The average annual cost of full coverage car insurance in Texas is $1,823 per year, or $151 per month, according to Bankrate’s study of quoted annual premiums. 1,560 ZIP codes were studied to find average premiums in the state.
Car insurance in the Lone Star State costs $149 more than the national average. Car insurance rates in a state can be influenced by crash statistics, severe weather patterns, cost of living, crime rates and number of uninsured drivers, among other variables. While these averages may be on the higher end, knowing what affects your personalized quote may help you find ways to save.
- Texans pay an average of $524 annually for minimum coverage and $1,823 annually for full coverage car insurance.
- Houston residents pay some of the highest rates in Texas, with an average full coverage premium of $2,146 per year.
- 18-year-olds pay the highest auto premiums on average, at $5,778 per year for full coverage.
How much is car insurance in Texas?
How much is car insurance in Texas? Texans pay $149 more than the average American per year for full coverage car insurance. Meanwhile, minimum coverage car insurance in the state costs Texans $416 less per year than the national average. Texas auto insurance rates are determined using numerous rating factors, including your age and gender, driving record, ZIP code, vehicle type, how many miles you drive each year, and even your credit history.
Texas car insurance rates
| Average annual minimum coverage premium | Average annual full coverage premium |
|---|---|
| $152 | $1,823 |
Texas car insurance rates by city
The average cost of car insurance in Texas varies by city. Auto insurance is often more expensive in cities than in rural areas due to higher traffic, which can lead to more car accidents and insurance claims. Houston drivers pay an average of 18% more than the average full coverage premium in Texas, while drivers in Lubbock and Tyler pay 3% less than the state average.
| City | Average annual premium for full coverage | Percentage difference in average annual premium from state average |
|---|---|---|
| Houston | $2,146 | 18% |
| San Antonio | $1,837 | 1% |
| Dallas | $2,093 | 15% |
| Austin | $1,796 | -1% |
| Fort Worth | $1,856 | 2% |
| El Paso | $1,830 | 0% |
| Arlington | $1,915 | 5% |
| Corpus Christi | $1,806 | -1% |
| Plano | $1,819 | 0% |
| Lubbock | $1,771 | -3% |
| Laredo | $2,015 | 11% |
| Spring | $1,923 | 5% |
| Katy | $1,930 | 6% |
| Garland | $2,047 | 12% |
| Amarillo | $1,895 | 4% |
| Irving | $1,989 | 9% |
| Brownsville | $2,026 | 11% |
| Grand Prairie | $1,968 | 8% |
| Pasadena | $2,027 | 11% |
| Tyler | $1,769 | -3% |
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.
Texas car insurance rates by company
Texas auto insurance rates vary significantly by company. For example, full coverage costs an average of $2,889 per year from Fred Loya but $1,339 per year from Geico. To help you find the best car insurance in Texas, we compiled average premiums from the top insurance companies in Texas by market share.
| Car insurance company | Average annual premium for minimum coverage | Average annual premium for full coverage |
|---|---|---|
| Allstate | $557 | $1,705 |
| AmTrust Financial | $573 | $2,008 |
| California Casualty | $678 | $2,824 |
| Chubb | $638 | $2,250 |
| Delek | $665 | $1,553 |
| Fred Loya | $449 | $2,889 |
| Geico | $391 | $1,339 |
| Kemper | $669 | $3,129 |
| Mercury | $526 | $1,722 |
| MetLife | $662 | $2,375 |
| Nationwide | $499 | $1,362 |
| Sentry | $721 | $2,669 |
| State Auto | $628 | $2,508 |
| State Farm | $518 | $1,411 |
| USAA | $395 | $1,344 |
| White Mountains | $424 | $1,533 |
Remember that car insurance premiums are a combination of multiple factors, so the quotes you receive from the companies above are likely to be different from the average premiums.
Cost of living in Texas and car insurance
Texas drivers spend an average of 2.70% of their annual income on car insurance, which is higher than the national average of 2.44%. When shopping for the best car insurance rates in Texas, factoring in your other expenses — so that you are looking at your broader financial picture — can be helpful. The graph below shows the average annual cost of living in Texas, including the average cost of car insurance. Use this graph as a guide to help determine your overall expenses so that you can decide what insurance rates fit in your budget.
Texas car insurance rates by age
Average car insurance rates in Texas vary greatly by age. Eighteen-year-old drivers pay an average of $5,778, the highest of any age group, likely due to the high likelihood that teens have of getting into accidents.
| Age | Average annual premium for full coverage |
|---|---|
| Age 16* | $2,860 |
| Age 18 | $5,778 |
| Age 20 | $4,452 |
| Age 25 | $2,350 |
| Age 30 | $2,072 |
| Age 40 | $1,823 |
| Age 50 | $1,775 |
| Age 60 | $1,703 |
| Age 70 | $1,835 |
*Rate reflects the increase to add a 16-year-old driver to their parents’ policy, not the full policy premium.
After 25, premiums generally start to decrease as drivers gain more experience behind the wheel. But as drivers reach their senior years, premiums can start to increase again, as insurance companies view older drivers as being at a greater risk for accidents.
Texas car insurance rates by gender
Many states use gender as a rating factor to determine your car insurance premium. Nationally, female drivers pay slightly less than male drivers for their car insurance because men are statistically more likely to engage in high-risk driving. However, in Texas, female drivers pay $42 more for their car insurance, on average.
