Lone Star Cruising: Updates & Insurance Insights for Cheap Car Insurance in Texas 2024

Get ready to explore vibrant cities, sprawling prairies, and stunning coastlines with cheap car insurance in Texas with these key updates for car drivers in 2024:

Texas Vehicle Code Changes:

  • No major code changes implemented in 2024: Existing laws regarding distracted driving, speeding, and other regulations remain in effect. (Source: Texas Transportation Code Chapter 545)
  • Continued focus on infrastructure improvements: State initiatives for better roads, bridge repairs, and traffic management remain ongoing. Stay updated through the Texas Department of Transportation. (Source: Texas Department of Transportation)
  • Increased awareness for autonomous vehicle (AV) testing: Limited pilot programs for testing autonomous vehicles on designated roads may begin. Stay informed through the Texas Department of Motor Vehicles. (Source: Texas Department of Motor Vehicles)


Remember: These are just highlights, and other changes may apply. Visit the Texas Department of Motor Vehicles website for complete information. (Source: Texas Department of Motor Vehicles)

Average Auto Insurance Rates in Texas (2024)

(Sources: The Zebra, ValuePenguin)

Company

Full Coverage

Minimum Coverage

State Farm

$1,317

$445

GEICO

$1,263

$401

Progressive

$1,351

$387

Farmers

$1,400

$429

Liberty Mutual

$1,459

$457

Remember: Individual rates in Texas can vary significantly based on driving history, location, vehicle type, and desired coverage. Consider the mandatory 25/50/25 liability coverage limit when comparing options.

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Image credit: Pixabay

Cheap Minimum Liability Car Insurance In Texas

If you’re looking for affordable Texas car insurance, a policy that meets the Texas liability car insurance requirements would be your best option. These are plans that offer cheap liability car insurance in Texas allowed by state laws.

Minimum liability plans are inexpensive, but they may not provide greater security in the event of an accident.

The average cost of minimum liability car insurance in Texas is $162 per month. According to our research, Clearcover provides the cheapest car insurance rates for minimum liability coverage, costing on average $95 per month.

Provider Average Monthly Price Monthly Cost in Harris County Monthly Cost in Dallas County Monthly Cost in Tarrant County Monthly Cost in Bexar County Monthly Cost in Travis County
Clearcover $95 $102 $104 $97 $90 $82
Elephant $134 $149 $137 $146 $120 $116
Mercury $144 $151 $164 $148 $130 $127
Liberty Mutual $198 $200 $235 $197 $184 $175
GAINSCO $238 $254 $295 $216 $223 $204

Key Point: Is Minimum Coverage Enough in Texas?

While minimum coverage might be enough according to state laws, you’ll have to consider many  factors to decide if it’s right for you.

If you drive regularly or own a newer car, then minimum coverage might not be the right option. On the other hand, if you want to insure an older vehicle which you don’t drive often, then minimum coverage could offer you adequate protection at a lower monthly price.

Cheapest Full Coverage Car Insurance in Texas

The top three most affordable auto insurance in Texas are: Allstate, Mercury, and Elephant.

The average yearly cost of car insurance in Texas is $2,172 for full coverage or $156 per month. According to the Insurance Information Institute, between 2018 and 2019, the average yearly cost of automobile insurance in Texas was $1,148, which is $83 higher than the national average of $1,065 over the same period.

Provider Average Monthly Price Monthly Price in Harris County Monthly Cost in Dallas County Monthly cost in Tarrant County Monthly cost in Bexar County Monthly cost in Travis County
Allstate $126 $120 $170 $116 $116 $110
Mercury $175 $184 $200 $179 $160 $153
Elephant $177 $195 $181 $192 $162 $155
State Auto $178 $224 $191 $174 $156 $143
Liberty Mutual $249 $251 $304 $251 $227 $214

Cheap Car Insurance in Texas for good drivers

If you haven’t had any serious traffic offenses on your record in the last five years, like speeding tickets, DUIs, or a car accident, you’ll likely be able to get the cheapest car insurance in Texas. You may even be able to qualify for a safe driver car insurance discount and enjoy low car insurance.

Auto insurance company may also offer discounts for auto insurance to drivers who complete qualified defensive driving courses. Just check with your agent before enrolling in a course to ensure that it qualifies for inexpensive car insurance in Texas .

For drivers in Texas with a good driving record, Allstate offers the cheapest auto insurance in Texas at an average monthly cost of $115. We also recommend looking at Elephant and Mercury’s car insurance plans for “good drivers.”

Provider Average Monthly Price Monthly Price in Harris County Monthly Cost in Dallas County Monthly cost in Tarrant County Monthly cost in Bexar County Monthly cost in Travis County
Allstate $115 $108 $151 $107 $105 $102
Elephant $155 $170 $158 $168 $141 $136
Mercury $158 $166 $180 $162 $144 $140
State Auto $164 $205 $179 $161 $143 $133
Travelers $262 $267 $280 $262 $255 $246

Key Point: What Is Safe Driver Discount?

