Best Car Insurance in Texas (May 2023)

Texas Farm Bureau is the best car insurance company for full and minimum coverage. It’s also a solid choice for young adults and seniors. But those with driving offenses will find the best value and service from State Farm. Those with new cars will get the best policy from Allstate.

We’ve also listed the cheapest car insurance in Texas if cost is your primary consideration, regardless of service quality.

Texas Farm Bureau offers the best car insurance for full coverage. These providers rated highest in our analysis:

• Texas Farm Bureau: MoneyGeek score of 91 out of 100 ($760 per year)
• State Farm: MoneyGeek score of 91 out of 100 ($699 per year)

Texas Farm Bureau stands above other Texas competitors because it offers the best balance of affordability and customer satisfaction for a full coverage policy with liability limits of 100/300/100.

The average cost of full coverage car insurance in Texas is $1,316 per year. If you want to save on insurance, we found the providers with the cheapest full coverage auto insurance in Texas.

After analyzing insurance providers in Texas, we found that Texas Farm Bureau outshines its competitors by delivering superior customer service together with its very affordable policies. A close runner-up in our study is State Farm, which offers the lowest premiums and has very few customer complaints. But these providers have limited options for additional coverage.

Insurance buyers who prefer more coverage choices or with specific coverage needs will find that Foremost, Nationwide and Progressive offer a more extensive selection without sacrificing service quality when you file a claim. However, be prepared to pay a higher premium with these insurers.

An insurer only qualified for an overall MoneyGeek score if enough data could be found for all components of the scoring system.

Drivers in the Lone Star State who want guaranteed excellence in customer service, regardless of cost, should consider purchasing an auto policy from Chubb. The following insurers provide the best customer experience:

• Chubb: MoneyGeek score of 93 out of 100 ($1,371 per year)
• Foremost: MoneyGeek score of 90 out of 100 ($1,534 per year)

Chubb and Foremost scored nearly the same on customer satisfaction. However, Chubb significantly outperforms Foremost in managing claims, which is crucial in a good auto insurer. And although less expensive than Foremost, Chubb’s full coverage policy tends to be higher than other insurers — a tradeoff for its excellent service.

Good customer service means your insurer gives prompt and efficient service when you need it the most: when filing a claim. The insurer should also be:

• Responsive to your inquiries and complaints
• Equipped to solve your problems as they arise
• Able to promptly pay for your approved claim to ease your financial burden

Strong support from your insurance provider goes a long way to reducing stress concerning an accident or claim.

We picked Chubb as the best provider for customer service over Foremost because although customer satisfaction was comparable between the two providers, Chubb far surpassed its competitor in handling claims.

Looking at affordability and service for a policy that meets Texas’ lowest liability requirements, we found that Texas Farm Bureau is the best insurer for minimum coverage.

• Texas Farm Bureau: MoneyGeek score of 92 out of 100 ($339 per year)
• State Farm: MoneyGeek score of 91 out of 100 ($321 per year)

Texas Farm Bureau is the only company with solid customer service and competitively low rates for minimum coverage. It can be the most affordable option for most drivers, but a minimum coverage policy gives the least protection against liability costs and won't cover damages to your car.

Not all drivers can afford or want to pay for full coverage car insurance. A good minimum coverage policy will have the lowest rate for the coverage limits set by your state, plus discounts that can reduce your premium even further. Texas Farm Bureau has all the elements of an excellent minimum coverage insurance policy: affordability, quality service and discounts. Just keep in mind the tradeoff between cost and coverage.

Texas Farm Bureau is the best car insurance provider for young adults. Based on quote analysis for drivers in their 20s buying full coverage policies, these companies provide the most affordable premiums alongside great service:

• Texas Farm Bureau: MoneyGeek score of 92 out of 100 ($932 per year)
• State Farm: MoneyGeek score of 91 out of 100 ($900 per year)

Drivers in their 20s typically don’t pay as much as teen drivers for car insurance, but still more than what middle-aged drivers pay due to their higher-than-average accident frequency rate. If you’re looking to save money, we recommend shopping around to find the cheapest car insurance for young drivers in Texas.

Because insurance companies typically charge young adults higher premiums, a good policy would maximize savings and discounts while maintaining reliable service and sufficient coverage. Look for companies that have discounts specifically for drivers 25 and under. Our winner, Texas Farm Bureau, has low rates, offers essential coverages and includes discounts, like good student and driver education courses, that young adults may be eligible for.

