Average Cost of Car Insurance in Texas in 2023

How much is car insurance in Texas?

Texas car insurance rates are not far from the national average, with full coverage costing only $5 more than average and minimum coverage coming in at $57 less than average. Your rate is likely to differ from the average because every premium rate is based on information that is specific to you: your age, gender, credit rating and more, along with details about your car's age, make and model.

Texas car insurance rates by city

The average car insurance rate in Texas varies based on where you live. Often, city dwellers pay more for car insurance because of the higher traffic density and higher likelihood of accidents, as opposed to sparsely-populated rural areas. Rates in Houston, Texas' biggest city, are the highest among the cities we analyzed, followed by Dallas, San Antonio, Fort Worth and Austin. These are five of the largest cities in the state, so it's not surprising that their average rates are on the high side.

Keep in mind that your individual ZIP code affects your premiums. Rates will likely vary even within individual cities, but knowing the average in your city may help you feel more confident when shopping for auto insurance.

Average car insurance costs by age and gender in Texas

Insurers are in the business of risk, and drivers who are in high-risk categories are likely to pay more on their insurance. For example, data shows that teen drivers are statistically more likely to be in an at-fault accident, since they do not have a great deal of driving experience. So their average rates are higher than a driver in their twenties or thirties — except in Hawaii and Massachusetts, which ban the use of age in determining policy rates. Similarly, male drivers are statistically more likely to engage in unsafe driving habits than females, so their rates will thus be higher in many states to offset the risks that the insurer takes on by selling them a policy.

Cost considerations for young drivers in Texas

Young drivers in Texas face higher average premiums than their older counterparts. In general, the younger and more inexperienced a driver is, the more likely they are to be involved in an auto accident or traffic violation. Insurance companies balance out this increased risk by charging young drivers higher premiums. Until the age of 18, drivers cannot be on their own policy, and must be on a parent or guardian’s. However, young drivers may save money on premiums by staying on their parents’ policy after turning 18. Car insurance companies tend to charge less for young adults on a parent's policy. The table below shows the average rates for young drivers on their own policies compared to those on their parents' policy:

*16- and 17-year-old drivers must be on their parents’ policy.

How does driving record impact the cost of car insurance in Texas?

How much is car insurance in Texas with incidents on your driving record? A moving violation of any kind is likely to increase your premium unless you have accident forgiveness as a part of your policy. The most serious infractions are DUIs, which can cause your premium to increase by an average of 50 percent, to $3,026. Even a single speeding ticket can bring about increased premium costs. However, raising your rate an average of 8 percent, to $2,187. On the other hand, drivers with a clean driving record, who practice safe driving habits and avoid infractions, will pay the lowest premiums, averaging $2,019 for full coverage.

The following are average rate increases for drivers with infractions on their license.

Car insurance rates in Texas by credit score

Those with good credit are likely to pay less for their insurance, with the average car insurance cost in Texas for a driver with excellent credit coming in at $1,752, or 13 percent below the state average. At the other end of the spectrum, poor credit scores may see you paying an average of $3,304 annually, or 64 percent above the state average. 

Below are average rates that you may see depending on your credit scores.

Texas car insurance rates by vehicle type

The type of car you drive will have an impact on your car insurance rates in Texas. Your insurer will look at crash statistics for your car and consider what safety features are installed. It will look at how often cars like yours are stolen as well as how often they are involved in accidents. Some cars, such as sports cars, are more likely to be driven recklessly, and this makes them more expensive to insure. 

Below, we compiled average car insurance rates for a few common makes and models.

How to save on car insurance in Texas

Although the average car insurance cost in Texas is $2,019, you may be able to pay less by taking a few simple steps. Lowering your rate is possible any time you renew or purchase a new policy by considering the following:

• Utilize discounts. Texas drivers can access discounts from almost all insurance companies. Some are offered for simply bundling your car insurance with home or renters insurance, or you may earn a discount for driving safely. Ask your agent or check online to see what discounts your company offers.
• Practice safe driving while behind the wheel. Texas drivers who avoid accidents and the subsequent claims are more likely to pay a low rate. As our rate data showed, an at-fault accident, speeding ticket conviction or DUI raises rates significantly. Consider taking a defensive driving course if you're not sure about your skills.
• Gather several quotes. One key recommendation by experts is to shop around when considering a new policy. Obtaining free quotes and comparing rates can help drivers find which auto insurance company will offer them the lowest premiums for the coverage they seek. When doing this, make sure to specify the same types and limits of coverage on each quote.
• Review your policy each year. If there have been any changes in your life in the past year — such as a move to a new location or job switch that means a shorter commute — there may be savings you can earn on your premium by adjusting your policy.

Estimate your car insurance cost in Texas

Frequently asked questions