The cheapest auto insurer depends on your coverage needs and driving record. The most affordable minimum and full coverage provider in Laredo is State Farm. It's also the cheapest for military members and for those with at-fault accidents or speeding tickets on record. Meanwhile, Nationwide is the cheapest for teens and Mercury for drivers with DUIs. Texas Farm Bureau is the best auto insurer overall, while Chubb offers the best service.
Cheapest and Best Car Insurance in Laredo, TX








Cheapest Minimum Liability Car Insurance in Laredo
The following companies provide the lowest minimum coverage auto insurance rates in Laredo:
- State Farm: $314 per year
- Mercury: $385 per year
Similarly, State Farm also offers the cheapest car insurance in Texas at $300 per year as of October 2022. Meanwhile, Dairyland charges the most for a minimum coverage policy, at $1,117 annually.
According to Texas state law, a minimum coverage policy must cover property damage and bodily injury with the following limits:
- $30,000 bodily injury liability per person
- $60,000 bodily injury liability per accident
- $25,000 property damage liability per accident
To better explain, insurance companies will only pay $30,000 for bodily injury liability per person involved in an accident, up to $60,000 per incident, regardless of how many are injured. Additionally, they will pay up to $25,000 in property damage for each accident.
Cheapest Full Coverage Car Insurance in Laredo
The following auto insurance providers offer full coverage policies at the lowest prices:
- State Farm: $753 per year
- Mercury: $895 per year
Dairyland charges the highest premium for a full coverage policy at $2,006 annually. As of October 2022, State Farm also offers the most affordable full coverage auto insurance in Texas.
Full coverage policies include comprehensive and collision coverage.
- Collision Insurance: Pays for repairing or replacing your car after a collision with an object or other vehicle.
- Comprehensive Insurance: Pays for damages to your car caused by theft, vandalism and weather-related events.
Full coverage policies may not be cost effective for older, low-value cars.
Cheapest Car Insurance in Laredo After a Driving Offense
The following auto insurance companies charge the lowest rates to customers with driving violations:
- Speeding ticket: State Farm ($753 per year)
- At-fault accident: State Farm ($908 per year)
- DUI: Mercury ($1,207 per year)
Their most expensive counterparts are Dairyland after a speeding ticket ($2,471), Foremost after an at-fault accident ($3,674) and Chubb after a DUI ($2,849). Even the cheapest rates for policyholders with violations are higher than for those with clean records.
Although not always the case, the more severe the violation, the higher the rate increase. In Laredo, drivers will pay an average of $258 more after a speeding ticket and $607 more after a DUI charge. However, you can still find cheap car insurance with a bad driving record.
Cheapest Car Insurance in Laredo for Teens and Their Families
The following companies offer the most affordable rates for adding a teenager to a family policy in Laredo:
- State Farm: $1,956 per year for female teens and $2,366 per year for male teens
- Nationwide: $1,956 per year for female teens and $1,958 per year for male teens
Allstate provides the most expensive teen family insurance policies, with annual premiums averaging $6,813 for female teens and $8,018 for male teens. Male teens are considered riskier to insure and typically pay higher premiums. This discrepancy drops off in early adulthood.
Teens buying auto insurance on their own will have to pay much more than if they are added to a family policy. In Laredo, a 16-year-old male will pay $3,267 more for an individual policy. To find cheap car insurance for teenagers, compare quotes and take advantage of student discounts.
Cheapest Car Insurance in Laredo for Military Drivers
MoneyGeek researched the cheapest car insurance for military members and their families. The following are Laredo’s cheapest providers for a full coverage policy:
- State Farm: $753 per year
- Mercury: $895 per year
Another great option, and the third cheapest in this category, is USAA. It offers services tailored to policyholders with military backgrounds and is available for $927 per year.
State Farm is still the cheapest for minimum coverage policies at $314 per year, and Mercury is the second at $385 per year.
How to Compare Cheap Laredo Car Insurance Quotes Online
Obtaining quotes online can take 15 minutes or longer per provider, requiring you to divulge a good amount of personal information. With MoneyGeek's online car insurance calculator, you can get quick estimates by only inputting your age, driving history, desired coverage and vehicle type.
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Best Car Insurance in Laredo: Summary
The best auto insurance company in Laredo for you depends on how much you value pricing, coverage, service and other factors. The following companies are our best picks for various categories:
- Best overall: Texas Farm Bureau Group (MoneyGeek score 76 out of 100)
- Best for service: Chubb (MoneyGeek score 76 out of 100)
- Best cheap: State Farm (MoneyGeek score 78 out of 100)
A company’s MoneyGeek score can vary depending on the category. The best auto insurance provider in Texas is also Texas Farm Bureau. USAA, with a score of 85 out of 100, provides good car insurance for those with ties with the military.
Best Overall Car Insurance in Laredo
Our study shows that the following companies are the overall best car insurance providers in Laredo, Texas:
- Texas Farm Bureau Group: MoneyGeek score 76 out of 100 ($931 per year)
- State Farm: MoneyGeek score 76 out of 100 ($753 per year)
Texas Farm Bureau Group provides quality service at affordable prices. It receives the fewest customer complaints and offers one of the cheapest premiums. In addition, USAA (score of 80/100) is one of the best auto insurers for policyholders with a military affiliation.
How was this MoneyGeek score calculated?

