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Last updated: May 8, 2026The Best Auto Insurance in Texas
Texas Farm Bureau, Nationwide, USAA, State Farm, and Liberty Mutual are our top picks in the Lone Star State.
Cheapest
Editor's Rating:
4.4/5
4.4/5Best for Customer Service
Editor's Rating:4.8/5
4.8/5
Full Coverage Averages in Texas
- Annual Premium: $1,987
- Monthly Premium: $166
Best for Military and Veterans
Editor's Rating:5/5
5/5
Full Coverage Averages in Texas
- Annual Premium: $1,925
- Monthly Premium: $160
Key Takeaways: Best Auto Insurance in Texas
- The average cost of full coverage insurance in Texas is $2,821 per year, or $235 per month, which is more than the national average.
- Texas Farm Bureau offers the cheapest average rates for most drivers in the Lone Star State.
- Nationwide has the highest regional customer satisfaction ratings.
- USAA, State Farm, and Liberty Mutual also offer great coverage for various driver categories.
Summary of the Best Car Insurance in Texas
- Cheapest: Texas Farm Bureau
- Best for Customer Service: Nationwide
- Best for Military and Veterans: USAA
- Best for Drivers with a DUI: State Farm
- Best for Trucks: Liberty Mutual
Compare the Best Cheap Auto Insurance in Texas
| Company | Full coverage monthly average in Texas | Minimum coverage monthly average in Texas | Texas customer satisfaction (J.D. Power) |
|---|---|---|---|
| Texas Farm Bureau | $115 | $41 | Below average |
| Nationwide | Data not available | Data not available | Above average |
| USAA | $160 | $50 | Above average |
| State Farm | $162 | $53 | Above average |
| Liberty Mutual | Data not available | Data not available | Below average |
| Texas | $235 | $80 | – |
Breaking Down the Best Cheap Auto Insurance in Texas
1. Texas Farm Bureau - Cheapest
4.4
Editor's Rating:
- Average Texas Rate for Minimum Coverage
- $41 mo.
- Average Texas Rate for Full Coverage
- $115 mo.
- Cheap rates for most Texas Drivers
- Excellent customer service
- Telematics discount program
Membership required- Basic mobile tools
Texas Farm Bureau is a Texas-specific company that underwrites insurance policies for Farm Bureau members — it offers auto, home, farm & ranch, commercial, and life insurance. As a regional company, it provides localized service via a network of agents and has generally high customer satisfaction ratings. It also has some of the cheapest average rates for most driver profiles in Texas.
Texas Farm Bureau launched a usage-based telematics discount program called Drive’n Save in 2023, which is not always an option available from smaller regional insurers. Drive’n Save is a great way to get lower premiums if you’re a safe driver. While Texas Farm Bureau doesn’t advertise percentage discounts for the program, it states that drivers will receive a discount just for signing up, and an additional discount based on their driving score.
FYI:
Texas Farm Bureau membership rates are determined by local county boards, but typically range from $45 to $70 per year.
Who it’s best for
Farm Bureau members, or those willing to become members, those looking for the cheapest rates, drivers who want personalized local service
Texas Farm Bureau Pricing
| Texas Farm Bureau | Full coverage | Minimum coverage |
|---|---|---|
| Monthly | $115 | $41 |
| Annually | $1,380 | $492 |
| Difference from Texas average | -51% | -49% |
2. Nationwide - Best for Customer Service
4.8
Editor's Rating:
- Average Rate for Minimum Coverage
- $60 mo.
- Average Rate for Full Coverage
- $162 mo.
- Ranked first for regional customer satisfaction in J.D. Power
- Pay-per-mile policies
- Strong digital experience ratings
- Not available in select states
- Expensive for teen drivers
Why we chose it
Nationwide has a strong customer satisfaction record in Texas, making it an ideal choice for drivers who prioritize customer service. Nationwide ranked first for customer satisfaction in the Texas region in J.D. Power’s 2025 Auto Insurance Study, and it ranked fourth in J.D. Power’s 2025 Claims Satisfaction Study. In addition, it topped the list for digital experience in the service category, indicating that it provides highly satisfactory digital tools for customers.1
Nationwide offers a pay-per-mile program called SmartMiles, which is beneficial for drivers who don’t drive very often. It consists of a base rate and a per-mile rate, so your monthly premium is based on how much you actually drive and changes month to month. It also offers various discounts to help drivers save, including for being a safe driver, having good grades in school, or bundling policies.
Who it’s best for
Those who prioritize customer service, drivers looking to manage their policies online, those who drive less than average
3. USAA - Best for Military and Veterans
5
Editor's Rating:
- Average Rate for Minimum Coverage
- $29 mo.
- Average Rate for Full Coverage
- $106 mo.
- Competitive rates
- Strong customer service record
- Specialized products and services for military community
- Military eligibility required
- Limited to members
- Fewer branch locations
Why we chose it
USAA is our top pick for military families in Texas. Texas is home to 15 active-duty major military installations, including Fort Hood, the third-largest military base in the U.S. USAA memberships are available exclusively to current and former members of the U.S. military (including pre-commissioned officers and ROTC members) and their immediate families.
