BestCar InsuranceAustinThe Best Car Insurance in Austin, TX, for 2023
Compare Rates
Ensure you're getting the best rate. Review quotes from a top insurance company.
The Top Car Insurance Companies in Texas
Insurance Carrier
Avg. Estimated
Annual Premium
MoneyGeek found State Farm to be the overall best auto insurance in Austin. However, since the right insurance company depends on your age and situation, MoneyGeek also found the best options for young and senior drivers, individuals with a military background and those with driving violations. A MoneyGeek evaluation of the cheapest car insurance in Austin is also available for those on a tight budget.
BestCar InsuranceAustinThe Best Car Insurance in Austin
Overall - State Farm
Minimum Coverage - Farmers
Young Drivers - GEICO
Senior Drivers - State Farm
Driving Violations - State Farm
Military - USAA
Best Car Insurance Companies in Austin: Overall
MoneyGeek examined average auto insurance rates, claims ratings and user satisfaction to find the top car insurance companies in Austin.
Based on our unique scoring system, the following are the best car insurance companies:
- State Farm: 95 out of 100
- Farmers: 93 out of 100
USAA received a MoneyGeek score of 94 out of 100, making it the second-best overall insurer in Austin. USAA, however, is not widely available. It primarily caters to the needs of current and former military personnel.
The Top Car Insurance Companies in Austin
1
State FarmOverall
Score:95
State Farm tied for first place with Farmers in affordability and tied for second in customer satisfaction and claims. The insurer offers rideshare assistance. On average, a State Farm full coverage policy costs $865 per year.
More About State Farm
With State Farm, you'll find both standard and unique discounts. Those who have more than one State Farm insurance policy, such as life insurance and pet insurance, can benefit from bundling discounts. State Farm also offers discounts on multiple car insurance policies. Furthermore, those whose vehicles were made in 1994 or later can take advantage of State Farm's new vehicle discount.
Read MoneyGeek's State Farm auto Insurance Review2
Farmers
Score:93
Farmers tied for first place with State Farm in affordability and second for satisfaction and stability. It offers the unique coverage of Original Equipment Manufacturer (OEM) coverage. The average annual cost of a full coverage policy with Farmers is $798.
More About Farmers
With Farmers, you can add OEM coverage at an affordable rate. This covers the cost of using factory-original parts in covered repairs in cars up to 10 years old. Custom parts coverage is also available, covering the cost of repairing or replacing aftermarket equipment like infotainment systems and custom wheels.
Read MoneyGeek's Farmers auto Insurance ReviewRESOURCES ON CAR INSURANCE IN AUSTIN, TEXAS
To help drivers looking to maximize savings, MoneyGeek reviewed the cheapest auto insurance companies in Austin. MoneyGeek provides the following resources to help you learn more about car insurance in Texas:
Best Cheap Car Insurance for Minimum Coverage in Austin
All Austin drivers must have insurance that at least meets Texas’ state minimum coverage.
According to MoneyGeek’s data, the best car insurance companies in Austin for minimum coverage are:
- Farmers: 94 out of 100
- State Farm: 93 out of 100
This score was calculated by analyzing policies for drivers with varying backgrounds. Some of those drivers have driving violations, some are young and some are elderly.
MoneyGeek’s Pick: Farmers
pros
A minimum coverage policy costs $409 per year
Includes discounts for having airbags, anti-theft systems or being a teacher
MoneyGeek user satisfaction rating of 4 out of 5
MoneyGeek claims rating of 4 out of 5
cons
Doesn’t offer discounts for defensive driving
COMPANY HIGHLIGHTS
Farmers offers common discounts for bundling, multiple car and safe driving. If you own your home, you are eligible for a discount even if your home is not insured by Farmers. You can also get a multiple car discount if you insure more than one of your vehicles. Drivers who have a safe driving history can also receive a discount.
Additionally, if you have a honing device in your car, which is a device that can track and locate your car if it is stolen, the company also gives you a discount.
Best Car Insurance for Young Drivers in Austin
To help young drivers choose the right auto insurance company, MoneyGeek ranked the best companies in Austin for teens and young adults:
- GEICO: 91 out of 100
- State Farm: 88 out of 100
MoneyGeek derived these results by combining insurance coverage levels and driving records of 18-year-olds in Austin. Since they're new to driving, car insurance for young drivers and auto insurance policies for students tend to be more costly.
MoneyGeek’s Pick: GEICO
pros
A full coverage policy for responsible teen drivers costs $2,248 per year
Includes discounts for good students and driver’s education courses
MoneyGeek claims ratings of 4 out of 5
MoneyGeek user satisfaction rating of 4 out of 5
cons
Doesn’t offer distant student discounts
COMPANY HIGHLIGHTS
The cost of adding a young driver to your insurance policy can be high, but GEICO offers one of the most affordable rates in Austin. For young drivers and their parents, choosing a company with a reputation for excellence is especially comforting.
GEICO also offers discounts that fit the needs of young drivers and their families. For example, if you are a full-time student with a good academic record, you qualify for a good student discount. You can also save money by completing a driver's education course through the company’s driver’s education discount. Plus, by always wearing a seatbelt, you will also be eligible for a price reduction.
