How to Compare Car Insurance Quotes 2024
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Cheap Car Insurance in Texas (2024)

Published on:
Content was accurate at the time of publication.

Texas Farm Bureau has the cheapest car insurance in Texas for most drivers, with rates for full and minimum coverage far below those of other companies in the state.

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You do need to pay membership dues to buy insurance from Texas Farm Bureau, but it should still have the lowest rates in most cases.

However, if you live in Texas and have incidents like accidents or DUIs on your driving record, State Farm may have the cheapest rates for you.

Cheapest full-coverage car insurance: Texas Farm Bureau

Texas Farm Bureau has the cheapest full-coverage car insurance for Texas drivers, at an average of $86 a month.

*Only available to current/former military and their families.

State Farm, Geico and USAA also offer full-coverage rates that are cheaper than the state average ($1,833). Only drivers with military ties can buy car insurance from USAA, though.

Full-coverage car insurance includes collision and comprehensive coverages on top of liability. It helps protect you against damage you cause to other vehicles, property or people, as well as damage to your own car.

Cheapest liability-only coverage: Texas Farm Bureau

Texas Farm Bureau charges the cheapest liability-only car insurance rates in Texas. Its average rate of $33 a month is 17% cheaper than that of its nearest competitor, State Farm.

Liability-only car insurance covers injuries you cause to others in a car accident. It also covers damage you cause to someone else’s vehicle or property. However, it doesn’t cover damage to your car or your own injuries.

Cheapest rates for young drivers: Texas Farm Bureau

The cheapest car insurance for young drivers in Texas also comes from Texas Farm Bureau. It charges $64 a month, on average, for minimum or liability-only coverage.

Most other companies in Texas charge much higher rates to teen drivers. The average rates from State Farm and Geico are over 50% higher than those of Texas Farm Bureau.

Cheapest car insurance for young drivers

CompanyAnnual rate
Texas Farm Bureau$770
State Farm$1,644
Geico$1,873
Allstate$2,260
Progressive$4,632
USAA$993

Teen drivers pay more for car insurance than older drivers do because they have a higher risk of accidents. This is why the cost of car insurance usually drops as you age, especially if you keep your driving record clean.

If car insurance is too expensive for you as a young driver, see if you qualify for any discounts that might help. Many insurance companies offer discounts to student drivers who get good grades, enroll in a safe driver program or take a driver education course.

Cheapest rates after a speeding ticket: Texas Farm Bureau

Texas drivers with a speeding ticket on their records should get a car insurance quote from Texas Farm Bureau. Its average rate of $86 a month is 19% cheaper than second-place State Farm.

Cheapest car insurance with a speeding ticket

CompanyAnnual rate
Texas Farm Bureau$1,036
State Farm$1,281
Geico$2,198
Allstate$2,804
Progressive$3,498
USAA$1,547

Car insurance rates go up by an average of 12% after you get a speeding ticket in Texas, though this can vary depending on your situation.

Cheapest rates after an accident: State Farm

State Farm has the lowest car insurance rates for Texas drivers after an accident, charging an average $124 a month.

Car insurance rates increase 53% after an accident in Texas, on average. However, State Farm only raises rates an average of 16%, based on our data.

Cheapest car insurance after an accident

CompanyAnnual rate
State Farm$1,489
Texas Farm Bureau$1,639
Geico$2,959
Progressive$4,135
Allstate$4,486
USAA$2,065

Best rates after a DUI: State Farm

State Farm has the best auto insurance rates after a DUI (driving under the influence) conviction. Its average rate in this case is $110 a month — this is 34% lower than what the next-cheapest insurer (Texas Farm Bureau) charges.

Cheapest car insurance with a DUI

CompanyAnnual rate
State Farm$1,324
Texas Farm Bureau$1,994
Progressive$3,102
Geico$3,303
Allstate$4,417
USAA$2,061

In Texas, a DUI can cause your car insurance rates to go up by an average of 47%. You may have to pay this higher rate for three to five years after the DUI, too.

Best rates for bad credit: Texas Farm Bureau

Texas drivers who have poor credit and want cheap car insurance should start their search with Texas Farm Bureau. It charges $195 a month, on average, in this situation.

