TexasCar Insurance

Find the Best Car Insurance Quotes and Options in Texas

The average cost of car insurance in Texas is $1,449 per year. That makes car insurance costs in Texas higher than the national average of $1,311 per year. However, everyone’s car insurance rates will be different, based on where they live and their personal characteristics. 

No matter where you live, it’s usually important to purchase not just the cheapest coverage but the right coverage for your needs, so if you have to file a claim, your policy will cover it. While this can cost more, it can make a huge difference when you need it most. 

An independent insurance agent can help you find the right car insurance for your needs and budget. Here, we’ll explain some important facts about car insurance in Texas. 

Best Car Insurance Companies in Texas

You can purchase car insurance from many insurance companies in Texas. Which is the best one for you? We’ve selected some of the best car insurance companies in Texas to help you get started. Perhaps one of these top carriers will be the best for your needs. 

• Best Texas Car Insurance Company Overall: USAA
• Best Texas Car Insurance Company for Minimum Liability: USAA 
• Best Texas Car Insurance Company for Full Coverage: Texas Farm Bureau
• Best Texas Car Insurance Company for Young Drivers: Progressive
• Best Texas Car Insurance Company for Accident History: Nationwide

An independent insurance agent in Texas can help you determine if any of these companies have the right car insurance policy for your needs and budget.

Best Texas Car Insurance Company Overall: USAA

Our pick for the best overall car insurance company in Texas is USAA. The carrier ranks high for claims satisfaction, ease of interaction, customer service, trust, and other important factors. 

USAA was founded in 1922 by 25 Army officers who decided to insure each other's vehicles. Over time, the organization grew to serve millions in the military community, offering a variety of personal insurance products as well as other financial products and services. 

USAA’s net worth has surpassed $40 billion. The carrier has more than 13 million members and 37,000 employees. USAA consistently receives high marks for financial stability, including an "A++" rating from AM Best, the highest available.

Unfortunately, not everyone can take advantage of USAA’s superior performance. Only active duty and retired military members and select family members are eligible for USAA membership and insurance coverage.

Best Texas Car Insurance Company for Minimum Liability: USAA

If you’re looking for minimum liability coverage, USAA is again a top choice for Texas residents. The carrier allows customers to get bare minimum auto insurance at around $578 per year. 

Highly affordable coverage combined with high customer satisfaction ratings makes USAA an easy choice for eligible members.  

Best Texas Car Insurance Company for Full Coverage: Texas Farm Bureau Insurance

The best car insurance company in Texas for full coverage is Texas Farm Bureau Insurance. It offers full coverage policies with premiums averaging around $85 per month.

Texas Farm Bureau offers some of the most competitive quotes in the car insurance industry. Cheap rates and solid customer service make Farm Bureau a worthy option to consider for any customer.

Although there is an annual fee for Farm Bureau membership, it is usually less than $100 and is offset by the company’s low rates. Membership in the Texas Farm Bureau is open to all drivers or homeowners, not just farmers.

Texas Farm Bureau is a member of Farm Bureau, a national organization with memberships across America that focuses on building strong, prosperous agricultural communities. Texas Farm Bureau Insurance builds and manages a financially strong, efficient, and member-oriented operation that supports the Farm Bureau parent organization's objectives and membership growth goals. It is headquartered in Waco, TX, with over 300 claims personnel and 300 offices throughout the state. 

Texas Farm Bureau Insurance is consistently rated excellent by AM Best. It serves more than 500,000 policyholders and their families. 

Best Texas Car Insurance Company for Young Drivers: Progressive

Drivers between the ages of 16 and 25 typically pay very high car insurance rates because of the extra risk presented by their inexperience behind the wheel. While insuring a teen driver is never cheap, Progressive is one of the best insurance companies for teen drivers in Texas. 

Car insurance for young drivers in Texas can cost around $773 per month with Progressive. The company also offers a good student discount so students with good grades can save on their car insurance. 

Progressive Mutual Insurance Company was founded in 1937 when the company introduced the country’s first drive-in claims location. Progressive is based in Ohio but offers car insurance across all 50 states. Texas residents can look to Progressive for most of their personal insurance needs. 

