Cheapest Car Insurance in Texas (October 2025)

State Farm is the cheapest car insurance provider in Texas, with average rates of $1,116 per year or $93 per month for full coverage and $492 per year or $41 per month for minimum coverage.

Find the cheapest Texas car insurance for you below.

Written by Mark Fitzpatrick

Updated: October 29, 2025

Advertising & Editorial Disclosure

Cheapest Car Insurance Quotes in Texas

Full coverage car insurance in Texas costs $150 per month on average or 23% more expensive than the national average. That puts Texas among the pricier states for auto insurance, ranking 43rd out of 51 for affordability.

State Farm offers the cheapest car insurance rates for both full coverage and minimum liability, while GEICO leads for young drivers ages 16 to 25. Without full coverage, you'll pay out of pocket to repair or replace your vehicle after an accident so make sure to compare quotes to find something affordable. MoneyGeek also ranked the best car insurance companies in Texas by combining rates, customer satisfaction and coverage options. State Farm topped that list too.

Cheapest for Full Coverage and Minimum Liability in TX: State Farm

State Farm has both the cheapest full coverage car insurance in Texas at $93/mo and cheapest minimum liability auto insurance at $41/mo.
Read more on the cheapest full coverage options or read about the cheapest minimum liability options (and the risks associated with buying state minimum car insurance.)

Cheapest for Young Drivers in TX: GEICO

Age is a major factor for car insurance rates in Texas, and GEICO has the cheapest full coverage in the state for young drivers (those aged 16-25).
Read more about the cheapest insurance options in Texas for young drivers and other age groups.

Cheapest in Most Cities in TX and Best Overall: State Farm

If you want to dig deeper into your best insurance options, MoneyGeek recommends looking at the cheapest or best in your city. Unsurprisingly, State Farm is the cheapest option on average in Texas's 20 largest cities.
MoneyGeek also ranked the best car insurance companies in Texas by a combination of rates, customer experience and coverage options and State Farm came out on top again.

Cheapest Full Coverage Car Insurance in Texas

State Farm is the most affordable full coverage insurer in Texas's insurance market at $93 monthly or $1,118 annually. It's not the only affordable option, but it's a reliable choice for Texas drivers seeking comprehensive protection at competitive rates.

GEICO ($112 monthly) follows as a solid alternative, while AAA ($126 monthly), Mercury Insurance ($133 monthly), and Germania Insurance ($143 monthly) complete the top five. Texas drivers have multiple affordable options for comprehensive coverage in this competitive market as of October 2025.


State Farm	$93	$1,118
Geico	$112	$1,341
AAA	$126	$1,513
Mercury Insurance	$133	$1,594
Germania Insurance	$143	$1,715

Cheapest Liability Only Car Insurance in Texas

State Farm also offers the cheapest liability-only car insurance in Texas at $41 monthly or $497 annually, providing solid value in the nation's second-largest insurance market. Texas's competitive landscape and diverse risk factors create opportunities for significant savings among major insurers.

GEICO ($54 monthly) and Mercury Insurance ($54 monthly) offer competitive alternatives, while AAA ($63 monthly) and Germania Insurance ($72 monthly) round out the top five. Texas drivers benefit from strong competition and multiple affordable options as of October 2025.


State Farm	$41	-41%
GEICO	$54	-27%
Mercury	$54	-18%
AAA	$63	-17%
Germania	$72	-6%

*These rates are for a 40-year-old with good credit, a clean driving record and a 2012 Toyota Camry across all ZIP codes in the state.

Texas requires minimum liability coverage of $30,000 for bodily injury per person, $60,000 per accident, and $25,000 for property damage. These standard limits provide reasonable baseline protection, though Texas's size and diverse weather patterns create varied risk factors across the state.

Cheapest Car Insurance in Texas by City

State Farm offers the most affordable minimum coverage rates in all 20 of Texas's largest cities, providing consistent pricing advantages across diverse metropolitan areas throughout the state. This comprehensive market leadership reflects State Farm's competitive position in Texas's car insurance landscape as of October 2025.

Minimum coverage costs across Texas's major cities range from $39 to $58 monthly through State Farm. Denton residents enjoy the state's lowest rates at $39 monthly, while Garland drivers pay the highest premiums at $58 monthly. Major metropolitan areas like Houston, Dallas, and San Antonio fall in the middle range between $47 and $51 monthly.