USAA offers specialized car insurance coverage options and discounts to its active duty members. These include a military on-base discount of up to 15 percent off your comprehensive coverage premium when you garage your car on base. You can also earn up to 60 percent off your car insurance rates for storing your insured car on base or at another approved facility while you’re deployed. In addition, it has a pay-per-mile auto insurance program called SafePilot Miles, which rewards you for driving less.
Who it’s best for
Active duty members and veterans of the U.S. military and their immediate families, military personnel keeping their cars in the U.S. while stationed overseas
USAA Texas Pricing
| USAA | Full coverage | Minimum coverage |
|---|---|---|
| Monthly | $160 | $50 |
| Annually | $1,925 | $595 |
| Difference from Texas average | -32% | -38% |
4. State Farm - Best for Drivers with a DUI
4.9
Editor's Rating:
- Average Rate for Minimum Coverage
- $53 mo.
- Average Rate for Full Coverage
- $162 mo.
- Affordable rates for most Texas drivers, including with a DUI
- Personalized service from local agents
- Specialized telematics program for young drivers
- Must complete quotes by phone
- No accident forgiveness
Why we chose it
As the largest car insurance provider in the U.S., State Farm has insured customers for over a century. It offers below-average premiums and several discounts, including for young drivers and those with a DUI. State Farm only increases your rate by 23 percent after a DUI, compared to the Texas average of 39 percent. It also has a great telematics program, Drive Safe & Save, that can help drivers save more.
In addition, State Farm has reliable customer service and great customer satisfaction, as indicated by third-party ratings. In 2025, J.D. Power rated it above average in Texas for customer satisfaction. The company also ranked above average in J.D. Power’s Claims Satisfaction Study, scoring more than 15 points above the study average.
Who it’s best for
Drivers with a DUI on their record, families with young drivers, customers with low mileage
State Farm Texas Pricing
| State Farm | Full coverage | Minimum coverage |
|---|---|---|
| Monthly | $162 | $53 |
| Annually | $1,940 | $640 |
| Difference from Texas average | -31% | -33% |
5. Liberty Mutual - Best for Trucks
4.5
Editor's Rating:
- Average Rate for Minimum Coverage
- $115 mo.
- Average Rate for Full Coverage
- $238 mo.
- Many discount opportunities
- Offers Mexico car insurance
- Savings for teachers
- Telematics required for best savings
- Mixed reviews
Why we chose it
Liberty Mutual offers a large variety of car insurance coverages, as well as life, homeowners, and business insurance. As of 2024, Texas leads the nation in pickup truck sales volume, with almost 20 percent of Texans driving a pickup.2 However, full-size trucks tend to be expensive to repair. If you’re concerned about the possibility of high repair and maintenance costs for your vehicle, Liberty Mutual is a great choice.
The company offers original parts replacement coverage, which pays for the original manufacturer parts for your vehicle, as well as lifetime repair guarantee coverage, which pays for and guarantees repairs to your vehicle at Liberty Mutual’s more than 2,000 Guaranteed Repair Network (GRN) facilities for as long as you own your car. In addition, Liberty Mutual sells authorized Mexico car insurance through its partner, MexPro, for those planning a road trip across the border.
Who it’s best for
Truck drivers, teachers, those who frequently drive to Mexico
Best Cheap Picks — Detailed Customer Satisfaction Summary
| Company | J.D. Power Auto Insurance Study – Texas3 | CRASH Network Insurer Report Card4 | J.D. Power Auto Claims Satisfaction Study5 | NAIC Complaint Index6 |
|---|---|---|---|---|
| Texas Farm Bureau | 628 | B | N/A | 0.30 |
| Nationwide | 657 | C | 729 | 1.07 |
| USAA | 732 | C- | 741 | 1.60 |
| State Farm | 645 | D+ | 716 | 0.97 |
| Liberty Mutual | 632 | D+ | 730 | 1.25 |
| Average | 640 (out of 1,000) | C+ | 700 (out of 1,000) | 1 |
| What the study measures | Customer satisfaction regionally, based on responses from over 40,000 customers | Claims handling and payment practices, based on an annual survey of collision repair shops | Satisfaction with the claims process, based on responses from nearly 10,000 customers who recently filed a claim | Consumer complaints relative to market share; the lower the score, the better |
Average Cost of Auto Insurance in Texas
Full Coverage Rates in Texas
On average, the cost of full coverage auto insurance in Texas is higher than the national average of $2,356 per year. Texas drivers should expect to pay around $2,821 per year, or $235 per month, for a full coverage policy.
| Annual full coverage average | Monthly full coverage average | |
|---|---|---|
| Texas | $2,821 | $235 |
| U.S. | $2,356 | $196 |
Minimum Coverage Rates in Texas
Minimum coverage in Texas typically costs more than the national average of $722 annually. On average, minimum coverage in the Lone Star State costs $960 annually, or $80 a month.
| Annual minimum coverage average | Monthly minimum coverage average | |
|---|---|---|
| Texas | $960 | $80 |
| U.S. | $722 | $60 |
Auto Insurance Costs by City in Texas
The cost of auto insurance depends on your location, even down to the city where you live. In Texas, the most expensive city to purchase auto insurance is Dallas, where policies typically cost $3,223 per year. Houston isn’t far behind at $3,197 per year.
| City | Average annual premium | Average monthly premium |
|---|---|---|
| Dallas | $3,223 | $269 |
| Houston | $3,197 | $266 |
| Arlington | $2,854 | $238 |
| San Antonio | $2,843 | $237 |
| Fort Worth | $2,767 | $231 |
| Plano | $2,765 | $230 |
| Brownsville | $2,713 | $226 |
| El Paso | $2,703 | $225 |
| Austin | $2,676 | $223 |
How Many Car Accidents Happen in Texas?