A Safe Driver Discount may be available to drivers who have a record of clean driving for a specified time period. This means you could save on your car insurance if your household has had no:

  • Driving-related accidents.
  • Violations.
  • Major comprehensive claims.

Cheap Auto Insurance in Texas for Bad Drivers (DUI, Traffic Ticket) 

An insurance company sees a high-risk driver as someone who is likely to file a claim in the future. The following characteristics and past history play a role in the cost of high-risk car insurance in Texas:

  • Speeding tickets.
  • At-fault accidents.
  • Living in a high-risk area.
  • Being a teen driver.
  • Poor credit.
  • DUI/DWI.

In Texas, a DUI offense can increase your annual car insurance premium by an average of $762. That’s 44% less than the national average rate hike after a DUI. Mercury, Mendota, and Elephant remain the cheapest car insurance companies for “bad” drivers.

Provider Average Monthly Price Monthly Price in Harris County Monthly Cost in Dallas County Monthly cost in Tarrant County Monthly cost in Bexar County Monthly cost in Travis County
Mercury $227 $205 $268 $241 $213 $207
Mendota $257 $285 $282 $260 $236 $224
Elephant $278 $222 $344 $316 $258 $248
GAINSCO $295 $314 $365 $267 $276 $252
Direct Auto $318 $342 $338 $302 $322 $288

Inexpensive Car Insurance for Young Drivers in Texas

Teenage drivers are more likely to be involved in accidents than adult drivers, making them riskier to insure.

As in most other states, the auto insurance for a teenage driver will typically be higher for auto insurance in Texas than insurance for the average middle aged driver.

Through our research of car insurance companies, we found that Elephant is the most affordable car insurance in Texas for young drivers, with their car insurance costing on average $255 per month.

Provider Average Monthly Price Monthly Price in Harris County Monthly Cost in Dallas County Monthly cost in Tarrant County Monthly cost in Bexar County Monthly cost in Travis County
Elephant $255 $294 $259 $276 $228 $216
MileAuto $403 N/A $465 $396 $378 $373
Liberty Mutual $435 $441 $498 $420 $382 N/A
Dairyland $440 $495 $502 $434 $407 $364
The General $574 $689 $682 $510 $531 $459

Top Companies for Cheap Automobile Insurance in Texas

1. Elephant

Elephant is a subsidiary of Admiral Group, one of the UK’s leading insurers. With a presence in eight countries, the Admiral Group and its subsidiaries serve over 6 million customers.

In addition to auto insurance and motorcycle insurance, Elephant offers roadside assistance coverage, with services such as:

  • Towing.
  • Jump starting.
  • Lockout service.
  • Emergency fuel.
  • Help with a flat tire.

Elephant also writes policies for homeowners insurance, renters insurance, and condo insurance.

It was founded in 2009 and is headquartered in Richmond, Virginia. Elephant currently also sells car insurance in seven other states, namely Illinois, Indiana, Maryland, Ohio, Tennessee, Texas, and Georgia.

Better Business Bureau (BBB) rating: A+

2. Mercury

Mercury is a multiple-line car insurance organization with over $4 billion in assets, roughly 4,500 employees, and more than 8,000 independent agents in 11 states.

The types of insurance they offer include:

  • Personal automobile.
  • Homeowners.
  • Renters.
  • Business.

The company was founded in 1961 and is headquartered in Los Angeles, California, but also operates in 10 other states, namely Arizona, Florida, Georgia, Illinois, Nevada, New Jersey, New York, Oklahoma, Texas, and Virginia.

Better Business Bureau (BBB) rating: A

3. Liberty Mutual

Liberty Mutual Group is a diversified worldwide insurer based in the U.S., and it is the country’s sixth-largest property and casualty insurer.

Based on 2020 revenue, it is ranked 71st on the Fortune 100 list of the largest firms in the U.S.

Although Liberty Mutual has its headquarters in Boston, it operates in 29 different countries and economies around the world.

Better Business Bureau (BBB) rating: A+

4. Direct Auto

Based in Columbus, Ohio, State Auto Insurance specializes in Auto Insurance, Business Insurance, Homeowner’s Insurance, and Farm & Ranch Insurance in 33 states, including the mid-west, Tennessee, and Texas.

The company sells its products primarily through independent agents. Its core insurance products for individuals include:

  • Auto.
  • Home.
  • Personal.
  • Umbrella.

The company was founded in 1921 and has grown to assets of $4.6 billion.

Better Business Bureau (BBB) rating: A+

Key Point: What Is Umbrella Insurance?

Umbrella insurance is extra insurance that provides protection beyond existing limits and coverages of other policies.

5. GAINSCO

GAINSCO Auto Insurance is one of the biggest property, casualty, and car insurance providers in Texas.

