(800) 253-1482Cheapest Car Insurance in Texas
Summary: Finding the cheapest car insurance in Texas can seem difficult because there are so many options. However, you drivers have plenty of options. Understanding your options can keep you safer on and off the road while saving money in the Lone Star State. Estimated Read Time: 10 mins
Table of Contents:
- How Much Is Car Insurance in Texas?
- What Are the Minimum Requirements for Auto Insurance in Texas?
- What Is Full Coverage Insurance in Texas?
- Why Is Car Insurance So Expensive in Texas?
- How Much Auto Insurance Do I Need in Texas?
- Pros and Cons of Only Having Liability Car Insurance in Texas
- How To Find the Cheapest Car Insurance in Texas
- Free, Quick Auto Insurance Quotes in Texas
How Much Is Car Insurance in Texas?
Drivers will pay different rates for a number of reasons. The cheapest car insurance in Texas for one person is unlikely to be the same for another. The average cost of car insurance varies from city to city. Here’s what this looks like across various cities in Texas in 2024:
For our methodology, we based the rates on minimum liability-only coverage for male drivers who are single, drive a car 18,000+ miles per year, have clean driving records, and haven’t submitted a claim within the last 3 years. Figures were calculated using data from the Texas Department of Insurance and the Office of Public Insurance Counsel.
How Much Is Car Insurance in Texas Monthly?
It would seem reasonable to simply divide the cost of the average above by 12 to receive your monthly average, however, that’s not accurate. This is because paying monthly will often cost you more than if you pay in full for six or 12-month periods.
Many carriers will provide you a discount for paying upfront and if it’s feasible for you to do so, consider paying for the year all at once to receive a notable discount on your overall premium. The amount will range but 5% to 15% discounts are common.
What Are the Minimum Requirements for Auto Insurance in Texas?
It is illegal for drivers in Texas to operate on the road without auto insurance. To remain legal in Texas, motorists must maintain the following liability limits for your coverage known as 30/60/25:
- $30,000 worth of coverage for Bodily Injury Liability per person
- $60,000 worth of coverage for Bodily Injury Liability per accident
- $25,000 worth of coverage for Property Damage Liability per accident
Assessing the state minimums is a great place to start when deciding your coverage but drivers who are looking for more protection options will need to assess their needs a bit further. Luckily, Texans have plenty of options for their car insurance.
What Is Full Coverage Insurance in Texas?
Full coverage auto insurance policies combine liability coverage along with collision and comprehensive coverages. Together, you’ll receive a multi-policy discount that allows you to save when you enroll in multiple forms of protection.
With that being said, your overall premium will still be higher than just having liability because you are protected for more. You’ll also have a deductible to pay before receiving reimbursement as both collision and comprehensive coverages come with them.
However, there are many benefits to enrolling in full coverage auto insurance. Texans who finance their vehicles may have no choice but to enroll as a condition of their loan. Here are some benefits to full coverage:
- Peace of mind because you are protected for more both on and off of the road
- A streamlined claims process and faster payment
- You can get your vehicle back in working order quicker
Even with the cost of your premium, full coverage can help you restore your vehicle and get back on the road quicker and more affordably in the aftermath of a loss.
Liability Coverage
There are two main types of liability coverage motorists will depend upon to keep them legal in Texas and protected when they are at fault for an accident:
- Property Damage Liability Coverage - Protection to help restore property damage to another party involved in an accident. This may include their vehicle, personal property, or damage to additional structures, such as a home.
- Bodily Injury Liability Coverage - Drivers who cause physical injury to another party and are at fault can rely on this coverage to mitigate the damages. This includes paying for medical bills, legal fees, and lost wages.
Liability coverage also applies to your passengers but it does not cover your vehicle.
Collision Coverage
While restoring another party’s vehicle is important, you’ll still need to find a way to cover the cost of your own vehicle. With cheap collision coverage, you can receive reimbursement after paying your deductible even if you are at fault for an accident involving another vehicle, hitting an object, or flipping your vehicle. In the state of Texas, even potholes are covered.
Comprehensive Coverage
Many perils can harm your vehicle that falls outside the realm of driving. Some common examples include:
- Accidents with animals (hitting a deer)
- Falling trees/branches and other objects
- Rocks or other objects kicked up by cars
- Storms, floods, wind, hail, earthquakes, and lightning
- Theft
- Vandalism, riots, explosions, and fire
- Windshield and glass damage
With comprehensive coverage, you’ll receive compensation to help restore the miscellaneous losses that may occur to your vehicle. Drivers should note that comprehensive coverage comes with a deductible that can typically range from $500 to $1,500.
Additional Coverages
The number of scenarios drivers may face is seemingly endless, which is why it’s always a good idea to prepare ahead. There are many different ways your policy can protect you that may or may not be practical for your risks. Here are some common examples:
- Gap coverage
- Rental car reimbursement
- Roadside assistance
- Medical payments or personal injury protection (PIP) coverage
- Uninsured/underinsured motorist (UI/UM) coverage
At the end of the day, the best car insurance in Texas is going to protect you from relevant threats to your vehicle and finances at the lowest price possible. Understand your risks, review your options, and shop around to pay less for the coverage you deserve.