Amarillo	State Farm	$42	-42%	$-50
Arlington	State Farm	$49	-41%	$-55
Austin	State Farm	$42	-42%	$-51
Brownsville	State Farm	$48	-40%	$-53
Corpus Christi	State Farm	$45	-42%	$-52
Dallas	State Farm	$51	-43%	$-65
Denton	State Farm	$39	-41%	$-46
El Paso	State Farm	$45	-35%	$-41
Fort Worth	State Farm	$44	-41%	$-51
Frisco	State Farm	$48	-44%	$-59
Garland	State Farm	$58	-41%	$-64
Grand Prairie	State Farm	$57	-42%	$-64
Houston	State Farm	$51	-45%	$-67
Irving	State Farm	$50	-43%	$-62
Killeen	State Farm	$41	-42%	$-49
Laredo	State Farm	$50	-35%	$-46
Lubbock	State Farm	$40	-44%	$-52
McKinney	State Farm	$41	-42%	$-50
Plano	State Farm	$48	-45%	$-61
San Antonio	State Farm	$47	-42%	$-56

*The lowest rate referenced is for a minimum coverage policy for a 40-year-old with good credit and no driving violations.

Cheapest Car Insurance in Texas for Young, Senior and Adult Drivers

Young drivers pay the highest car insurance rates in Texas, but shopping around makes a real difference. GEICO offers the most affordable full coverage for drivers ages 16 to 25 at $204 per month — 41% below the state average for this age group. State Farm comes in second at $210 per month.

Adult drivers ages 26 to 64 have more options, with State Farm leading at $95 per month for full coverage. GEICO offers competitive rates at $113 per month, while Mercury Insurance comes in at $129 per month.

Senior drivers ages 65 and older get the best rates from State Farm at $106 per month for full coverage, followed closely by GEICO at $134 per month. Progressive rounds out the top three at $179 per month.

Data filtered by:


Geico	$204	$2,442	-41%	$-1,664
State Farm	$210	$2,519	-39%	$-1,588
AAA	$285	$3,416	-17%	$-690
Allstate	$362	$4,341	6%	$235
Germania Insurance	$260	$3,117	-24%	$-989

Cheapest Car Insurance for High-Risk Drivers in Texas

Your driving record is one of the biggest factors affecting car insurance rates in Texas. Drivers with a clean history pay the lowest premiums, while higher risk Texan drivers with violations such as texting while driving, speeding tickets, accidents or DUIs can raise costs significantly. Poor credit also impacts your rates. State Farm dominates as the most affordable option for nearly every high-risk category, with GEICO leading only for drivers with bad credit.

Cheapest for Bad Credit: GEICO ($189/mo)
Cheapest With a DUI: State Farm ($144/mo)
Cheapest With an At-Fault Accident: State Farm ($109/mo)
Cheapest With a Speeding Ticket: State Farm ($95/mo)
Cheapest With a Texting While Driving Violation: State Farm ($95/mo)


State Farm	Speeding Ticket	$95	$1,135
State Farm	Texting While Driving	$95	$1,135
State Farm	At-Fault Accident	$109	$1,305
State Farm	DUI	$144	$1,725
Geico	Bad Credit	$189	$2,264

LEARN MORE ABOUT THE HIGH RISK CAR INSURANCE IN TEXAS

We've created additional guides below to help you in your search for the cheapest car insurance for certain risky drivers in Texas:

How to Get the Cheapest Car Insurance in Texas

Knowing what the cheapest companies are isn't all you need to know to save the most money on car insurance in Texas. Proven strategies to save the most on auto insurance include the following:

1
Compare multiple insurance providers
Get quotes from from at least three car insurance companies in Texas. Rates vary widely based on your driver profile.
2
Determine your coverage needs carefully
Stick to the coverage you really need including liability and often comprehensive and collision (full coverage). Avoid paying for unnecessary riders, but don’t undervalue your protection.
3
Consider a higher deductible
Increasing your deductible from $500 to $1,000 will decrease your car insurance cost in Texas by an average of 12%.
4
Car insurance discounts in Texas
Texas insurers offer discounts that stack: bundling home and auto (10% to 25% off), good driver (10% to 20% off), paid in full (5% to 10% off), and paperless billing (3% to 5% off). A driver with all four discounts could save 30% to 50% total. Ask your insurer for a complete discount list.
5
Improve your credit score
Texas insurers use credit-based insurance scores to set rates. Improving your credit from fair to good can cut premiums by 20% to 30%. Pay bills on time, reduce credit card balances below 30% of limits, and dispute errors on your credit report.
6
Buy a vehicle that’s inexpensive to insure
Texas has high theft and hail damage rates. Vehicles with strong safety ratings, low theft rates, and cheaper repair costs (like Honda CR-V, Subaru Outback, or Toyota Camry) cost less to insure than luxury vehicles or trucks. Check IIHS safety ratings and NICB theft data before buying.

Risks of Getting the Cheapest Car Insurance in Texas

Texas requires minimum car insurance coverage of 30/60/25 liability coverage. This means you must have $30,000 liability per person, $60,000 per accident and $25,000 of property damage per accident protection. But getting the cheapest coverage possible carries significant risks, and minimum liability policies come with limitations:

Liability coverage doesn't include deductibles, which apply only to comprehensive and collision coverage that minimum policies don't include.

Property damage payouts often exceed minimum liability

If you only minimum liability ($25K, per state requirements), at‑fault accidents could easily leave you underinsured.