Cheapest car insurance with bad credit

CompanyAnnual rate
Texas Farm Bureau$2,341
Allstate$3,954
Progressive$4,488
Geico$4,908
State Farm$7,256
USAA$2,357

USAA’s average rate for drivers with bad credit is nearly as low, at $196. If you or your spouse or parent is or was in the military, consider USAA as well while you shop for a policy.

The other insurance companies we surveyed in the state charged much higher rates than Texas Farm Bureau and USAA.

Texas insurance rates by city

Killeen has the cheapest car insurance rates among Texas’ largest cities. Its average rate is $1,618 a year, or $135 a month.

The Texas city with the most expensive car insurance is Dallas. The average rate there is $2,143 a year, or $179 a month.

CityAnnual rate
Amarillo$1,994
Arlington$1,897
Austin$1,818
Brownsville$1,852
Corpus Christi$1,767
Dallas$2,143
Denton$1,709
El Paso$1,763
Fort Worth$1,838
Garland$2,057
Grand Prairie$2,059
Houston$2,136
Irving$1,983
Killeen$1,618
Laredo$1,897
Lubbock$1,931
McAllen$2,107
McKinney$1,846
Mesquite$2,083
Midland$1,701
Pasadena$1,963
Plano$1,880
San Antonio$1,938
Waco$1,636

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How much is car insurance in Texas?

The average cost of car insurance in Texas is $1,833 a year for full coverage. Per month, the cost is $153.

For minimum or liability-only car insurance coverage, the average cost in Texas is $696 a year or $58 a month.

Full-coverage car insurance is 7% cheaper in Texas than the U.S. average. Meanwhile, liability car insurance is 10% cheaper.

Car insurance laws in Texas

Texas law doesn’t require drivers to have car insurance. It does, however, require drivers to show proof they can pay for any damage they cause in an accident — most people accomplish this by buying car insurance.

Minimum coverage for car insurance in Texas

If you buy car insurance in Texas, you need to get at least 30/60/25 liability coverage. This means you must buy these amounts of liability car insurance, at a minimum:

Coverage typeMinimum required amount
Bodily injury liability$30,000 per person, $60,000 per accident
Property damage liability$25,000 per accident

Source: Texas Department of Insurance

Bodily injury liability coverage protects you if you injure someone else in a car accident. Property damage liability protects you if you damage someone else’s car or property.

All car insurance policies offered to Texas drivers include personal injury protection, which pays medical bills for you and your passengers if you’re injured in an accident. It also covers some lost wages and other nonmedical expenses. If you don’t want it, you can reject it in writing.

Texas car insurance companies must also offer you uninsured and underinsured motorist coverage. These coverage types help you if someone who doesn’t have insurance (or doesn’t have enough insurance) hits and injures you or damages your car. You can reject this, too.

Methodology

The rates in this article are based on an analysis of auto insurance quotes obtained from Quadrant Information Services for sample drivers from across Texas (or the U.S., in the case of national averages).

Unless otherwise noted, our sample driver is a single 30-year-old male who owns a 2015 Honda Civic. Our young base driver is an 18-year-old male with a good driving record.

Minimum-coverage rates reflect the cost of policies meeting the minimum liability limits required by each state.

Full-coverage policies include these coverages, limits and deductibles:

  • Bodily injury liability: $50,000 limit per person/$100,000 limit per accident
  • Property damage liability: $25,000 limit
  • Collision: $500 deductible
  • Comprehensive: $500 deductible

Texas Farm Bureau has the cheapest car insurance in Texas for most drivers. This includes drivers with a speeding ticket on their records and those who have poor credit. Plus, teen drivers in Texas get the lowest rates from Texas Farm Bureau, too.

The average cost of car insurance per month in Texas is $153 if you buy full coverage. If you just buy liability coverage, however, the average cost is $58 a month.

You should buy enough car insurance to protect yourself if you’re in an accident, or if something else damages or destroys your car. Liability coverage only pays for injuries or damage you cause to others or their property.

Even then, the minimum amount of liability coverage the state requires may not be enough if you’re in a serious crash. Buying 100/300/100 liability coverage offers a lot more protection.

If you have a new or expensive vehicle, you should buy collision and comprehensive coverage. These coverage types pay to repair damage to your car, and they also pay to replace your car if it’s totaled.