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The Best Cheap Texas Car Insurance for 2022

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Texas car insurance laws require drivers to carry at least some liability coverage, but finding a great deal isn't always easy. The secret to scoring the cheapest car insurance in Texas is to focus on the right providers and compare quotes from several of them to see which can offer you the best deal. Here are a few of the best car insurance companies in Texas that drivers may want to consider in their search:

  • Cheapest for typical drivers: Texas Farm Bureau Insurance
  • Cheapest for drivers with one speeding ticket: State Farm
  • Cheapest for young drivers: Redpoint County Mutual
  • Cheapest for senior drivers: Texas Farm Bureau Insurance
  • Cheapest for drivers looking for minimum coverage: Texas Farm Bureau Insurance

Cheapest for typical drivers

The best car insurance in Texas for typical drivers is Texas Farm Bureau Insurance. On average, its premiums cost $1,378.

Farm Bureau

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Best for Texas drivers with a clean driving recordFarm Bureau
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Other companies offering affordable car insurance in Texas include:

  • State Farm, which has average premiums of $1,461 per year
  • Redpoint County Mutual which has average premiums of $1,478 per year

Cheapest for drivers with one speeding ticket

State Farm offers the best car insurance in Texas for drivers with a single speeding ticket. Its average premium of $1,461 per year falls well below the state average of $2,700.

State Farm

Logo for State Farm
Best for Texas drivers with prior accidentsState Farm
Rating image, 5.00 out of 5 stars.
5.00 stars
Info Icon Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair
= Poor

But some of its competitors aren't far behind. These include:

  • Texas Farm Bureau Insurance, which had an average annual premium of $1,477 for drivers with a single speeding ticket
  • Redpoint County Mutual, which had an average premium of $1,478 per year for drivers that have a single speeding ticket

Cheapest for young drivers

Teen drivers can expect to pay about $6,439 per year on average to get Texas auto insurance. But those who go with Redpoint County Mutual could score a much lower rate. Its average annual premium for 18-year-old drivers is $1,478 per year.

The following companies also offer some of the cheapest car insurance in Texas to young drivers:

  • Texas Farm Bureau, which has an average annual premium of $2,280 per year
  • USAA, which has an average annual premium of $3,234 per year

Cheapest for senior drivers

Senior drivers pay about $2,110 for Texas auto insurance on average. But drivers who choose Texas Farm Bureau Insurance could pay roughly half that. Its average annual premium for a 65-year-old driver is $1,184.

Other Texas auto insurance companies that stood out for senior drivers include:

  • State Farm, which charges senior drivers about $1,302 per year on average
  • Germania Fire & Casualty, which has an average annual premium of $1,471 for senior drivers

Cheapest for drivers looking for minimum coverage

Drivers looking for cheap liability car insurance in Texas should consider Texas Farm Bureau Insurance. It only charges about $487 per year on average, which is far less than the $712 state average.

Other companies that offer affordable minimum coverage for Texas residents include:

  • State Farm, which provides Texas minimum car insurance for $513 per year on average
  • USAA, which charges about $541 per year for minimum coverage on average

Average car insurance cost in Texas compared to the national average

How much is car insurance in Texas? It currently costs about $2,968 per year on average, according to our research. That's a little above the national average of $2,875. But it's still possible to score cheap car insurance quotes in Texas if you try some of the tips below.

AVERAGE RATE CATEGORY TEXAS NATIONAL AVERAGE
Overall $2,968 $2,875
Young drivers $6,480 $6,087
1 accident on driving record $3,427 $3,226
1 speeding ticket on driving record $2,789 $2,840
Data source: Quadrant data.

Texas auto insurance laws

Here are some key Texas auto insurance laws drivers should be aware of.

Texas is an at-fault state

At-fault auto insurance states require the driver who is found to be at fault in the accident to pay for medical bills for themselves and the other driver, if necessary. This is different from no-fault states, where both drivers are supposed to have personal injury protection (PIP). Each uses their own PIP to pay for their medical expenses, regardless of who caused the accident.

Consequences for driving without insurance in Texas

The first time a person is caught driving without insurance in Texas, they can expect a fine somewhere between $175 and $350. Subsequent offenses can bring fines between $350 and $1,000. Driving without insurance can also lead to suspension of a driver's license and vehicle registration. Some may even have their vehicles impounded.

Texas minimum coverage requirements

Texas minimum coverage requirements include the following.

Bodily injury liability coverage

Texas drivers are required to have at least:

  • $30,000 of bodily injury liability coverage per person
  • $60,000 of bodily injury liability coverage per accident

Property damage liability coverage

Drivers in Texas must also purchase at least $25,000 in property damage liability coverage to pay for vehicle repairs or other personal property they damage in a crash.

How to get cheap auto insurance in Texas

Try these tips to score the cheapest car insurance in Texas.

  • Shop around: All insurance companies weigh the various parts of a driver's application differently, so getting multiple car insurance quotes is key to determining which will offer the best car insurance in Texas. Start with some of the companies listed above.
  • Look into discounts: Car insurance companies have their own set of discounts to help drivers save. Some insurance discounts are automatically applied when a driver signs up while others require drivers to opt in. For example, an increasing number of insurers offer discounts to drivers willing to install a monitoring device in their vehicles to demonstrate their safe driving habits.
  • Raise the deductible: Car insurance deductibles are your out-of-pocket costs in the event of an accident, while premiums are the monthly costs you pay for your insurance. Raising the deductible often lowers Texas auto insurance premiums. If a driver saves for their deductible in an emergency fund, this shouldn't affect their financial security in the event of an accident.

Other things to consider when looking for car insurance in Texas

Keep the following things in mind when shopping for cheap auto insurance in Texas.

Texas sees the most hail claims of any state in the U.S.

There were nearly 193,000 Texas auto insurance claims filed in 2019 due to hail, according to the Insurance Information Institute. That's far and away the most in the country. Drivers may be able to avoid this issue by parking their vehicles in a garage or under a carport. But this isn't always possible.

It's wise to invest in comprehensive coverage as well. This pays for weather-related damages to your vehicle as well as animal-vehicle crashes and more. Lenders may require drivers with a lease or loan on their vehicle to purchase this coverage.

Odessa, Texas is a hotbed for auto theft

Drivers in the Odessa, Texas area can expect to pay slightly more for auto insurance than drivers in other parts of the state because Odessa sees a high rate of vehicle thefts every year, according to the Insurance Information Institute.

This is yet another reason to consider investing in comprehensive coverage, even if you aren't required to have it. It will pay a driver for their stolen vehicle if they're unable to recover it or if they do recover it and it's damaged. State minimum liability coverage won't protect drivers from this.

Ask the experts

Franklin J. Potts

Franklin J. Potts

Associate Professor of Finance, Insurance & Real Estate at Baylor University Hankamer School of Business

What additional coverage do you recommend specifically for Texas drivers?

Everyone should have underinsured and uninsured coverage. A good credit score can reduce your rates. Texas has a large number of uninsured drivers and even more who have minimum liability. These drivers are responsible for a large percentage of the accidents.

FAQs

  • The average cost of auto insurance for the "typical" driver with a clean driving record is $1,378. Your cost will depend on factors such as:

    • Your driving history
    • Your credit score
    • Where in the state you live
    • The type of vehicle you drive
    • Your age
    • Number and type of discounts for which you qualify
  • Texas auto insurance is near the national average. If a particular policy is expensive, it may be due to speeding tickets, accidents on the driver's record, poor credit history, driving a high-end car, or several other factors.

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