99
35	Texas Farm Bureau	$386	$32
35	State Farm	$412	$34
35	Geico	$432	$36
35	Allstate	$561	$47
35	Auto Club Enterprises (AAA)	$564	$47
35	Nationwide	$609	$51
35	Redpoint Insurance	$656	$55
35	Progressive	$677	$56
35	Farmers	$1,070	$89
40	Texas Farm Bureau	$386	$32
40	State Farm	$419	$35
40	Geico	$435	$36
40	Allstate	$560	$47
40	Auto Club Enterprises (AAA)	$564	$47
40	Nationwide	$593	$49
40	Progressive	$655	$55
40	Redpoint Insurance	$656	$55
40	Farmers	$1,074	$90
45	Texas Farm Bureau	$386	$32
45	State Farm	$422	$35
45	Geico	$433	$36
45	Allstate	$560	$47
45	Auto Club Enterprises (AAA)	$563	$47
45	Nationwide	$583	$49
45	Progressive	$651	$54
45	Redpoint Insurance	$656	$55
45	Farmers	$1,106	$92
50	Texas Farm Bureau	$381	$32
50	State Farm	$408	$34
50	Geico	$433	$36
50	Allstate	$540	$45
50	Auto Club Enterprises (AAA)	$558	$47
50	Nationwide	$568	$47
50	Progressive	$618	$52
50	Redpoint Insurance	$656	$55
50	Farmers	$1,061	$88
55	Texas Farm Bureau	$332	$28
55	State Farm	$397	$33
55	Geico	$433	$36
55	Allstate	$513	$43
55	Nationwide	$531	$44
55	Auto Club Enterprises (AAA)	$552	$46
55	Progressive	$631	$53
55	Redpoint Insurance	$656	$55
55	Farmers	$994	$83
60	Texas Farm Bureau	$336	$28
60	State Farm	$387	$32
60	Geico	$438	$37
60	Nationwide	$481	$40
60	Allstate	$511	$43
60	Auto Club Enterprises (AAA)	$556	$46
60	Progressive	$626	$52
60	Redpoint Insurance	$656	$55
60	Farmers	$949	$79
65	Texas Farm Bureau	$336	$28
65	State Farm	$390	$33
65	Geico	$453	$38
65	Allstate	$511	$43
65	Nationwide	$528	$44
65	Auto Club Enterprises (AAA)	$594	$50
65	Progressive	$627	$52
65	Redpoint Insurance	$656	$55
65	Farmers	$1,183	$99
70	Texas Farm Bureau	$336	$28
70	State Farm	$412	$34
70	Geico	$499	$42
70	Allstate	$560	$47
70	Nationwide	$651	$54
70	Redpoint Insurance	$656	$55
70	Auto Club Enterprises (AAA)	$662	$55
70	Progressive	$695	$58
70	Farmers	NA	NA
75	Texas Farm Bureau	$384	$32
75	State Farm	$451	$38
75	Geico	$547	$46
75	Redpoint Insurance	$656	$55
75	Allstate	$663	$55
75	Auto Club Enterprises (AAA)	$737	$61
75	Nationwide	$765	$64
75	Progressive	$854	$71
75	Farmers	NA	NA
16	USAA	$1,369	$114
17	USAA	$1,069	$89
18	USAA	$1,019	$85
19	USAA	$879	$73
20	USAA	$763	$64
21	USAA	$700	$58
22	USAA	$649	$54
23	USAA	$606	$51
24	USAA	$575	$48
25	USAA	$544	$45
30	USAA	$470	$39
35	USAA	$457	$38
40	USAA	$443	$37
45	USAA	$430	$36
50	USAA	$419	$35
55	USAA	$415	$35
60	USAA	$424	$35
65	USAA	$462	$39
70	USAA	$530	$44
75	USAA	$619	$52