They concentrate in the non standard auto insurance market, focusing on low-cost non standard car insurance and high-risk car insurance.

GAINSCO was established in 1978 as a Texas corporation based in Dallas, Texas, with a regional office in Miami, Florida.

They are also available in the following 15 states: Utah, Arizona, New Mexico, Oklahoma, Tennessee, Virginia, South Carolina, Georgia, Alabama, Ohio, Indiana, Arkansas, Illinois, Missouri, and Wisconsin.

Better Business Bureau (BBB) rating: A 

Cost of Auto Insurance in Different Parts of Texas

Car insurance companies calculate your insurance quote depending on a variety of factors, one of which is the vehicle’s location.

Here are the average annual prices for car insurance premiums within some of the largest Texas cities:

City Annual Price
Houston $2,146
San Antonio $1,837
Dallas $2,093
Austin $1,796
Fort Worth $1,856
El Paso $1,830
Arlington $1,915
Corpus Christi $1,806
Plano $1,819
Lubbock $1,771
Average $1,887

 

Tips for Choosing The Best Cheap Car Insurance in Texas

Minimum insurance requirements: A minimum amount of liability auto insurance coverage is required by law for Texas drivers. This includes minimum liability insurance for bodily injury liability and property damage liability.

Texas law requires you to have at least:

  • $30,000 of coverage for injuries per person.
  • $60,000 per accident.
  • $25,000 of coverage for property damage.

This is called 30/60/25 insurance coverage.

Lender requirements: If you’re financing or leasing your car, you’ll likely have to get car insurance to meet the needs of your lender. For example, if you still owe money on your car, your lender will require that you have comprehensive and collision insurance.

If you cancel and lose your auto insurance, your lender will buy single-interest insurance and add the cost to your loan payment which is expensive and  protects the lender.

Get multiple car insurance quotes: Before you sign a plan, it’s always a good idea to shop around to see if you’re getting the best vehicle insurance quotes. Whether you do it yourself or use a licensed insurance agent, you might be able to find low priced car insurance.

Auto Insurance in Texas FAQs

Am I required to carry car insurance in the state of Texas?

Texas law requires all drivers to have adequate auto insurance. According to state law, drivers need to have minimum car insurance in Texas of $30,000 per injured person, up to at least $60,000 per accident. Additionally, Texas drivers must have coverage for property damage of at least $25,000.

Which company has the cheapest car insurance in Texas?

We found that Clearcover offers the low cost car insurance quotes for minimum coverage insurance in Texas. They charge an average of $95 monthly for minimum coverage. The cheapest full coverage car insurance, however, is Allstate with $126 per month.

What is the cost of car insurance in Texas?

On average, minimum-coverage auto insurance in Texas costs $666 per year, or $56 per month, while full coverage costs around $156 per month or $1,872 per year.

What is the best auto insurance in Texas?

Knowing what you’re looking for inexpensive insurance, the quickest customer service, a digital app, or specialty coverage can help you figure out which providers will best suit your needs. You may then compare car insurance quotes from a few of these businesses to see which one is the best fit for you.

How much car insurance do I need in Texas?

Texas requires both liability insurance and uninsured motorist liability insurance. The minimum level of vehicle insurance required by state law is:

  • Bodily injury liability coverage: $30,000 per person, $60,000 per accident.
  • Property damage liability coverage: $25,000.
  • Personal injury protection (PIP): $2,500 unless you reject this coverage.
  • Uninsured motorist coverage: $30,000 per person, $60,000 per accident.
  • Uninsured motorist property damage: $25,000 and a $250 deductible unless you reject this coverage.

Disclaimer:

Cheap Insurance strives to keep all listed information accurate and up-to-date. The information we provide shouldn’t be considered as the price or amount you will pay for any form of insurance provided by the auto insurance companies discussed on the CheapInsurance.com website. All information displayed on this website is presented without warranty and is non-binding. Visitors to the CheapInsurance.com website should contact CheapInsurance.com, their insurance broker, or their financial provider for final pricing, offers, and quotes.

Methodology:

Our researchers sourced insurance quotes from auto insurance companies that operate in the regions we investigated. We used a standardized base profile for each section to compare auto insurance offers. For the following sections:

  • Minimum Liability Car Insurance
  • Cheapest Full Coverage Insurance
  • Cheapest Car Insurance for Good Drivers (Clean Driving Records)
  • Cheap auto insurance for bad drivers

Base profile used:   Gender: Male    Marital Status: Married    Age: 32    Vehicle: The most popular sedan by sales in the state    Vehicle Year: 2017    Model Type: The most basic type/entry-level model.    Mileage: 12000 miles

  • Cheapest Car Insurance for Young Drivers

Base profile used:   Marital Status: Single    Age: 20    Gender: Male    Vehicle: Drives the most popular sedan by sales in the state    Vehicle Year: 2017    Model Type: The most basic type/entry-level model.    Mileage: 12000 miles