pros
Affordable policies and excellent customer satisfaction rating
Has rental car travel reimbursement and roadside assistance coverage
cons
Low claims management rating
No accident forgiveness or gap insurance
COMPANY HIGHLIGHTS
Texas Farm Bureau Group beats its competitors for providing an attractive blend of affordability and customer service. However, the company does not offer a broad range of add-on coverages.
Policyholders with comprehensive and collision insurance are eligible for rental reimbursement coverage, which can help cover the cost of renting a vehicle while theirs is getting fixed after a covered loss. You can set your own restrictions based on what works best for you.
Roadside assistance coverage offers a 24-hour dispatch service. It provides insurance for unanticipated electrical, mechanical or other non-accident-related issues that render your car insecure or immobile. It covers services like fuel delivery, flat tire repair and towing to a service station or a garage.
Best Car Insurance in Laredo for Customer Service
Considering only customer service factors while disregarding price, MoneyGeek identified the following auto insurers as providing the best service in Laredo:
- Chubb: MoneyGeek score 76 out of 100 ($1,455 per year)
- Foremost: MoneyGeek score 67 out of 100 ($1,592 per year)
Chubb has the city's best combination of customer satisfaction, claims management and coverage scores. Unfortunately, its customers pay more for quality service, as its premiums are among the highest in Laredo.
How was this MoneyGeek score calculated?

pros
4.71 out of 5 customer satisfaction score, 4 out of 5 claims management rating
Offers diminished value and OEM (original equipment manufacturer) coverages
cons
Offers just four add-on coverages
No roadside assistance coverage and gap insurance
COMPANY HIGHLIGHTS
Chubb’s coverage offerings are quite thin. The company has the standard rental car reimbursement coverage, which lets you rent a vehicle similar to your own when your car is damaged and in the shop after a covered accident.
It also features Agreed Value coverage, where you and Chubb agree on your car’s value when the policy is written. If your vehicle is stolen or totaled, you receive a check for the agreed-upon amount. Chubb’s OEM coverage will always pay for original equipment manufacturer parts to bring your automobile back to its pre-accident state after a covered loss.
The company’s vintage/classic car insurance covers cars at least 30 years old, limited edition models or part of a larger vehicle collection. To qualify, the cars must be kept in garages and used only for hobbies like parades, auto displays and club events.
Best Cheap Car Insurance in Laredo
We examined the price and service quality of policies with the minimum coverage required under Texas law and found the following are the best cheap car insurance providers:
- State Farm: MoneyGeek score 78 out of 100 ($314 per year)
- Texas Farm Bureau Group: MoneyGeek score 77 out of 100 ($400 per year)
Minimum coverage insurance is the cheapest in Laredo, but provides the least liability protection. It also doesn’t cover damages to your car when you’re at fault for the accident.
How was this MoneyGeek score calculated?

pros
The most inexpensive auto insurer at $314 per year
Offers safe driving, defensive driving and daytime running lights discounts
Great customer satisfaction rating
cons
No paperless and pay-in-full discounts
Poor claims management score
COMPANY HIGHLIGHTS
State Farm is the best cheap auto insurer in Laredo due to its affordability and customer service. It also offers many discounts to help policyholders save more.
For instance, you can bundle your auto insurance with other insurance products from State Farm (renters, life, conde, etc.) to get a discount. Insuring at least two vehicles with the company also earns you a premium reduction. Students on your policy with at least a 3.0 GPA, a B average or who are in the top 20% of their class qualify for discounts, too.
State Farm offers safety-related discounts for safe driving, defensive driving and installing airbags, anti-lock or anti-theft systems in your vehicle. You can also save on your monthly premium if your car has factory-installed DRL (daytime running lamps).
Average Cost of Car Insurance in Laredo
In Laredo, the average price of car insurance is $1,249 per year, $16 less than the $1,265 national average and $48 more than the $1,201 average annual cost of auto insurance in Texas as of October 2022. Yet, many other factors besides location affect auto insurance costs.
These rates are for full coverage insurance with $100,000 bodily injury liability per person, $300,000 bodily injury liability per accident and $100,000 in property damage liability per accident.
About Mark Fitzpatrick
