According to NerdWallet’s analysis, the average cost of full coverage car insurance in Texas is $2,398 per year, or about $200 a month, for a 35-year-old driver with good credit and a clean driving record. Meanwhile, the average cost of minimum coverage is $774 per year, or about $65 a month.
But these are just averages. How much you pay for car insurance in Texas ultimately depends on your unique characteristics and driving history, since factors such as age, the insurance company writing the policy and whether you’ve had a recent violation or accident all affect how much you pay for insurance.
Read on for NerdWallet’s analysis of how much car insurance costs in Texas based on the following:
🤓Nerdy Tip
Average costs can be a good indicator for how much you can expect to pay for car insurance. But don’t let that stop you from shopping for a better price if you’re already paying below average. NerdWallet recommends you compare car insurance quotes from multiple insurers at least once a year to get the best price possible. And don’t forget to ask about car insurance discounts.
How we found the average cost of car insurance in Texas
NerdWallet’s editorial team analyzed rates from 20 car insurance companies in Texas to find average rates for several age brackets, driving histories, credit histories and by company. All driver profiles are analyzed with a 2020 Toyota Camry L. When looking at average costs by company, driving history and credit, we chose a 35-year-old driver.
For minimum coverage, we looked at rates that reflect Texas’ liability insurance requirements. That is, $30,000 in bodily injury liability coverage per person, $60,000 in bodily injury liability coverage per accident and $25,000 in property damage liability coverage per accident.
For full coverage, we used the below 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 coverage per person.
-
$300,000 uninsured motorist coverage per accident.
-
Collision coverage with a $1,000 deductible.
-
Comprehensive coverage with a $1,000 deductible.
Why you can trust NerdWallet
Our writers and editors follow strict editorial guidelines to ensure fairness and accuracy in our writing and data analyses. You can trust the prices we show you because our data analysts take rigorous measures to eliminate outliers and inaccuracies in pricing data, which include rates from every locale in Texas where coverage is offered and data is available. When comparing rates for different coverage amounts, ages and backgrounds, we change only one variable at a time, so you can easily see how each factor affects pricing.
Key terms in this article
|
Full coverage |
A combination of coverage types that protects your car in most situations. In Texas, it’s typically defined as having liability, comprehensive and collision insurance. |
|
Minimum coverage |
Average cost of car insurance in Texas: by company
How much car insurance costs in Texas depends largely on not just how much coverage you buy, but the company you buy it from. Two common kinds of car insurance people buy are full coverage and minimum coverage.
Here’s what NerdWallet’s analysis uncovered when we compared companies:
-
Redpoint County Mutual has the cheapest Texas car insurance for full coverage, at $974 per year, on average.
-
State Farm has the cheapest Texas car insurance for minimum coverage, at $396 per year, on average.
But rates can be much more than that. You might pay $3,700 more per year for full coverage car insurance depending on the company you go with.
The table below includes average costs for full and minimum coverage in Texas for all 18 companies analyzed.
|
Average full coverage rate per year |
Average minimum coverage rate per year |
|
|---|---|---|
|
Redpoint County Mutual |
||
|
Republic Group |
||
|
*USAA is only available to military, veterans and their families. |
||
Average cost of car insurance in Texas: by age
Age plays a big role in determining how much a driver pays for car insurance in Texas. Typically, the younger you are, the more you’ll pay for car insurance.
According to our analysis, the cost of car insurance in Texas drops by more than half from age 20 to age 30. But rates tend to remain level after 30, with only a slight decline in price as age increases to 60. It’s not until their 70s do drivers typically start to see their rates rise again.
Below are the average annual costs of car insurance in Texas, by age, for both full and minimum coverage.
|
Average full coverage rate per year |
Average minimum coverage rate per year |
|
|---|---|---|
Average cost of car insurance in Texas: by driving record
Your driving history is another important factor in the cost of car insurance in the Lone Star State. According to our analysis, a driver in Texas with a spotless driving record pays about $320 less, on average, for full coverage car insurance than someone with a recent speeding ticket. And that difference grows when comparing average rates for drivers with a DUI or recent accident.
Here are the average annual Texas car insurance costs for both full and minimum coverage based on the driving history of a 35-year-old driver with good credit.
|
Driving history |
Average full coverage rate per year |
Average minimum coverage rate per year |
|---|---|---|
|
Good driver |
||
|
One speeding ticket |
||
|
One recent accident |
Average cost of car insurance in Texas: by credit history
Like most states, Texas insurers use a credit-based insurance score to price rates. These scores use your personal credit information to determine how likely you are to file a claim.
Drivers with good credit can expect to pay much less for car insurance in Texas than a driver with poor credit, on average. Our analysis found that drivers with poor credit pay an average of 42% more for full coverage car insurance than those with good credit.
Check out the table below to see how much Texas car insurance costs based on credit history.
|
Credit history |
Average full coverage rate per year |
Average minimum coverage rate per year |
|---|---|---|
Other factors that impact how much you pay for car insurance
While your insurance company, age, driving history and credit score all play a big role in how much car insurance costs in Texas, there are more factors to be aware of.
Amount of coverage. While we analyzed Texas rates for minimum and full coverage, your own insurance needs may vary. And the more coverage you need, the more you’ll likely pay. But the peace of mind may be well worth this added cost. Read how much car insurance do you really need? to learn more.
ZIP code. If you live in a big city like Dallas or Austin, expect to pay more for car insurance. That’s because the likelihood of getting into an accident or having your car stolen is higher than if you live in a less populated area.
Your car. The more expensive your car is, the more it’ll cost to insure, since the price for repairs will be higher. You might also pay more if your car has a low safety rating or it’s a prized target among thieves, like certain models of Kias and Hyundais.
Your insurance history. If you’ve had a lapse in coverage (say you took a break from driving or skipped payments), your car insurance company may consider you riskier to insure and charge you higher rates.
How much is full coverage car insurance in Texas?
Texas drivers can expect to pay $2,398 per year for full coverage insurance, on average, according to NerdWallet’s rate analysis of a 35-year-old with a clean driving record and good credit.
How much is car insurance in Texas after a speeding ticket?
For Texas drivers with a recent speeding ticket, car insurance costs $2,721 per year for full coverage and $872 per year for minimum coverage, on average.
How much is car insurance in Texas after a DUI?
For Texas drivers with a recent DUI on record, car insurance costs $3,642 per year for full coverage and $1,277 per year for minimum coverage, on average.
How much is car insurance in Texas after an accident?
For Texas drivers with a recent at-fault accident on record, car insurance costs $4,066 per year for full coverage and $1,406 per year for minimum coverage, on average.
How much is car insurance in Texas if I have poor credit?
Texas drivers with poor credit can expect to pay around $4,157 per year for full coverage and $1,281 per year for minimum coverage, on average.
This post was originally published on Nerd Wallet
