Auto Insurance in Austin, Texas

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Texas is known as one of the more expensive states in regards to car insurance. That being said, the rates will depend on the vehicle, the driver, and the insurance provider. Whatever your situation is, there are insurance options worth looking into, and you may be able to get discounts based on your age or other factors.

Although getting caught without an insurance card won’t add points to your driving record, it will bring a fine. You can expect to pay $350 for a first time offense.If you get caught without insurance again, you can expect to pay more, and the fine goes up with each subsequent offense.

This is just one of the ways in which Texan drivers are incentivized to get insurance for their vehicles. It’s illegal to drive without a viable insurance card which meets state-mandated minimum liability coverage.

Check out the following statistics to find out what drivers can expect if they live in Austin, Texas.

Austin, TX Auto Insurance Overview

  • Number of vehicles: According to the 2016 census the average Austin, TX household has 1.65 vehicles
  • Minimum state insurance requirements: Austin drivers are required to meet the statewide 30/60/25 coverage law. In other words, they need insurance that pays at least
    • $30,000 for one-person accidents
    • $60,000 for accidents involving more than one person
    • $25,000 for property damage coverage
  • Average annual insurance rate for those with a clean driving record is around $1,300

Texas Auto Insurance Laws

Although the Lone Star State has an average annual insurance rate of around $1,300, there are many drivers who pay considerably less. By Texas law, drivers must meet the 30/60/25 minimum liability coverage.

This means that in some cases, you can meet the minimum requirements by paying around $800-$900, based on your credit score, vehicle specifications, driving record, etc. The average is higher because many drivers choose to buy extra protection.

The 30/60/25 coverage means that insurers will cover only the damage you do to another vehicle or person, in the event of an accident. In the case of more serious accidents, you may need to pay out of pocket. You will need higher coverage if you want your insurance to cover your medical expenses and repair work for your car from an accident.

Meeting the state minimum liability requirements will save you from paying fines and surcharges for subsequent fines. It will likely cover the damage you can do to someone else, but you will still have to take money out of your own pocket to fix your car and/or pay for your hospital bills.

So instead, talk to your chosen insurance company about other options. The full-coverage formula is considered to be 100/300/100 plus comprehensive, collision, medical payments. There are a few other endorsements you can add to your policy as well. 

Austin Auto Insurance Rates Per Vehicle

Of course, the type of car and the price of the car are very important. Luxury cars will have higher premiums. In case of an accident, the insurance company may need to pay tens of thousands of dollars for repair work. New parts may be more expensive for foreign-made cars.

Although the battle between foreign, and American-made cars is not as fierce these days, the make can still influence the rate. If locating spare parts and the actual repair work is more expensive, your insurance rate will go up, especially if you opt for more than the minimum state required liability coverage option.

The number of safety features in your car also affects the rate you need to pay. Although all cars have airbags, and have had them since 1991, some older models still don’t. If a car has no airbags or has airbags on the driver’s side only, it won’t benefit from the same safety discounts and you may need specialized insurance such as classic car insurance.

Good anti-theft systems can also influence the rate. How much this is worth differs among providers.

In addition to the model and age of your vehicle, insurance agencies want to know where and how often you drive it. You may qualify for special rates such as a low-mileage discount, rural area, and others.

Insurance Rates by Credit Score

Some of the influencing factors that insurance companies look into aren’t vehicle-related.

Your credit score can give you a great discount when buying car insurance. Most car insurance providers have their own unique algorithms to assign value to your insurance credit score, but it’s generally important that you don’t have large debts or a history of defaulting on your loans.

Even something as simple as failing to meet a payment deadline for a previous car insurance policy can raise your new rate.

Check out the following table to find out what you could expect to pay for car insurance, based on your credit score.

Credit ScoreCheapest ProviderRate For State Minimum Coverage
Poor 300-579State Farm$2,494
Fair 580-669State Farm$1,453
Good 670-739State Farm$1,205
Excellent 740+State Farm $1,946

Austin Auto Insurance for Drivers with a Clean Record

If you just compare the statistics, you’ll quickly realize just how important it is to have a clean record when you’re applying for car insurance in Austin, TX.

A clean driver’s record means having no DUIs, no speeding tickets, as well as not being found at fault for accidents, etc. Not having points on your record goes a long way towards swaying insurance providers to give you a better rate on your car insurance.

