Texas Car Insurance Requirements

Texas requires all drivers to carry liability insurance. The state follows a "30/60/25" minimum coverage requirement. Driving without insurance leads to fines up to $1,000 and license suspension.

Minimum Coverage Requirements

Coverage Type Minimum Required Recommended
Bodily Injury (per person) $30,000 $100,000+
Bodily Injury (per accident) $60,000 $300,000+
Property Damage $25,000 $100,000+
Personal Injury Protection Optional Recommended

Average Car Insurance Costs in Texas

City Annual Average Monthly Average
Houston $2,280 $190
Dallas $2,100 $175
San Antonio $1,800 $150
Austin $1,680 $140
Fort Worth $1,920 $160
State Average $1,876 $156

Best Car Insurance Companies in Texas

🏆 USAA

Best for: Military families. Lowest rates in Texas. Average: $1,100/year.

🥈 GEICO

Best for: Budget-conscious drivers. Strong online experience.

🥉 Texas Farm Bureau

Best for: Rural Texans. Local Texas company with great rates.

State Farm

Best for: Bundling, agent support. Largest network in TX.

Texas-Specific Discounts

  • Defensive Driving Course: Complete state-approved course for 5-10% off
  • Multi-Car Discount: Insure multiple vehicles for 10-25% off
  • Pay-in-Full Discount: Pay 6-12 months upfront for savings
  • Good Driver Discount: Clean record for 3+ years
  • Homeowner Discount: Own your home for additional savings

Texas Insurance Laws

  • TexasSure: State database verifies insurance coverage
  • At-Fault State: The driver who caused accident is responsible
  • No Pay, No Play: Uninsured drivers can't sue for pain/suffering
  • Proof Required: Must show insurance during traffic stops

Weather Considerations

Texas drivers face unique weather risks that affect insurance:

  • Hail Damage: TX leads nation in hail claims. Consider comprehensive coverage.
  • Flooding: Standard auto covers flood damage (unlike home insurance)
  • Hurricanes: Coastal areas face higher rates