The Average Cost of Car Insurance in Texas in 2024

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Written by Mandy Sleight Edited by Nick Versaw

Updated July 16, 2024

The average cost of car insurance in Texas is $184 per month, but several factors, like your coverage levels, age, driving history, and more, determine your personal auto insurance rates.

We analyzed dozens of car insurance rates to help you understand how these factors affect how much you’ll pay for car insurance coverage in Texas. We’ll also cover how to get cheap car insurance in Texas and which companies may be the most affordable.

How Much Does Car Insurance Cost in Texas?

As we mentioned, lots of things go into how much you pay for car insurance, and the coverage you choose plays perhaps the largest role. Texas requires all drivers to have liability insurance with certain minimum limits to legally drive in the state, but full-coverage policies with more protection tend to cost more.

The table below highlights how much you can expect to pay for basic liability coverage, a more robust full-coverage policy, and the overall average for all policies in Texas, according to our data. We also included the national average rates for each to give you a better idea of how the Lone Star State stacks up to the rest of the country.

Car insurance costs vary in Texas, averaging $122 per month for liability-only coverage and $245 for full coverage, according to Compare.com data.

Liability-only rates are cheaper because they only cover others if you cause a car accident. Full coverage also includes physical damage coverage for your own vehicle — most often comprehensive and collision insurance — which is why it costs more.

But keep in mind that the rates you see here are just averages, not a definitive indicator of your personal costs. The sections below provide a bigger picture to help you better estimate your potential premiums.

How to estimate your car insurance costs in Texas

Insurers use multiple factors to determine your car insurance premiums, such as your age, driving record, make and model of your car, and ZIP code. The best way to estimate your insurance costs is to get personalized quotes.

Knowing the average car insurance rates drivers like you pay is an easy and quick way to determine if you’re getting the best deal. If not, comparing auto insurance quotes from multiple insurance companies can help you find the best price. The following sections show how various factors affect your final rate.

Average Texas Car Insurance Rates by Coverage Level

The amount of coverage you choose significantly influences your insurance premiums. The minimum liability limits Texas requires provide the coverage you need to legally drive and are the cheapest car insurance policy you can buy. But many insurance experts recommend buying higher limits to cover your assets because you’re financially responsible for any repair costs or medical bills that exceed your policy limits.

As we mentioned in the table above, the average Texan pays $122 per month for basic liability coverage.

Although more expensive, full-coverage auto insurance may also be a good idea if you can’t afford to repair or replace your vehicle after an accident. And optional coverages like comprehensive, collision, and uninsured motorist coverage can help you fix your car or buy a new one, no matter who’s at fault.

When it comes to these more robust full-coverage policies, the average Texan pays around $245 per month.

Texas’ minimum auto insurance requirements

Texas state laws require drivers to maintain liability coverage to pay for injuries or property damage they cause to others. The Texas Department of Insurance determines the state’s minimum requirements to drive legally, which are 30/60/25, or:

• $30,000 per person in bodily injury liability (BI) coverage
• $60,000 per accident in BI coverage
• $25,000 per accident in property damage liability (PD) coverage

Average Texas Car Insurance Rates by Age

One of the most defining cost factors for car insurance is your age. Teen drivers lack experience and often make hasty decisions behind the wheel, resulting in more accidents than for older drivers. High-risk drivers pay more for auto insurance, which is why insurers tend to charge younger age groups much more for the same coverage.

We’ve broken down average Texas premiums for different age groups and compared them to the national average in the table below.

Our analysis shows that drivers in their 50s and 60s pay the least for car insurance, while teens pay the most. But these trends aren’t unique to Texas — the national average premiums vary similarly among these age groups.

Average Texas Car Insurance Rates by Driving Record

Another significant rating factor is your driving record. Maintaining a clean driving record will help you get the most competitive rates from the best Texas car insurance companies. As the table below shows, a speeding ticket, DUI, or at-fault accident could increase your premium substantially.

Though speeding tickets and driving under the influence (DUI) convictions are both traffic violations, a DUI is much more severe, causing substantially higher premiums. On average, you’ll pay $310 per month in Texas if you have a DUI, whereas a speeding ticket might only set you back an average of $256.

Average Texas Car Insurance Rates by City

Where you live in the Lone Star State also affects how much car insurance costs. Crime rates, vehicle repair costs, medical expenses, crash rates, and the number of uninsured drivers vary by ZIP code, which causes rate differences from one city to the next.

Let’s take a look at the average car insurance costs for the five largest Texas cities by population.