Note that violations such as not having insurance or not wearing a seatbelt will not add points to your record.

Insurance AgencyState Minimum InsuranceStandard CoverageFull Coverage
State Farm$807$1,005$1,467
Allstate$945$1,356$1,609
Progressive$982$1,109$1,750
USAA$756$934$1,185
Esurance$850$1,208$1,391

Austin Auto Insurance Rates with Driving Infractions

Auto insurance in Austin, TX, can be manageable even if you have a couple of driving infractions under your belt. However, not all providers are equally lenient when it comes to drivers with offenses.

DUIs, speed violations and accidents have different premiums. Regardless of the insurance provider, you should know that there’s a high chance that a DUI is going to bring a higher premium than a speeding violation or you may not even qualify for insurance with certain carriers.

However, the number of infractions is also taken into account. The following three infractions are universally regarded as high-risk, there are many other traffic violations which could lead to a higher premium on your car insurance.

Insurance Agency At Fault Accident Speed Violation DUI
Progressive$5,258$4,581$4,753
State Farm$2,935$2,561$3,462
USAA$2,737$2,133$3,224
Nationwide$3,352$3,789$4,977
Allstate$6,562$4,271$6,838

Benzinga’s Recommendations for Car Insurance in Austin, TX

Esurance, GEICO, State Farm, Progressive, Allstate, USAA – these are all excellent choices if you’re based in Austin and your car isn’t insured yet. These companies all offer a good balance between affordable rates, customer support, and extra incentives.

SR-22 Insurance
Yes
Online Purchase
No

1. Best Overall: State Farm

State Farm has a very good statewide reputation. They are known to keep things simple but professional.

This agency offers drivers a wide range of car insurance options for regular vehicles, classic cars, sports cars, etc. Drivers can also use the app to stay up-to-date with the news or with pending payments. They can even use it to issue claims or search for accredited repair shops in a radius of 70 miles.

We chose State Farm as our best overall pick for top rated customer service and low monthly premiums.

SR-22 Insurance
Yes
Online Purchase
No
Pros
  • Complete line of insurance, banking, and investment services
  • Easy online forms to quote and bind policies
  • Top-rated customer satisfaction
Cons
  • Very few physical locations
  • Only available to select groups, generally tied to military service and the relatives of members

2. Cheapest Car Insurance Austin, TX: USAA

USAA offers extremely affordable rates to driver’s who meet the military requirements to obtain insurance through them. While maintaining high-quality coverage and customer service USAA should be considered when shopping for car insurance in Austin.

There are many ways to keep a low payment with USAA. Some discounts include safe driver, good grades, home and auto bundling, and pay in full discount to name a few.

3. Cheapest Full Coverage Car Insurance Austin, TX: Esurance

Due to the staggering number of discounts, a driver can qualify for, Esurance is also Austin’s cheapest auto insurance provider that is available to anyone.

This insurer offers the lowest rates whether you have good or bad credit.

Esurance is a State Farm product so it goes hand in hand that they have superb service.

The Esurance platform makes it easy to obtain insurance, maintain your records digitally, and above all file a claim quickly if you ever need to.

SR-22 Insurance
No
Online Purchase
Yes
Pros
  • Many coverage types available
  • Comprehensive mobile app
  • Free roadside assistance included with every policy
  • User-based insurance model means safe and infrequent drivers save more.
Cons
  • Opaque customer service hours
  • No clearly defined discounts
  • Must complete a “test drive,” which lasts up to a month before you get a quote
  • No policies available for “high-risk” drivers
  • Not available in all states

4. Best for Safe Drivers: Root

Root is a unique new car insurance provider that offers policies based on your driving habits. You’ll install an app on your phone that monitors your speed, how often you make sudden turns and stops and mileage.

Then, the app creates a custom quote for you based on how well you drive.

Root doesn’t offer policies to everyone — the company avoids reckless drivers and those who have a long history of driving infractions so the company can keep premiums low. You may be able to save more when you switch to Root.

Finding the Best Provider in Austin

Insurance in Austin doesn’t need to be complicated. Choosing a vehicle with high safety ratings, are a cautious driver, and pay your premiums on time you can obtain insurance in the median range.

Want to learn more about insurance? Check out Benzinga’s guide to the best car insurance companies, the best temporary car insurance companies and the best coverage in El Paso, Fort Worth, Dallas, Houston and San Antonio.