Texas Farm Bureau is the best insurance provider for senior drivers. According to our research, these are the top-rated insurers for drivers in their 60s:

• Texas Farm Bureau: MoneyGeek score of 92 out of 100 ($629 per year)
• State Farm: MoneyGeek score of 91 out of 100 ($632 per year)

Texas Farm Bureau has the cheapest premium and received the third-highest customer satisfaction rating. Rates for drivers in their 60s are similar to those in their 30s through 50s but increase once they reach their 70s, as the risk of accidents for elderly drivers increases. You'll get the most affordable car insurance for seniors by comparing quotes from multiple providers.

Although seniors are some of the safest drivers on the road, age makes them more susceptible to serious injury after an accident. Good car insurance companies for senior drivers will have affordable full coverage policies, with personal injury protection (PIP) to help cover medical expenses. Discounts specifically for seniors are a great way to reduce your premium, so look for companies that offer them.

Although our top-rated Texas auto insurer, Texas Farm Bureau, doesn’t offer senior discounts, it has other discounts that seniors can take advantage of to lower their premiums. It’s also the cheapest full coverage insurer for seniors in Texas and has roadside assistance for those who fear getting stranded after an accident.

Drivers with different offenses on their records — like a speeding ticket, at-fault accident or driving while intoxicated (DWI) — will fare best with State Farm. Here are our recommendations based on affordability and service ratings:

• State Farm: MoneyGeek score of 91 out of 100 ($938 per year)
• Texas Farm Bureau: MoneyGeek score of 90 out of 100 ($1,165 per year)

Of the companies MoneyGeek reviewed, State Farm is the cheapest provider and ranks number five in customer satisfaction.

It’s crucial for drivers with offenses to seek affordable car insurance after an incident, as average rates in Texas increase by $238 after a speeding ticket, $724 after an at-fault accident and $544 after a DWI (take note, Texas does not use DUI). Plus, the extra amount these drivers pay is applied to their renewal premium bill for a minimum of three years.

If they can find companies willing to insure them, drivers with offenses (also known as high-risk drivers) often pay much higher premiums. A good insurance company for these drivers will have lower rates than competitors and offer discounts and coverages involving accident forgiveness and car replacement costs. Although State Farm lacks these coverages, it is by far the cheapest insurer for high-risk drivers and has numerous discount opportunities.

According to MoneyGeek's research on insurers who offer new or better car replacement, Allstate is the best option. This category's ranking was based on cost and quality of service for Texans driving a 2022 model automobile and was restricted to insurers that provide new or better car replacement. Here are our top recommendations:

• Allstate: MoneyGeek score of 89 out of 100 ($1,393 per year)
• Foremost: MoneyGeek score of 81 out of 100 ($2,009 per year)

Allstate outperforms its peers with the lowest premium and solid customer service. Drivers with new cars can benefit from purchasing new or better car replacement coverage as an add-on to their policies. These coverages will help you buy a new car if your current one gets totaled in a covered accident. With new car replacement coverage, your insurer will replace your car with a brand new one of the same make and model. But with better car replacement coverage, you’ll get a newer car by one model year.

A new car is a substantial investment, and drivers should take steps to protect it. New or better vehicle replacement coverage is an important option for these drivers, and a good insurance provider will offer it. When it comes to new car replacement coverage in Texas, Allstate is the most cost-effective, while Foremost adds an extra $616 to the yearly premium. Although Texas Farm Bureau scores higher for affordability in the state, it doesn't offer this add-on and, therefore, is not the best for a new car.

Earning a MoneyGeek score of 92 out of 100, USAA topped our list of the best car insurance companies for drivers in the military community. The average full coverage premium from USAA costs $878 per year, the fourth cheapest in Texas. With affordable policies and coverages specifically tailored to the needs of active-duty military personnel, veterans and their family members, USAA is the optimal choice you should consider if you meet its eligibility requirements.

The best car insurance companies combine affordability, financial stability and an established record of top-notch service. MoneyGeek has already collected quotes to help you find the insurer that matches your needs and profile, but we’ll walk you through the basic steps if you want to do your own research.

The best car insurance options for you largely depend on your specific needs and preferences. We’ve answered some of the most common questions to help you make the right purchase.