In a Nutshell
If you’re looking for the cheapest car insurance in Texas, we can help. Your car insurance premium will vary depending on your credit, age, driving history and vehicle — but we’ve compared rates across the state on minimal coverage to find some of the lowest-cost insurers for various needs.Note from our editor: Maybe you’re searching for car insurance for the first time or want to do some insurance shopping to help lower your monthly premium? This article can serve as a starting point for your car insurance research. There are a lot of factors when it comes to the cost of car insurance, so while you may not see the exact premiums we’ve researched, they can give you an idea of some of the insurers offering the cheapest rates in your state.
There’s a lot to see in Texas, from El Paso to Houston and everywhere in between. But just because the Lone Star State does everything bigger doesn’t mean you need to pay more for car insurance.
We’ve compared rates on basic coverage to find the average cost of insurance and the lowest-cost insurers in Texas.
Our calculations use a driver profile with no accidents, tickets or claims to accurately compare insurers’ rates (see our full methodology). Your rates could be higher or lower based on several factors that affect car insurance rates, including your age, vehicle type, mileage, coverage options and driving history.
Read on to learn about Texas’ average car insurance rates and our findings for the cheapest options for basic auto coverage.
- Cheap car insurance in Texas
- 5 cheapest car insurance companies in Texas
- Cheapest state-minimum car insurance in Texas
- Cheapest car insurance for good credit in Texas
- Cheapest car insurance for poor credit in Texas
- Cheapest car insurance for drivers with multiple claims in Texas
- Cheapest car insurance for young drivers in Texas
- Texas auto insurance requirements
- Is usage-based insurance available in Texas?
- FAQs about the cheapest car insurance rates in Texas
- Methodology
Cheap car insurance in Texas
Average monthly premiums for basic car insurance in Texas range from just under $55 per month to more than $130 per month, depending on the type of coverage and driver profile.
Average monthly auto insurance premiums in Texas
| Driver or coverage | Avg. monthly cost |
|---|---|
| State-minimum car insurance in Texas | $55.54 |
| Drivers with poor credit in Texas | $87.16 |
| Drivers with multiple claims in Texas | $132.07 |
| Young drivers in Texas | $90.28 |
5 cheapest car insurance companies in Texas
For most driver profiles, Germania Mutual Group or Redpoint County Mutual offered the cheapest car insurance, at basic coverage, in Texas. Unless otherwise noted, we’ve calculated those rates based on a specific Texas driver profile (see our full methodology) to assess insurers evenly and get the most accurate picture of the cost for an average driver.
Our Texas driver has a credit score between 680 and 719, is between 36 and 45 years old, has no tickets or coverage gaps and drives a car worth $20,000 to $30,000. If that’s not you, don’t worry. You’ll also see how rates could be affected by your coverage options, age, credit history and claims history.
1. Germania Mutual Group
Texas-based Germania Insurance has been providing insurance products for more than 125 years. Our Texas driver profile could see basic car insurance through Germania for as little as $32.92 per month. Germania also offers all the standard coverage options, plus some extras like 24-hour emergency towing, road service, battery services and lock-out services. Several discounts are also available.
2. Geico
With Geico, our Texas driver profile could see minimal car insurance coverage for as little as $38.95 per month. Geico also offers a wide range of coverage options and available discounts, as well as 24/7 access and a mobile app. The insurer has a 97% customer satisfaction rating. Geico also offers other vehicle insurance for motorcycles, boats, RVs, ATVs and collector cars.
Read reviews of Geico auto insurance.3. Redpoint County Mutual
Redpoint County Mutual focuses on insuring Texas drivers who may be considered a higher risk due to their driving record or insurance history. Drivers like our Texas profile may see basic coverage through Redpoint County Mutual for as little as $42.00 per month.
4. Mercury
Drivers who fit our Texas driver profile could see rates from Mercury for as little as $42.04 per month on basic coverage. This insurance company boasts 24/7 claims service, dedicated local service agents and a lifetime guarantee on repairs completed by a Mercury-authorized repair shop. Mercury offers a wide range of discount opportunities, including its RealDrive program, which tracks your mileage and rewards you for driving less.
Read reviews of Mercury auto insurance.5. USAA
USAA insurance is available to U.S. military members and veterans, precommissioned officers, and the spouses and children of USAA members. It also offers a mobile app where users can view their ID cards and proof of insurance, manage their policy, request roadside assistance and file claims. Our Texas driver profile could see basic auto insurance through USAA for as little as $45.31 per month.
Read reviews of USAA auto insurance.Cheapest state-minimum car insurance in Texas
State-minimum car insurance is usually the least expensive coverage you can buy. If you’re looking for the basic coverage necessary to drive legally, state-minimum insurance could be your best option.
Here are the five companies with the lowest estimated rates for drivers looking for state-minimum coverage only.