Houston is home to more than 2.3 million people and has the highest average city premium of $241 per month, according to our data. Though San Antonio has around 200,000 more people than Dallas, its average rate is $24 less. You can use these average rates to get an idea of what you might pay depending on which Texas city you live in.

Average Texas Car Insurance Rates by Vehicle Make and Model

Your vehicle’s year, make, model, and body type also affect your auto insurance premiums. Newer vehicles typically have more safety features, which can be expensive to repair. The most expensive cars also have higher premiums than cheaper vehicles since insurers pay more to repair or replace them.

We broke down the average rates for bestselling vehicles in several classes to show how rates vary by vehicle in Texas.

Some of the most expensive cars to insure are electric vehicles, which often come with a higher MSRP. The Ford F-150 is one of the most popular vehicles in most states, including Texas, and is also the cheapest to insure, according to our analysis.

How to Get Cheaper Car Insurance in Texas

Even though the average Texan pays more than $180 per month for car insurance, you still have plenty of ways to save in the Lone Star State. Here are some examples of a few of the best ways to save money on Texas car insurance:

• Check out usage-based insurance: Evaluate your driving habits and mileage to determine if a usage-based program or pay-per-mile insurance may be a good fit.
• See if you qualify for discounts: If you have a teen driver in your household, one way to lower your premium is to ensure they keep good grades to qualify for the good student discount. Some insurers also offer teen driving program discounts.
• Consider a full-coverage policy: Although a minimum-coverage policy offers the lowest rates compared to full coverage, having full coverage prevents you from paying the full cost to repair or replace your vehicle if you get in an accident.
• Understand your coverage needs: That said, don’t purchase more car insurance coverage than you need. Full coverage might not be worth it if you can afford to fix your car or replace it yourself.
• Get quotes from at least three companies: Compare personalized car insurance quotes from several companies every time your policy renews to ensure you’re still getting the lowest rate for your insurance needs.

The Cheapest Auto Insurance Companies in Texas

Finding the right insurance company is essential to get the best price without sacrificing coverage. That said, the cheapest car insurance company for you may differ depending on your age, driving record, and coverage type.

To help you find the best fit, we’ve broken down the cheapest Texas auto insurance companies by coverage level and driver type in the table below.

GEICO may be the best fit for drivers with a poor credit score, but for all other coverage and driver types, State Farm boasts the cheapest average rates across the Lone Star State.

FAQs About Texas Auto Insurance Costs

Below are the answers to the most common questions about Texas car insurance costs.

How much is car insurance in Texas per month?

The average auto insurance rates in Texas are $184 per month, according to Compare.com data. The average full-coverage car insurance premium is $245 monthly, while liability-only coverage averages $122 per month.

How much is car insurance for an 18-year-old in Texas?

An 18-year-old pays an average of $314 per month for car insurance in Texas, according to Compare.com data. Young drivers typically pay higher rates than other age groups due to little driving experience and a tendency for risky behaviors, like distracted driving.

How much is car insurance in Texas for a 23-year-old?

Texas auto insurance costs an average of $212 per month for a 23-year-old driver, according to our analysis. As younger drivers get older and gain more experience and safe driving habits, insurance premiums tend to decrease, especially when keeping a clean driving record.

What’s the cheapest car insurance in the state of Texas?

The cheapest car insurance company in Texas is State Farm, according to Compare.com data. With different factors affecting auto insurance premiums — like your driving record, credit history, and age — comparing quotes with multiple companies is the best way to find the best price.

Data Methodology:

Data scientists at Compare.com analyzed more than 50 million real-time auto insurance quotes from more than 75 partner insurers in order to compile the rates and statistics seen in this article. Compare.com’s auto insurance data includes coverage analysis and details on drivers’ vehicles, driving records, insurance histories, and demographic information.

All the rates listed in this article have been collected from a combination of real Compare.com quotes and external insurance rate data gathered in collaboration with Quadrant Information Services. Compare.com uses these observations to provide readers with insights into how auto insurance companies determine their premiums.

Sources:

1. Texas Department of Insurance, “Auto insurance guide,” accessed July 3, 2024.
2. World Population Review, “Texas Cities by Population (2024),” accessed July 3, 2024.

Mandy Sleight Auto Insurance Writer

Mandy Sleight has over 15 years of insurance knowledge and expertise in auto, home, life, health, pet, supplemental benefits, and other insurance products. She is a sought-after insurance expert, appearing in Bankrate.com, Moneygeek.com, U.S. News & World Report, Reviews.com, CNET, and other publications. She uses her background and experience working for well-known insurance companies like State Farm and Nationwide Insurance to create engaging and easy-to-understand content to help readers make smarter insurance choices that have a positive effect on their budgets and finances.