State Farm beats all competitors at $97 monthly for full coverage and $42 for minimum coverage ($501 annually). Clean driving records get these rates. Which company offers you the lowest rate depends on your age and driving history. Get quotes from at least three insurers.
Cheapest Car Insurance in Austin (2026)
Updated: January 25, 2026
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Cheapest for Full Coverage: State Farm
- State Farm provides Austin's most affordable full coverage car insurance at $97 monthly and the company offers minimum coverage at just $42 per month.
- Read more on the cheapest full and minimum coverage options.
Cheapest for Young Drivers: GEICO
- Young drivers aged 16 to 25 find the best rates through GEICO in Austin. Your age directly impacts your car insurance costs. Seniors get competitive rates with State Farm at $108 monthly.
- Read more about the cheapest insurance options in Austin for young drivers and other age groups.
Cheapest for Drivers With a DUI or Other Violations: State Farm
- State Farm leads Austin for drivers with imperfect records, offering minimum coverage at $68 monthly for those with DUIs. The company also provides the lowest rates for speeding tickets and at-fault accidents, though violations raise premiums substantially.
- Learn more about how violations affect your rates and find the cheapest options for drivers with imperfect records.
Cheapest Austin Car Insurance for Full and Minimum Coverage
| State Farm | $97 | $42 | -42% |
| Geico | $116 | $56 | -28% |
| Mercury Insurance | $130 | $57 | -22% |
| AAA | $127 | $60 | -22% |
| Germania Insurance | $144 | $70 | -10% |
Average Car Insurance Costs in Austin and Texas
Full coverage costs Texas drivers about $139 per month on average. Austin residents pay around $158 per month, which is about 19% higher. Minimum coverage follows the same trend, with Austin averaging $69 per month compared to the Texas average of $61.
Higher population density leads to heavier traffic, more accidents, and increased claims. Austin also reports higher-than-average vehicle theft, especially for certain models. Comparing quotes can help drivers find more competitive rates.
Note: Texas allows insurers to consider age, location, and driving record when setting rates.
Data filtered by:
Full Coverage
| $158 | $139 |
Read More: The cheapest car insurance in Texas
Cheapest Austin Car Insurance by Age
Age controls what you pay. Drivers ages 16 to 25 pay $270 monthly on average. Adults ages 26 to 64 pay $123. Seniors pay $149. Inexperience and crash statistics explain why young drivers pay the most.
Cheapest Austin car insurance by age:
- Young drivers: GEICO at $208 per month
- Adult drivers: State Farm at $97 per month
- Senior drivers: State Farm at $108 per month
Experience matters more than age after 25. The $26 gap between adult and senior rates proves insurers treat experienced drivers similarly at 40 or 70.
Cheapest Car Insurance in Austin for Young Drivers
GEICO charges drivers ages 16 to 25 about $208 per month, or $2,498 per year, for full coverage. Insurers view this age group as higher risk due to limited driving experience, accident frequency, and traffic violations.
Among the five cheapest insurers, young drivers average $270 per month, compared to $123 for adult drivers. This means younger drivers often pay about twice as much.
GEICO’s $208 monthly rate is $160 lower than Allstate’s $368 average. Adding a young driver to a family policy instead of purchasing a separate policy can help reduce costs. Rates also tend to decline once drivers reach age 25.
Note: In most states, drivers under 18 need parental consent to purchase auto insurance.
| Geico | $208 | $2,498 |
| State Farm | $215 | $2,580 |
| Germania Insurance | $273 | $3,276 |
| AAA | $286 | $3,435 |
| Allstate | $368 | $4,413 |
Cheapest Car Insurance in Austin for Senior Drivers
Drivers ages 26 to 64 tend to receive the lowest insurance rates. More experience and fewer accidents usually lead to better pricing. State Farm leads this group at about $97 per month, or $1,161 per year. Among the five cheapest insurers, the average cost is $123 per month, which is the lowest across all age groups.
State Farm’s $97 monthly rate is $47 lower than Germania Insurance’s $144 average. Drivers can reduce costs further by keeping a clean record and using bundling or good driver discounts.
| State Farm | $108 | $1,296 |
| Geico | $137 | $1,639 |
| Germania Insurance | $150 | $1,795 |
| AAA | $163 | $1,961 |
| Progressive | $187 | $2,238 |
Cheapest Car Insurance in Austin for Adult Drivers
Austin drivers between ages 26 and 64 enjoy the city's most competitive insurance rates because they blend extensive driving experience with statistically lower accident involvement than younger and older drivers.
State Farm leads with the cheapest full coverage at $97 monthly or $1,161 annually for this age group. Across Austin's five most affordable insurers, adults average $123 monthly, the lowest of any age category.