California, Hawaii, Massachusetts, Michigan, Montana, North Carolina and Pennsylvania do not allow gender to be used as a rating factor.
| Average annual full coverage premium | |
|---|---|
| Male | $1,802 |
| Female | $1,844 |
Texas car insurance by credit score
In most states, including Texas, your credit score impacts your car insurance premium. If you have poor credit, you’ll likely pay more for car insurance than someone with good or excellent credit history. Below, we compiled the average rates for car insurance by credit score.
Note that in California, Hawaii, Michigan, Massachusetts and Washington, your credit score may not be used as a rating factor to determine your insurance premiums.
Average annual full coverage rate by credit score
| Poor | Average | Good | Excellent | |
|---|---|---|---|---|
| National average | $3,873 | $1,865 | $1,674 | $1,487 |
| Texas | $3,053 | $2,106 | $1,823 | $1,663 |
Texas car insurance rates by driving record
Tickets, accidents and DUI convictions can increase your premium by an average of 10-51% in Texas, depending on the severity of your offense. If you can maintain a clean driving record, your insurer may reward you for good driving by giving you a discount. Certain violations may require purchasing high-risk auto insurance, which can be costly.
| Driving incident | Average annual full coverage premium in Texas | % increase of average annual premium |
|---|---|---|
| Clean driving record | $1,823 | 0% |
| Speeding ticket | $2,004 | 10% |
| Accident | $2,589 | 42% |
| DUI | $2,756 | 51% |
Every company has its own regulations, but most insurers will increase your premium for incidents on your driving record that occurred during the past three to five years.
Texas car insurance rates by vehicle type
Car insurance rates vary by make and model. Insurance companies may factor in the crash statistics of a certain vehicle, how likely it is to be stolen, which safety features it has and whether the driver is likely to engage in high-risk driving. For instance, drivers of coupes are more likely to speed and engage in risky driving than sedan drivers. Coupes are also more likely to be stolen. For these reasons, coupe drivers pay more than sedan drivers for their car insurance, on average.
Below, we compiled average car insurance rates for a few common makes and models.
| Vehicle | Average annual full coverage premium |
|---|---|
| Toyota Camry | $1,823 |
| Ford F-150 | $1,622 |
| Honda Odyssey | $1,601 |
Frequently asked questions
What is the average cost of minimum coverage in Texas?
Minimum coverage costs an average of $524 per year in Texas. If you’re looking for the cheapest car insurance in Texas, minimum coverage insurance is typically much cheaper than full coverage insurance, although it may leave you with insufficient financial protection in the event of an accident. Keep in mind that Texas law requires drivers to purchase at least a certain amount of minimum coverage for liability (30/60/25).
What company has the cheapest car insurance in Texas?
While some companies offer cheap average rates, the cheapest company will vary based on your individual rating factors. Getting quotes from several companies to compare the premium and discounts might help you find a competitive rate.
How much auto insurance do I need in Texas?
The state minimum limits are 30/60/25, which means you need to carry at least $30,000 in bodily injury per person coverage, $60,000 in bodily injury per accident coverage and $25,000 for property damage liability coverage. Most insurance experts agree that it is worth buying higher levels of liability, if you can afford to do so, to provide a greater level of financial protection in the event of an accident.
Do I need collision and comprehensive coverage in Texas?
Collision is an optional coverage that pays for damage to your vehicle following an accident. Comprehensive is also an optional coverage that provides protection for additional damage situations such as theft, vandalism, cracked windshields and fire, hail and water damage. If you have a lease or loan on your vehicle, your lender will likely require you to carry these optional coverages. If not, you may still want to consider carrying full coverage if your car is newer or of higher value. If you are unsure how much coverage you need, talking to an agent or a representative from your insurance company might be a good idea.
Methodology
Bankrate utilizes Quadrant Information Services to analyze 2022 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:
- $100,000 bodily injury liability per person
- $300,000 bodily injury liability per accident
- $50,000 property damage liability per accident
- $100,000 uninsured motorist bodily injury per person
- $300,000 uninsured motorist bodily injury per accident
- $500 collision deductible
- $500 comprehensive deductible
To determine minimum coverage limits, Bankrate used minimum coverages that meet each state’s requirements. Our base profile drivers own a 2019 Toyota Camry, commute five days a week and drive 12,000 miles annually.
These are sample rates and should only be used for comparative purposes.
Age: Rates were calculated by evaluating our base profile with the ages 18-60 (base: 40 years) applied. Depending on age, drivers may be a renter or homeowner. For teens, rates were determined by adding a 16- or 17-year-old teen to a 40-year-old married couple’s policy. The rates displayed reflect the added cost to the parents’ policy. Based on quoted annual premiums, it does not appear Hawaii uses age as a contributing factor.
Gender: The following states do not use gender as a determining factor in calculating premiums: California, Hawaii, Massachusetts, Michigan, Montana, North Carolina, Pennsylvania.
Credit: Rates were calculated based on the following insurance credit tiers assigned to our drivers: “poor, average, good (base), and excellent.” Insurance credit tiers factor in your official credit scores but are not dependent on that variable alone. The following states do not allow credit to be a factor in determining auto insurance rates: California, Hawaii, Massachusetts, Michigan, Washington.
Incident: Rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), at-fault accident, single speeding ticket, single DUI conviction and lapse in coverage.
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