Progressive receives high marks for financial stability, with an "A+" (Superior) rating from AM Best.

Best Texas Car Insurance Company for Accident History: Nationwide

Your driving record is one of the most important factors in what you pay for car insurance in Texas. Every insurance company wants to know if you’ve been at fault for an accident in the past in order to determine how risky you might be to cover.

In these cases, Nationwide earns a spot on our list of top picks. Nationwide is one of the best Texas car insurance companies for drivers with an accident history. The company is highly rated for its customer service and for offering affordable policies for drivers with bad records. If you’ve had an at-fault accident, you can get a car insurance policy in Texas for about $221 per month from Nationwide. 

Founded in 1926 as the Farm Bureau Mutual Automobile Insurance Company, today Nationwide is one of the largest insurance and financial services corporations in the world. Nationwide offers a variety of personal and business insurance products. The company is financially stable, earning "A+" ratings from AM Best and Standard & Poor’s.

Texas Car Insurance Requirements

Drivers in Texas must purchase a car insurance policy that meets the state's minimum coverage requirements. In Texas, you must have the following coverage, at a minimum, in order to comply with state law and avoid penalties. 

• Bodily injury liability coverage: Protects you if you injure or kill someone while driving your car. It covers an injured party's claims for damages, including medical expenses, lost wages, and pain and suffering. It also covers your legal defense fees if another party involved in the accident sues you. In Texas, you must have this coverage in the amount of $30,000 per person and $60,000 per accident, at a minimum.
• Property damage liability coverage: Pays for any damage that you cause to the property of others (e.g., another driver’s car) and for your legal defense if you are sued. In Texas, you must have this coverage in the amount of at least $25,000 per accident.

Optional car insurance coverages in Texas include:

• Uninsured motorist coverage: Protects you if you are hit by a hit-and-run driver or a driver who does not have auto liability coverage. It takes the place of liability insurance that the other driver should have but does not. Insurance companies in Texas must offer you this coverage. If you don’t want it, you must tell the company in writing.
• Underinsured motorist coverage: Protects you if another motorist is at fault for a collision but does not have enough insurance to cover your losses.
• Personal injury protection (PIP): Pays medical bills for you and your passengers regardless of who is at fault for an accident. It also pays for things like lost wages and other nonmedical costs. All auto policies in Texas include PIP coverage, but you can waive coverage in writing.
• Medical payments coverage: Pays medical bills for you and your passengers regardless of who is at fault for an accident. It also pays if you’re hurt while riding in someone else’s car or while walking or biking.
• Collision coverage: Covers the cost to repair or replace your vehicle if it is damaged or totaled in a collision, regardless of fault.
• Comprehensive coverage: Covers the cost to repair or replace your vehicle if it is damaged or totaled by a non-collision event such as a hailstorm or theft.
• Roadside assistance coverage: Pays for help if you are locked out of your vehicle, run out of gas, or face some other type of problem while out on the road. Your insurance company will help you contact tow trucks, locksmiths, or other forms of assistance as needed and will reimburse you for the costs of these services up to specific limits.
• Rental reimbursement coverage: Provides payment for a rental car if your vehicle is damaged and you must rent a vehicle while it is being repaired.
• Loan/lease or gap coverage: Pays the difference between what you owe on a vehicle and its cash value if it is totaled.

An independent insurance agent in Texas will help you find a car insurance policy that includes the coverage you need.

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Average Cost of Car Insurance in Texas

The average cost of car insurance in Texas is $1,449 per year, which is more than the national average of $1,311 per year. Everyone’s car insurance costs differ slightly depending on your personal risk factors (e.g., age, gender, accident history, etc.) and the types and amounts of coverage you select. You can find ways to reduce your car insurance costs in Texas by taking advantage of car insurance discounts that you may be eligible for.

Average Texas Car Insurance Costs by City

The city where you live is one of the most important factors in what you’ll pay for car insurance in Texas. This is because the city’s crime rate, severe weather frequency, traffic density, and more can all impact how at-risk you and your car are for being in an accident, stolen, or subject to some other kind of damage (e.g., hail damage). 