Shopping smart pays off. Austin adults save $47 monthly by choosing State Farm at $97 over Germania Insurance at $144 monthly. Clean driving records, policy bundling and good driver discounts offer additional ways to cut premiums even further.
| State Farm | $97 | $1,161 |
| Geico | $116 | $1,386 |
| AAA | $127 | $1,519 |
| Mercury Insurance | $130 | $1,563 |
| Germania Insurance | $144 | $1,729 |
Cheapest Austin Car Insurance for Drivers With a DUI, Accident or Speeding Ticket
Violations spike your rates. State Farm keeps the cheapest rates: $42 monthly for minimum liability with a clean record, $42 with a speeding ticket, $68 with a DUI. The five cheapest insurers average $57 monthly for clean records, $67 for speeding tickets, $72 for at-fault accidents and $83 for DUIs.
DUIs hit hardest because dangerous driving plus legal trouble puts you in the highest-risk category and requires SR-22 filing for license reinstatement. At-fault accidents cost more than tickets because you've caused actual damage or injuries. Speeding tickets increase rates the least since you haven't crashed yet.
Data filtered by:
DUI
| State Farm | $68 | $811 |
| Mercury Insurance | $77 | $918 |
| Farmers | $82 | $979 |
| AAA | $94 | $1,131 |
| Geico | $98 | $1,171 |
Austin Car Insurance Costs by ZIP Code
Auto insurance prices in Austin differ a lot by ZIP code. Drivers in 78737 see some of the lowest rates at about $62 per month, while coverage in 78702 can reach $202 monthly. You can check how your ZIP code compares in the table below.
Even within Austin’s busiest areas, prices do not stay consistent. Minimum coverage averages $152 per month in 78704, rises slightly to $154 in 78745, and climbs to $170 in 78741.
These differences often come down to local crash history, vehicle theft activity, traffic levels, and how many uninsured drivers live nearby. Use the table filters to quickly look up the average rate for your ZIP code.
Data filtered by:
78617
| 78617 | $70 | $162 |
How to Get the Best Cheap Austin Car Insurance
Austin drivers can get competitive rates without sacrificing proper coverage by knowing where to shop and what discounts to request.
- 1Know Your Coverage Needs
Start by using our car insurance coverage needs calculator to get customized advice. This tool helps determine the right amount of coverage based on your specific situation and financial circumstances.
- 2Explore Different Coverage Types
Familiarize yourself with types of car insurance available in Austin. Consider pay-per-mile coverage if you drive infrequently or non-owner insurance if you occasionally borrow vehicles.
- 3Check Average Costs in Your Area
Look up average vehicle insurance costs for your specific Austin neighborhood. Understanding local pricing trends helps you identify competitive rates and set realistic budget expectations.
- 4Find All Available Discounts
Explore every car insurance discount opportunity available. Consider bundling multiple policies or securing multi-car discounts. You can save with safe driver, student and anti-theft discounts.
- 5Research Insurance Company Ratings
Review company ratings and customer feedback for insurance companies serving Austin. Check both financial strength ratings and customer satisfaction scores to ensure you're choosing a reliable insurer.
- 6Get Quotes from Multiple Insurers
Request quotes from multiple carriers, at least three different companies. Comparing offers from various insurers helps you find the most competitive rates and coverage options for your needs.
- 7Review Your Policy Annually
Schedule an annual policy review to stay competitive with rates. Life changes, new discounts and market shifts can affect your premiums, so regular reviews ensure you're getting the best value.
Cheap Austin Car Insurance: FAQ
Get answers about discounts, Texas regulations and coverage options to cut your Austin insurance costs.
What is the cheapest car insurance company in Austin, Texas?
State Farm leads Austin drivers with the most affordable minimum coverage at $501 annually and full coverage at $1,164 annually. Since personal factors like driving record and credit score can affect your final premium, shop around with multiple companies.
Who offers the best car insurance in Austin?
State Farm ranks first among Austin car insurance providers, earning a MoneyGeek score of 95 out of 100 and outperforming Mercury Insurance by four points. The company delivers strong value through affordable rates and excellent customer experience.
What is the average cost of car insurance in Austin?
Austin drivers pay $828 annually for minimum coverage car insurance and $1,896 for full coverage. Your actual premiums depend on your driving record, age and coverage choices.
Is car insurance in Austin expensive?
Yes, Austin has expensive car insurance, ranking 1275th for full coverage and 1282nd for minimum coverage affordability among Texas cities.
How We Figured Out the Cheapest Car Insurance in Austin, TX
Austin drivers pay some of Texas's highest car insurance rates, with premiums varying widely across the city's ZIP codes. We designed our research to find insurers offering the best rates for Austin's unique urban driving conditions. Read more on MoneyGeek's auto insurance analysis methodology.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. He has analyzed the insurance market for over five years, conducting original research for insurance shoppers. His insights have been featured in CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
He writes about economics and insurance, breaking down complex topics so people know what they're buying.