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Age	Company	Female annual premium	Female monthly premium
16	Redpoint Insurance	$656	$55
16	Texas Farm Bureau	$1,019	$85
16	Geico	$1,265	$105
16	State Farm	$1,364	$114
16	Allstate	$1,866	$156
16	Nationwide	$2,318	$193
16	Auto Club Enterprises (AAA)	$2,728	$227
16	Progressive	$3,233	$269
17	Redpoint Insurance	$656	$55
17	Texas Farm Bureau	$766	$64
17	Geico	$1,073	$89
17	State Farm	$1,231	$103
17	Allstate	$1,601	$133
17	Auto Club Enterprises (AAA)	$2,289	$191
17	Nationwide	$2,304	$192
17	Progressive	$3,223	$269
17	Farmers	$4,220	$352
18	Redpoint Insurance	$656	$55
18	Texas Farm Bureau	$693	$58
18	Geico	$978	$82
18	Allstate	$1,351	$113
18	State Farm	$1,113	$93
18	Auto Club Enterprises (AAA)	$1,962	$164
18	Nationwide	$2,005	$167
18	Progressive	$2,643	$220
18	Farmers	$3,997	$333
19	Redpoint Insurance	$656	$55
19	Texas Farm Bureau	$627	$52
19	Geico	$819	$68
19	Allstate	$1,221	$102
19	State Farm	$974	$81
19	Auto Club Enterprises (AAA)	$1,555	$130
19	Progressive	$1,691	$141
19	Nationwide	$1,682	$140
19	Farmers	$3,142	$262
20	Texas Farm Bureau	$568	$47
20	Redpoint Insurance	$656	$55
20	Geico	$723	$60
20	State Farm	$848	$71
20	Allstate	$1,108	$92
20	Auto Club Enterprises (AAA)	$1,366	$114
20	Progressive	$1,511	$126
20	Nationwide	$1,489	$124
20	Farmers	$2,928	$244
21	Texas Farm Bureau	$525	$44
21	Geico	$616	$51
21	Redpoint Insurance	$656	$55
21	State Farm	$659	$55
21	Allstate	$907	$76
21	Nationwide	$1,020	$85
21	Auto Club Enterprises (AAA)	$1,132	$94
21	Progressive	$1,232	$103
21	Farmers	$1,714	$143
22	Texas Farm Bureau	$486	$41
22	Geico	$564	$47
22	Redpoint Insurance	$656	$55
22	State Farm	$609	$51
22	Allstate	$830	$69
22	Nationwide	$889	$74
22	Auto Club Enterprises (AAA)	$967	$81
22	Progressive	$1,136	$95
22	Farmers	$1,558	$130
23	Geico	$547	$46
23	Texas Farm Bureau	$468	$39
23	Redpoint Insurance	$656	$55
23	State Farm	$555	$46
23	Allstate	$765	$64
23	Nationwide	$818	$68
23	Auto Club Enterprises (AAA)	$859	$72
23	Progressive	$1,025	$85
23	Farmers	$1,427	$119
24	Geico	$531	$44
24	Texas Farm Bureau	$450	$38
24	State Farm	$512	$43
24	Redpoint Insurance	$656	$55
24	Allstate	$707	$59
24	Nationwide	$764	$64
24	Auto Club Enterprises (AAA)	$828	$69
24	Progressive	$939	$78
24	Farmers	$1,382	$115
25	Geico	$510	$43
25	Texas Farm Bureau	$434	$36
25	State Farm	$430	$36
25	Allstate	$656	$55
25	Redpoint Insurance	$656	$55
25	Nationwide	$671	$56
25	Auto Club Enterprises (AAA)	$676	$56
25	Progressive	$827	$69
25	Farmers	$1,359	$113
30	Texas Farm Bureau	$360	$30
30	State Farm	$415	$35
30	Geico	$458	$38
30	Allstate	$563	$47
30	Auto Club Enterprises (AAA)	$573	$48
30	Nationwide	$609	$51
30	Redpoint Insurance	$656	$55
30	Progressive	$746	$62
30	Farmers	$1,261	$105
35	Texas Farm Bureau	$339	$28
35	State Farm	$412	$34
35	Geico	$457	$38
35	Allstate	$561	$47
35	Auto Club Enterprises (AAA)	$566	$47
35	Nationwide	$604	$50
35	Redpoint Insurance	$656	$55
35	Progressive	$714	$60
35	Farmers	$1,180	$98
40	Texas Farm Bureau	$339	$28
40	State Farm	$419	$35
40	Geico	$455	$38
40	Allstate	$560	$47
40	Auto Club Enterprises (AAA)	$564	$47
40	Nationwide	$599	$50
40	Progressive	$674	$56
40	Redpoint Insurance	$656	$55
40	Farmers	$1,170	$98
45	Texas Farm Bureau	$339	$28
45	State Farm	$422	$35
45	Geico	$449	$37
45	Allstate	$560	$47
45	Auto Club Enterprises (AAA)	$563	$47
45	Nationwide	$578	$48
45	Progressive	$670	$56
45	Redpoint Insurance	$656	$55
45	Farmers	$1,167	$97
50	Texas Farm Bureau	$335	$28
50	State Farm	$408	$34
50	Geico	$449	$37
50	Allstate	$539	$45
50	Auto Club Enterprises (AAA)	$556	$46
50	Nationwide	$552	$46
50	Progressive	$620	$52
50	Redpoint Insurance	$656	$55
50	Farmers	$1,078	$90
55	Texas Farm Bureau	$292	$24
55	State Farm	$397	$33
55	Geico	$449	$37
55	Allstate	$512	$43
55	Nationwide	$526	$44
55	Auto Club Enterprises (AAA)	$554	$46
55	Progressive	$611	$51
55	Redpoint Insurance	$656	$55
55	Farmers	$1,029	$86
60	Texas Farm Bureau	$295	$25
60	State Farm	$387	$32
60	Geico	$449	$37
60	Nationwide	$495	$41
60	Allstate	$511	$43
60	Auto Club Enterprises (AAA)	$556	$46
60	Progressive	$615	$51
60	Redpoint Insurance	$656	$55
60	Farmers	$993	$83
65	Texas Farm Bureau	$295	$25
65	State Farm	$390	$33
65	Geico	$457	$38
65	Allstate	$511	$43
65	Nationwide	$518	$43
65	Auto Club Enterprises (AAA)	$585	$49
65	Progressive	$644	$54
65	Redpoint Insurance	$656	$55
65	Farmers	$1,159	$97
70	Texas Farm Bureau	$295	$25
70	State Farm	$412	$34
70	Geico	$490	$41
70	Allstate	$559	$47
70	Nationwide	$609	$51
70	Redpoint Insurance	$656	$55
70	Auto Club Enterprises (AAA)	$643	$54
70	Progressive	$689	$57
70	Farmers	$1,171	$98
75	Texas Farm Bureau	$338	$28
75	State Farm	$451	$38
75	Geico	$536	$45
75	Redpoint Insurance	$656	$55
75	Allstate	$663	$55
75	Auto Club Enterprises (AAA)	$706	$59
75	Nationwide	$656	$55
75	Progressive	$778	$65
75	Farmers	$1,352	$113
16	USAA	$1,311	$109
17	USAA	$1,023	$85
18	USAA	$981	$82
19	USAA	$841	$70
20	USAA	$737	$61
21	USAA	$681	$57
22	USAA	$632	$53
23	USAA	$597	$50
24	USAA	$561	$47
25	USAA	$541	$45
30	USAA	$479	$40
35	USAA	$466	$39
40	USAA	$449	$37
45	USAA	$437	$36
50	USAA	$427	$36
55	USAA	$423	$35
60	USAA	$417	$35
65	USAA	$445	$37
70	USAA	$525	$44
75	USAA	$603	$50

