📊 Texas at a Glance
Average Annual Cost
$2,678
16% above national average
State Minimum
30/60/25
liability coverage
Uninsured Drivers
14%
1 in 7 drivers
Texas Minimum Requirements
Texas requires the following minimum liability coverage (30/60/25):
⚠️ Warning: State minimums are dangerously low. A serious accident can easily exceed $100,000 in medical bills alone. We recommend at least 100/300/100.
Average Cost by Texas City
| City | Annual Avg. | vs State Avg. |
|---|---|---|
| Houston | $3,156 | +18% |
| Dallas | $2,987 | +12% |
| San Antonio | $2,645 | -1% |
| Austin | $2,534 | -5% |
| El Paso | $2,112 | -21% |
Best Car Insurance Companies in Texas
USAA
Best overall for military families. Lowest rates and complaints.
Texas Farm Bureau
Texas-only insurer with competitive rates. Requires membership ($50/year) but often worth it. Strong in rural areas.
GEICO
Consistently competitive rates. Good mobile app. Low complaint ratio.
State Farm
Largest insurer in Texas. Great agent network. Good for bundling home + auto.
Texas-Specific Tips
🌪️ Comprehensive for Hail
Texas leads the nation in hail damage claims. Comprehensive coverage is essential, especially in North Texas.
🚗 Uninsured Motorist Coverage
With 14% uninsured drivers, UM coverage is crucial. Texas offers PIP as optional additional coverage.
📍 Address Matters
Houston and Dallas suburbs can be 20-30% cheaper than city centers. ZIP code is huge.
🎓 Defensive Driving Discount
Texas-approved defensive driving courses can save 5-10%. Course costs ~$25, saves much more.
The Bottom Line
Texas car insurance is expensive—16% above national average. Where you live matters enormously: Houston costs 50% more than El Paso. Shop multiple insurers (including Texas Farm Bureau), get comprehensive for hail, and exceed state minimums to protect yourself. Military families should always check USAA first.