Rising repair and collision costs

Minimum car insurance requirements in Texas don't require collision coverage . Given inflation and repair costs, minimum coverage leaves you exposed to covering repairs to your car from an at-fault accident.

Bodily injury claims are often close to minimum limits

Average bodily injury payouts in Texas reached $24,211 in the past three years, very near the per-person liability minimum of $30,000. Serious injury claims or multiple injured parties could quickly exceed policy limits.

Limited coverage against uninsured drivers

With Texas’ uninsured motorist rate hovering around 14%, the risk from uninsured or underinsured at‑fault drivers isn’t small. Without UM/UIM coverage, you might will have big out‑of‑pocket costs if you are hit by an uninsured motorist.

Elevated risk of vehicle theft

Texas had 115,013 vehicles stolen in 2023, the second-highest in the nation.
In 2024, although thefts dropped statewide to 97,246 vehicles, the scale remains considerable.
Major metropolitan areas like Houston, San Antonio and Dallas saw thousands of thefts in 2023.

Minimum liability policies won’t help if your car is stolen. Comprehensive insurance is the right coverage in the high-theft environment of Texas.

Severe weather exposure

Coastal storms, floods, hail, and tornadoes are common in Texas. For example, Hurricane Harvey alone caused an estimated $125 billion in damage in Texas, with 500,000 vehicles affected. Comprehensive coverage covers your car from this type of damage.

Cheap Car Insurance in Texas: FAQ

MoneyGeek answers common questions about the cheapest car insurance in Texas to ensure you get the right coverage for your situation.

What are the cheapest car insurance companies in Texas?

State Farm offers the most affordable car insurance in Texas, with an average annual cost of $492 for minimum coverage and $1,116 for full coverage for most drivers. However, GEICO, Mercury, AAA and Germania may have more budget-friendly options for your profile.

Who has the cheapest car insurance rates for young drivers in Texas?

GEICO offers the most budget-friendly rates for young drivers, with average monthly premiums starting at $96.

Who offers the cheapest car insurance rates for seniors in Texas?

Senior drivers in Texas frequently get the best rates from State Farm, with policies for those aged 65 and up with monthly rates as low as $47.

Who has the cheapest car insurance in Texas for bad credit?

GEICO offers the cheapest car insurance rates for bad-credit drivers in Texas at an average monthly rate of $78 for minimum coverage and $186 for full coverage.

Who has the cheapest car insurance in Texas with an accident?

The lowest car insurance rates for those with accident records start at $49 per month with State Farm.

Who has the cheapest car insurance in Texas with a DUI?

State Farm offers the cheapest car insurance in Texas if you have a DUI. Its average rates are $67 per month ($804 annually) for minimum coverage and $142 per month ($1,698 annually) for full coverage.

Who has the cheapest car insurance in Texas for those with a speeding ticket?

For those with a speeding ticket on their record, State Farm offers the most affordable rates: $41 per month for minimum coverage and $93 for full coverage.

Should you buy the cheapest car insurance in Texas?

While opting for the least expensive insurance can be appealing, ensure it offers adequate protection for huge losses. State Farm provides a good mix of affordability and quality service, making it the cheapest and best car insurance in Texas.

How We Found the Most Affordable Car Insurance in Texas

MoneyGeek collected auto insurance data from the Texas Department of Insurance and Quadrant Information Services. We analyzed quotes from 12 major insurers and reviewed more than 200 million rate comparisons across every residential ZIP code in Texas.

Texas Driver Profile

Our analysis started with a standard driver profile to find the cheapest rates:

40-year-old male
2012 Toyota Camry LE
Clean driving record
12,000 miles driven annually
Good credit
Valid license
Currently insured
No claims history

We adjusted this sample profile, as specified, to find the cheapest option for various driver backgrounds.

Standard Coverage Levels in Texas

We compared car insurance companies in Texas that offer minimum and full coverage policies. We set the limits of the minimum coverage car insurance policy to the minimum amount required by law in Texas.

The minimum coverage liability limits in Texas are:

$30,000 per person for bodily injury
$60,000 per accident for bodily injury
$25,000 per accident for property damage

For full coverage policy rates, we used the following liability limits:

$100,000 for bodily injury liability per person
$300,000 for bodily injury liability per accident
$100,000 for property damage liability
Comprehensive and collision coverage with a $1,000 deductible

About Mark Fitzpatrick

Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like 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.

Read Full Bio »

sources

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Crown Arnold & Majors LLP. "What Is the Average Car Accident Settlement in Texas?." Accessed July 29, 2025.
Finance Buzz. "Uninsured Motorist Rates by State [2025]." Accessed July 29, 2025.
Governing. "Dallas Auto Thefts Coming Down After Record-Breaking 2023." Accessed July 29, 2025.
Sandovall and James. "Average Settlement for Car Accident Injuries in Texas." Accessed July 29, 2025.
Versus Texas. "Typical Car Accident Settlements in Texas." Accessed July 29, 2025.