Dallas has the costliest car insurance in Texas at an average of $1,684 per year, or $140 per month. Not coincidentally, Dallas has a higher rate of auto theft than most other cities in the state. Conversely, on average, Laredo residents pay much less for car insurance in a city where the car theft rate is also much lower.  

Finding Car Insurance Discounts in Texas

One of the best ways to save on car insurance in Texas is to make sure that you take advantage of any car insurance discounts for which you may be eligible. One of the most common discounts is the multi-policy discount, which rewards you with savings if you have more than one policy with the same carrier (e.g., home and auto). The other common auto insurance discounts offered in Texas include the following: 

• Student driver discounts: If you have a student driver in your household, you may be able to take advantage of a good student discount if your child gets a B average or better. Many insurance companies also offer discounts for students who won’t be using their parents’ cars while they are away at school.  Your young driver may also be able to receive a discount by participating in an insurance-company-approved or sponsored safe driving course. 
• Safe driver discount: Drivers who maintain a clean driving record over a period of time may be able to receive an ongoing discount from their insurance company. 
• Anti-theft device discount: Some insurance companies offer discounts when your car has certain anti-theft devices installed. 
• Military discount: Active or retired members of the military can often qualify for auto insurance discounts. 
• Paperless billing discount: Many insurance companies offer a discount for policyholders who agree to receive paperless billing statements. 
• Other car insurance discounts: Being a member of a particular group, such as an employment union, may make you eligible for a car insurance discount specifically for members. 

Your independent insurance agent in Texas can help you find all the car insurance discounts you qualify for. 

How to Find the Best Car Insurance Quote in Texas

Finding the best car insurance quote in Texas requires comparing several insurance companies and making an informed choice, but you don’t have to go it alone. An independent insurance agent can help you obtain and review quotes from multiple insurance companies and choose the one that offers the best coverage for your needs and budget. An independent agent works for you, free of charge, to help you through the process. 

How to File a Car Insurance Claim in Texas

Filing a car insurance claim in Texas is always going to be stressful. If you know what to do in advance, it can help the process go more smoothly. If you’re in a car accident, here are some tips for filing your insurance claim:

• Check for and tend to injuries: Check yourself, your passengers, and anyone else involved in the accident for injuries. Seek immediate medical treatment for anyone who is injured. 
• Call the police: Filing a police report ensures that your accident is on the record and that all the appropriate information has been collected. That way, your insurance company will have a reliable source of information about the details of your accident. 
• Contact your independent insurance agent: Your Texas independent insurance agent can get the process started by connecting you with your insurance company, or by even filing the claim for you. Your agent can guide you throughout the claims process. 
• Schedule an appointment with an adjuster: Your insurance company will likely want to evaluate the damage before you seek repairs for your car. That means you’ll likely need to set up an appointment with an adjuster who works for your carrier.
• Get repairs: If necessary, get your vehicle repaired by a reputable auto body shop or a shop recommended by your insurance company. 
• Get a rental vehicle: If you’re without your car for a while as it's being repaired, consider getting a rental vehicle. If you have rental reimbursement coverage, you’ll have some help paying for the cost of your rental car. 

An independent insurance agent in Texas can help you through the claims process and answer your questions about how best to file your claim. 

How does your city measure up to the national average?

National average time spent commuting  25.4 Min

National average car thefts per 1,000 2.29 Year

National average car insurance cost $1,311 Year

City	Commute time (min)	Auto thefts / 1,000 vehicles	Annual insurance cost
Amarillo	18.2	4.83	$1,472
Arlington	27.4	3.1	$1,514
Austin	24.5	3.07	$1,396
Corpus Christi	19.4	2.71	$1,330
Dallas	27.1	7.52	$1,684
El Paso	23.2	1.24	$1,248
Fort Worth	27.2	3.65	$1,533
Garland	29.5	3.98	$1,566
Grand Prairie	29.1	2.55	$1,531
Houston	27.7	5.56	$1,605
Irving	24.2	2.89	$1,446
Laredo	20.7	0.97	$1,154
Lubbock	16.6	4.73	$1,412
Plano	26.8	1.53	$1,312
San Antonio	24.7	4.99	$1,549

Texas Car Insurance FAQs