Best Car Insurance for Senior Drivers in Austin
When it comes to Austin auto insurance for seniors, MoneyGeek found the following top companies:
- State Farm: 96 out of 100
- Farmers: 90 out of 100
MoneyGeek analyzed different policies and driving histories of 70-year-old drivers to come up with these results. Generally, auto insurance rates for senior drivers are higher than those for middle-aged drivers.
MoneyGeek’s Pick: State Farm
pros
An affordable full coverage policy for a safe senior driver costs about $836 per year
Offers a defensive driving discount
MoneyGeek claims rating of 4 out of 5
MoneyGeek user satisfaction rating of 4 out of 5
cons
Doesn’t offer discounts for senior drivers
No unique coverages
COMPANY HIGHLIGHTS
Generally, auto insurance policies for senior drivers are the same as those for other age groups. However, some insurers raise their rates. Older drivers in Austin can save money with State Farm and enjoy other benefits. Seniors can, for example, receive a discount on car insurance if they complete a defensive driving course.
Despite the fact that State Farm provides coverages that are common to other insurance providers, you may still benefit from their roadside assistance and rental car reimbursement policies. You can, for example, choose to be reimbursed for rental car expenses up to a certain limit and travel expenses up to $500.
Best Car Insurance With a Driving Violation in Austin
After committing a driving violation, finding car insurance can be a challenge. MoneyGeek examined the best car insurance companies in Austin for drivers with an at-fault accident on their record:
- State Farm: 94 out of 100
- GEICO: 88 out of 100
Based on different drivers' ages and insurance coverage levels, MoneyGeek determined these rankings. Since they’re considered high-risk, individuals with a bad driving record pay more for car insurance.
MoneyGeek’s Pick: State Farm
pros
An affordable full coverage policy for a 40-year-old driver with an on-record accident costs $1,049 per year
Offers seven out of nine standard discounts to help drivers save
MoneyGeek claims rating of 4 out of 5
MoneyGeek user satisfaction rating of 4 out of 5
cons
Doesn’t offer any unique coverages
Doesn’t offer accident forgiveness
COMPANY HIGHLIGHTS
A driver with an accident record or a violation on their record can benefit from insurers offering reasonably priced policies with a variety of coverage options. One of State Farm's drawbacks is the absence of new car replacement and better car replacement, two coverages that may serve drivers in accidents.
State Farm, on the other hand, offers drivers seven out of nine discounts commonly found in insurance policies, such as bundling, multiple cars, good student, safe driving, anti-theft system, defensive driving and airbags.
Best Car Insurance With a Military Background in Austin
In Austin, USAA offers military members affordable services while maintaining a high standard of customer satisfaction. Based on our unique scoring system, USAA earned a MoneyGeek score of 94 out of 100. You should be aware that USAA only offers car insurance policies for military personnel and their families.
In order to calculate this score, MoneyGeek reviewed a variety of policy types and driver profiles, including those with driving violations and younger and older drivers.
MoneyGeek’s Pick: USAA
pros
A full coverage policy costs $854 per year for a 40-year-old driver
Offers five of the most common discounts, including bundling, multiple car, good student, safe driving and defensive driving
Perfect MoneyGeek scores of 5 out of 5 in claims and user satisfaction
cons
Only offers three of the seven common coverages, missing better car replacement, for example
Limited to military members, veterans and their families
COMPANY HIGHLIGHTS
USAA is an insurance company that provides highly affordable policies to military-affiliated people, earning perfect MoneyGeek scores in customer satisfaction and claims.
Among USAA's coverages are roadside assistance, rental car and travel reimbursement. After your first at-fault accident in Texas, USAA won't increase your premium if you’ve been accident-free for five years. However, USAA lacks many other add-on coverage options.
Methodology
MoneyGeek’s car insurance company ratings are based on quotes from Austin providers and evaluations from industry leaders, including J.D. Power, AM Best and the National Association of Insurance Commissioners (NAIC).
MoneyGeek applied the following weights to each assessment category to determine the best car insurance in Austin, Texas, for different driver profiles:
- Affordability (70%): Using data collected from insurers in Austin, MoneyGeek ranked insurers by their average premiums. Providers offering the cheapest rates in the city received a perfect score.
- Customer and claims satisfaction (20%): MoneyGeek analyzed surveys from J.D. Power to identify the customer satisfaction level of each insurance provider based on service and claims. The subcategories were each given a 10% weighting.
- Financial stability (10%): MoneyGeek used AM Best ratings to assess an insurance company's ability to meet financial obligations despite economic fluctuations.
MoneyGeek assigned each category a score of five points before calculating an overall score of 100 points. Several factors were taken into account in calculating the affordability score, including age, driving history and coverage levels, and were adjusted as required to focus on specific driver profiles.
With the exception of the cheapest minimum coverage category, all Austin rates are representative of the average premiums for a full coverage policy with the following limits:
- $100,000 bodily injury liability per person
- $300,000 bodily injury liability per accident
- $100,000 property damage liability
- Comprehensive and collision coverage with a $1,000 deductible
For more information on MoneyGeek's collection, comparison and scoring process for Texas providers, check our car insurance methodology.
About Mark Fitzpatrick