According to the most recent data from the Texas Department of Transportation, there were 423,953 total crashes in Texas in 2024.7 Of those, 2,100 were fatal, resulting in 2,263 deaths. Another 9,690 resulted in serious injuries, while 273,516 involved only property damage.
Minimum Auto Insurance Requirements in Texas
Texas requires that drivers carry auto insurance with at least the following liability limits:
- Bodily injury liability: $30,000 per person/$60,000 per accident
- Property damage liability: $25,000 per accident
While these limits provide some protection, it’s best to increase them if you can afford to. If you cause an accident and don’t have sufficient coverage, you’ll be responsible for the difference, so minimum coverage can end up costing you more in the long run. It also doesn’t cover any damage to your own vehicle — for that, you’ll need to add full coverage as well.
Frequently Asked Questions
Texas requires at least $30,000 of coverage for bodily injury liability per person and $60,000 for bodily injury per accident, as well as $25,000 for property damage liability coverage per accident. However, these amounts are the bare minimum amount of insurance you need. To protect yourself in case of damage to your vehicle or medical bills for you and your passengers, we recommend additional insurance such as collision and comprehensive coverage, medical payments coverage, and uninsured/underinsured motorist coverage.
Texas is not a no-fault insurance state; Texas is an at-fault state for car insurance. That means that the party deemed responsible for an accident is responsible for paying for the losses, including property damage and medical care, for both parties.
As of 2026, the average cost of car insurance per month in Texas is $235. However, the cost of insurance varies widely depending on your age, driving record, and other factors.
Methodology
To select the best auto insurance companies in Texas, we assessed providers across four main categories:
- Pricing (40%): We looked at average yearly rates for full and minimum coverage for drivers in Texas with good driving records. We also broke down the average premiums for high-risk drivers, like those with speeding tickets, at-fault incidents, or low credit scores. Lastly, we looked at offered discounts and whether significant savings like multiple-driver, good student, and usage-based discounts are offered. We use state laws for minimum coverage pricing. For full coverage pricing, we use the following limits:
- Bodily injury liability: $100,000 per person/$300,000 per accident
- Property damage liability: $100,000 per accident
- Uninsured and underinsured motorist bodily injury: $100,000 per person/$300,000 per accident
- Comprehensive and collision coverage: $500 deductible
- Claims Handling (25%): Every insurance company should be able to process claims promptly and equitably. We reviewed third-party studies like J.D. Power’s Claims Satisfaction Report for providers offering policies in Texas. We also turned to agencies like AM Best and Moody’s for financial strength ratings, which illustrate a company’s capacity to fulfill claims.
- Customer Experience (25%): The journey of getting a quote, buying a policy, and experiencing the insurer was assessed based on these factors: experience receiving an online quote and making a purchase and regional ratings for customer satisfaction (J.D. Power U.S. Auto Insurance Study and Digital Experience Study) for Texas and complaint data from the National Association of Insurance Commissioners (NAIC).
- Coverage Options (10%): We prefer insurance companies that offer extra coverage beyond the minimum legally required protection in Texas. These optional add-ons include rideshare insurance, gap coverage, and new vehicle replacement.
Read more about our ratings and methodology.
Sources
Auto Insurer Websites and Apps Become Battleground for New Customers as Policy Shopping Activity Skyrockets, JD Power Finds. JD Power. (2025, May 14).
https://www.jdpower.com/business/press-releases/2025-us-insurance-digital-experience-studyWhich States Drive the Most Pickup Trucks?. iSeeCars.com. (2026).
https://www.iseecars.com/which-states-drive-the-most-pickup-trucks-studyIt’s Now a Buyer’s Market for Auto Insurance, JD Power Finds. JD Power. (2025, June 10).
https://www.jdpower.com/business/press-releases/2025-us-auto-insurance-studyTop Rated U.S. Car Insurance Companies for 2026. CRASH Network. (2026).
https://www.crashnetwork.com/irc/Satisfaction with Auto Insurance Claims Strained by Higher Deductibles, More Total Losses, JD Power Finds. JD Power. (2025, Oct 28).
https://www.jdpower.com/business/press-releases/2025-us-auto-claims-satisfaction-studyConsumer Insurance Search Results. National Association of Insurance Commissioners. (2026).
https://content.naic.org/cis_refined_results.htmCrashes and Injuries Cities and Towns. Texas Department of Transportation (2024).
https://www.txdot.gov/content/dam/docs/division/trf/crash-records/2024/14.pdf
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