5 cheapest car insurance companies in Texas for state-minimum coverage
| 1 | Germania Mutual Group | $32.92/month |
| 2 | Geico | $38.95/month |
| 3 | Redpoint County Mutual | $42.00/month |
| 4 | Mercury | $42.04/month |
| 5 | USAA | $45.31/month |
Cheapest car insurance for good credit in Texas
There are many factors that can be used to determine your auto insurance score, and the cost of your monthly insurance premium, including your credit. Typically, the better your credit, the lower you can expect your premium to be.
The following companies offer some of the cheapest car insurance on basic coverage in Texas for drivers who have good credit.
5 cheapest car insurance companies in Texas for those with good credit
| 1 | Germania Mutual Group | $24.19/month |
| 2 | Geico | $34.69/month |
| 3 | Mercury | $35.25/month |
| 4 | State Farm | $36.65/month |
| 5 | Texas Farm Bureau Group | $38.61/month |
Cheapest car insurance for poor credit in Texas
Texas drivers with less-than-perfect credit can still get excellent car insurance rates. In this case, we found that the local Texas insurers can offer better rates for Texas drivers with poor credit than national companies.
Here are the five cheapest car insurance companies in Texas for basic coverage for drivers with poor credit.
5 cheapest car insurance companies in Texas for those with poor credit
| 1 | Redpoint County Mutual | $42.00/month |
| 2 | Mercury | $53.50/month |
| 3 | Germania Mutual Group | $59.21/month |
| 4 | Geico | $59.53/month |
| 5 | Nationwide | $61.78/month |
Cheapest car insurance for drivers with multiple claims in Texas
Like your credit, your claims history also plays a role in determining the cost of your car insurance. In general, if you have many prior claims in your loss history report, your premium might be higher than someone with just a few or no claims.
5 cheapest car insurance companies in Texas for multiple claims
| 1 | Germania Mutual Group | $34.00/month |
| 2 | Redpoint County Mutual | $42.00/month |
| 3 | State Farm | $72.86/month |
| 4 | Republic Indemnity | $76.50/month |
| 5 | Geico | $77.05/month |
Cheapest car insurance for young drivers in Texas
Younger drivers are often considered riskier to insure, so their insurance premiums may be higher than older drivers with more-established driving histories. If that’s you, don’t stress — your rate could decrease as you age and develop a history of safe driving. In the meantime, you may be able to save with companies that offer discounts for students.
5 cheapest car insurance companies in Texas for young drivers
| 1 | Redpoint County Mutual | $42.00/month |
| 2 | Geico | $55.78/month |
| 3 | Germania Mutual Group | $64.83/month |
| 4 | USAA | $67.08/month |
| 5 | Mercury | $71.79/month |
Texas auto insurance requirements
Texas requires 30/60/25 auto insurance coverage, which means drivers must have at least $30,000 of coverage for injuries per person, up to a total of $60,000 per accident and $25,000 of insurance for property damage.
Is usage-based insurance available in Texas?
Texas drivers can use usage-based insurance to save money on their car insurance for driving safely. With UBI, also called telematics, drivers track their driving habits via a mobile device or other apps to become eligible for discounts.
FAQs about the cheapest car insurance rates in Texas
If you have good credit and fit our Texas driver profile, you may be able to score car insurance in Texas for as little as $24.19 per month through Germania Mutual Group.
For some Texas drivers, Germania Mutual Group and Redpoint County Mutual can be good choices for inexpensive car insurance.
Average monthly premiums for basic car insurance in Texas range from just under $25 a month to nearly $150 for our standard driver profile. Premiums vary depending on the type of coverage and specifics of the driver’s profile. Many factors determine the cost of car insurance, so your rates could be different.
Methodology
This article’s estimated rates are the lowest based on the profile of a driver age 36 to 45 living in Texas. The rates displayed assume a single driver on the insurance policy with no tickets on their driving record and no claims or coverage lapses. The vehicle used in this estimate is valued between $20,000 and $30,000 and has annual mileage of 12,000 to 15,000. Estimated rates for insurance for good credit apply to scores of 720 and above. Estimated rates for insurance for poor credit apply to scores from 350 to 579. Estimated rates for young drivers include those age 18 to 21. Estimated rates for those with multiple claims are calculated based on two claims.
Note that the rates are provided every six months by Quadrant Information Services. Quadrant Information Services doesn’t include all insurance companies in its rate data. These are estimated rates meant only to provide a frame of reference and comparison. Your rates may vary depending on a range of factors, such as your age, vehicle driving habits and history.
Average monthly premium for full-coverage car insurance includes bodily injury, property damage, uninsured motorist, personal injury protection, collision and comprehensive coverages. Average monthly premium for state-minimum car insurance includes Texas-mandated 30/60/25 coverage.