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Texas minimum coverage cost by city

El Paso drivers pay the least for minimum coverage in Texas at $565. However, Corpus Christi pay the most at $686.

Car insurance rates vary by city. For example, drivers in larger cities with a high traffic volume or vehicle theft rate pay higher rates.

The table below shows average minimum coverage rates for cities in Texas.

City	Average annual premium	Average monthly premium
El Paso	$565	$47
Lubbock	$583	$49
Austin	$600	$50
Fort Worth	$618	$52
Arlington	$647	$54
San Antonio	$649	$54
Houston	$668	$56
Dallas	$673	$56
Plano	$679	$57
Corpus Christi	$686	$57

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Optional car insurance coverage in Texas

Texas requires drivers to carry car insurance to pay for injuries and damages caused to others. However, drivers don't have to carry coverage for their vehicle unless required by a loan or lease.

Drivers may choose optional coverages such as:

Collision. Collision coverage pays for damages to your vehicle if you cause an accident.
Comprehensive. This coverage pays for damages to your car unrelated to an accident, such as fire, flood, falling debris, and hail.
Rental car coverage. This pays for a rental car if your vehicle is being repaired for a covered claim and usually has time and cost limits.
Roadside assistance. If you run out of gas, need a tire changed, or have a dead battery roadside assistance will send someone to help.
Gap. Gap coverage pays the difference between what you owe on a car loan and the vehicle's value.

Methodology

Insurance.com commissioned state minimum car insurance rates from Quadrant Information Systems based on a 40-year-old driver with good credit and a clean driving history, driving a 2023 Honda Accord LX. Rates are based on all coverages required by law at minimum coverage limits. Rates were also fielded for various additional age groups. State laws were gathered from state DMV and insurance department websites.

Texas car insurance laws and requirements: FAQs

Is it mandatory to have car insurance in Texas?

Yes, Texas requires that you carry at least the minimum mandatory coverage. Necessary coverage includes 30/60/25.

Will my bare minimum car insurance cover me in another state?

Yes, your car insurance covers claims in another state, even if the minimums are higher in the other state.

What happens if I drive without car insurance in Texas?

If you're caught driving without car insurance in Texas, you may face fines, a driver's license suspension, having your vehicle impounded, and increased car insurance rates. Additionally, you may face jail time, especially for multiple violations.