Why Is Car Insurance So Expensive in Texas?
Your auto insurance rates are determined by assessing the amount of risk you pose as a driver to your insurance provider. Finding cheap car insurance in Texas means being a less risky driver as drivers with more risk will likewise pay higher rates.
There are a variety of factors that go into crafting your rate. Some of them are based on your personal factors and others rely on the characteristics of your vehicle and policies. Here’s a closer look:
- Age
- Gender
- Marital status
- Your driving record
- Where you live and drive
- The amount of coverage you choose
- Your claims history
- The vehicle you drive
- Your vehicle’s usage
- Deductibles
- Your insurance score
|
Factor That Determines Your Rate |
Description |
Can You Control It? |
|
Age |
Drivers with more experience are less likely to get into accidents as compared to younger drivers with less experience. |
No |
|
Gender |
Men typically pay more than women but this can change by age group. |
N/A |
|
Marital Status |
Married couples engage in fewer risky driving habits meaning singles pay more. |
Yes |
|
Your Driving Record |
If your driving record has fewer blemishes, you’ll spend less on car insurance and may even receive discounts. |
Yes |
|
Your Location |
From speed limits to accidents to crime rates, where you live affects your rates in many ways. |
Yes, but moving to save on auto insurance is rarely practical. |
|
The Amount of Coverage You Choose |
Drivers with more coverage options will pay higher premiums, but you’ll pay much more after an accident without adequate coverage. |
Yes |
|
Your Claims History |
Submitting claims can raise your rates and an excessive amount of claims may even see you dropped as a client. |
Yes, to a degree. |
How Much Auto Insurance Do I Need in Texas?
As long as you maintain the requirements for minimum car insurance coverage in Texas, you’ll be able to drive legally. But remember, liability coverage only won’t satisfy finance companies and the risks you will have to contend with could also leave you paying for costly repairs on your own.
The right amount of coverage is going to mean different things for different drivers. However, at the end of the day, you still need to protect yourself. To avoid out-of-pocket expenses, always review your protection needs and enroll in the proper coverages available.
Pros and Cons of Only Having Liability Car Insurance in Texas
With around 24 million driver's licenses issued, an overwhelming amount of Texans are drivers. Therefore, it makes sense that everyone has different needs and goals when it comes to their auto insurance. There’s no getting around it, all drivers need liability, but do you really need the other coverages? Here are some pros and cons to consider:
|
Pros: |
Cons: |
|
You’ll fulfill your financial responsibility requirements as required by law |
You can’t restore your vehicle through auto insurance after an at-fault accident |
|
Liability coverage only means paying less in premium |
Losses outside of an accident, such as theft or weather damage, won’t be covered |
|
Works great for older vehicles that need bare minimum protection |
Some losses during certain types of accidents aren’t covered |
|
You don’t have to worry about paying a deductible after an accident |
Finance companies typically won’t allow you to get a loan for a vehicle with liability coverage only |
For some, liability car insurance will be enough to keep their finances satisfied. Older vehicles don’t always require as much protection but understanding your options and risks is key. Always review your options with a licensed auto insurance agent before forgoing coverage you might actually need.
How To Find the Cheapest Car Insurance in Texas
Finding the best car insurance in Texas means taking the right steps to ensure your coverage needs are met and your premiums are as cheap as possible. If you want to save time and money, there is a process for success. Here’s how it breaks down:
Assess Your Risks While Driving and Parked
There’s no reason to sign up for auto insurance if you aren’t going to be covered for potential losses when you need protection the most. Every driver has different risk factors and assessing them beforehand is a key to success.
But be careful. Not only do you need to identify risk factors when driving, but you’ll also need to remember potential losses when your vehicle is parked.
Compare Quotes, Bundles, and Discounts
If you don’t compare a variety of carriers, you can’t be sure you aren’t overpaying. While this can be timely, the importance can’t be overstated. Because if you don’t compare your options, you’re at the mercy of carriers determining your premiums without discovering alternatives.
Getting multiple quotes is important but you’ll also want to make sure that you compare home and auto bundles and discounts. Some are more universal but specific discounts and bundles may be available from certain carriers and not others.
As long as you are getting your coverage from a top-rated carrier, meaning they are financially sound and provide quality customer service, you’re on the right track. Conduct your due diligence and find the right fit for your coverage and budget needs.
Consult an Auto Insurance Agent to Save Time and Money
If you want to gain peace of mind and save time, don’t risk missing the details. Licensed auto insurance agents can help you identify your risks, locate the most affordable coverage, and compare bundles/discounts in a fraction of the time particularly when you use an agent that is partnering with multiple top-rated carriers.
Free, Quick Auto Insurance Quotes in Texas
It doesn’t matter if you are just looking to stay legal or need more protection, the team at Freedom Insurance Group is ready to serve. Saving drivers in Texas an average of 40% on coverage since 2005, we partner with 25+ top-rated insurance carriers to deliver you lower premiums.
We’ll help you find the right coverages and you can even bundle with your homeowners insurance for more savings. Contact us today to find the cheapest car insurance in Texas, or get a free, no-obligation auto insurance quote with just a few clicks!
