CarInsurance.com Insights
- Texas Farm Bureau is the state’s best car insurance company with average rates well below most competitors. However, membership is required to purchase coverage.
- Other carriers among the best in Texas include Geico, State Farm and Nationwide.
- According to our analysis, Texas Farm Bureau is also the best car insurer in Texas for teens, adults and seniors.
For many Texas drivers, price is key to choosing the best car insurance for their needs because the cost of coverage in the state is higher than the national average.
“Rising auto insurance premiums across the state are being driven by a combination of economic pressures and increased risk on the roads,” said Richard Johnson, director of communications and public affairs for the Insurance Council of Texas. “The frequency and severity of accidents have surged post-pandemic, with more drivers engaging in risky behaviors like speeding and distracted driving.”
At the same time, Johnson says, inflation and the cost to repair and replace vehicles has increased significantly.
“A fender bender is no longer replacing a steel bumper and a tail light. It is now a bumper, sensors, and cameras on most newer model cars,” he says.
But cost isn’t the only consideration. Consumers say good customer service, fast claims handling and an insurer’s financial health also matter.
We looked at average premiums, customer satisfaction survey data and third-party company ratings to find the best car insurance companies in Texas. We analyzed our findings to identify the best insurers for drivers based on age, from teens to seniors and also for high-risk drivers.
Check out our experts’ recommendations for the best car insurance coverag
Best car insurance companies in Texas
Based on our analysis, Texas Farm Bureau is the best car insurance company for Texas drivers. It has the lowest average annual rates overall and the cheapest coverage by age group, as the chart below illustrates. It also stands out for its customer service.
| Category | Company |
|---|---|
| Best overall | Texas Farm Bureau |
| Most affordable | Texas Farm Bureau |
| Highest customer satisfaction | Texas Farm Bureau |
| Best for teen | Texas Farm Bureau |
| Best for young adults | Texas Farm Bureau |
| Best for adults | Texas Farm Bureau |
| Best for seniors | Texas Farm Bureau |
However, just because Texas Farm Bureau tops our ratings as the best car insurance company in Texas doesn’t necessarily mean it’s the best insurer for your needs.
“Consider items that might be important to you, such as around-the-clock customer support, strong customer reviews, and a company known for prompt service. It’s also smart to review available discounts, coverage options and the company’s financial strength,” Johnson says.
If you’re considering switching insurers or shopping for coverage for the first time, be sure to get quotes from at least three different companies to make an informed decision. If you don’t want to do the legwork yourself, you can work with an independent agent who represents multiple carriers and can provide you with detailed, unbiased information.
Comparing the best car insurance in Texas
Texas Farm Bureau is the best car insurance company in the state, with an overall score of 4.67 out of 5. Its average annual premium for full coverage car insurance is just $1,301, which is considerably less than the state average of $2,043 and also cheaper than the national average of $1,895.
Among the carriers we examined, Texas Farm Bureau had the best NAIC Complaint Index rate and the second-best J.D. Power customer satisfaction score (only USAA was higher, but it is only available to active and retired military members and their families). Only its AM Best financial rating of B++ (Good) was notably lower than its competitors.
| Company | Annual cost | AM Best | J.D. Power | NAIC | Overall score out of 5 |
|---|---|---|---|---|---|
| Texas Farm Bureau | $1,301 | B++ | 686 | 0.16 | 4.67 |
| GEICO | $1,644 | A++ | 653 | 0.69 | 4.26 |
| State Farm | $1,956 | A++ | 654 | 0.79 | 4.11 |
| Nationwide | $1,502 | A | 639 | 0.63 | 4.02 |
| Auto Club Enterprises (AAA) | $1,983 | A+ | 662 | 1.16 | 3.92 |
| Allstate | $2,941 | A+ | 646 | 1.10 | 3.44 |
| Progressive | $3,032 | A+ | 616 | 0.71 | 3.28 |
| Farmers | $4,127 | A | 624 | 0.86 | 2.82 |
| USAA | $1,812 | A++ | 710 | 1.18 | 4.32 |
You must be a member of your county Farm Bureau to purchase car insurance, although you don’t need to work in agriculture to join – membership is open to anyone. Annual dues are based on the county in which you live.
For example, residents of Travis County, home of Austin and the state capital, pay $50 annually. Dues in Harris County, which includes Houston, pay $49 per year; in Bexar County (San Antonio), dues are $45.
In addition to car insurance, members can take advantage of several perks, such as the opportunity to buy health insurance or apply for a mortgage through the Bureau and discounts on travel, sporting events, shopping and more.
You can contact your county’s Farm Bureau office if you’re interested in joining. Representatives can also help you apply for membership when you purchase car insurance by calling (877) 327-6287.
How we ranked the top insurers for you in Texas
To find the best car insurance companies in Texas, we reviewed some of the largest insurers based on features like coverage options, cost and available discounts. In addition, we consulted AM Best’s financial strength ratings, which gauge how well a company is prepared to meet its claim obligations.
We also examined the National Association of Insurance Commissioners (NAIC) Complaint Index, which compares the number of consumer complaints an insurer receives in a year to similar carriers. Finally, we examined market research firm J.D. Power’s annual U.S. Auto Insurance Survey, which measures policyholder satisfaction.
The best car insurance in Texas, by company
Among the insurers we examined, Texas Farm Bureau had the cheapest rates for all three coverage levels: state minimum, liability-only, and full coverage. State Farm, ranked No. 5 overall, had the second-cheapest rates for state minimum and liability-only coverage. Nationwide, the runner-up behind Texas Farm Bureau, had the second-cheapest rates for full coverage.
At the other end of the price spectrum, Farmers was by far the most expensive car insurance option in Texas at all three coverage points.
| Company | State minimum | Liability-only car insurance | Full coverage |
|---|---|---|---|
| Texas Farm Bureau | $363 | $462 | $1,301 |
| Nationwide | $596 | $748 | $1,502 |
| Redpoint Insurance | $656 | $905 | $1,681 |
| Geico | $445 | $650 | $1,644 |
| State Farm | $419 | $624 | $1,956 |
| Progressive | $665 | $977 | $3,032 |
| Auto Club Enterprises (AAA) | $564 | $825 | $1,983 |
| Farmers | $1,122 | $1,543 | $4,127 |
| Allstate | $560 | $843 | $2,941 |
| USAA | $446 | $602 | $1,812 |
Notes:
- State minimum car insurance is 30/60/25.
- Full coverage car insurance limit is 100/300/100 with a $500 deductible.
- Liability-only car insurance limit is 50/100/50.
Like its neighboring states, Texas requires licensed motorists to carry a minimum amount of liability insurance to drive legally. Liability insurance is required to pay for third-party injury or property damage claims. According to the Texas Department of Insurance, the minimum car insurance requirements are:
- Bodily injury, per person: $30,000
- Bodily injury, per incident: $60,000
- Property damage, per incident: $25,000
These amounts are typically expressed as 30/60/25.
“While it’s not ideal or recommended, there are a few scenarios where purchasing only the state’s minimum required auto insurance coverage may make sense,” Johnson says. “For example, someone with an older vehicle of low value, or a person facing financial hardship, might choose minimum coverage to stay legally insured. It may also be a temporary option for those who drive infrequently or plan to sell their vehicle soon.”
However, Johnson adds, it’s important to understand that minimum coverage offers limited protection and may not be enough to cover the full costs of an accident. “It is not just your car that may need to be repaired or replaced, but the other driver’s vehicle, their injuries and injuries to other passengers,” he says
The next step up from state minimum coverage is a liability-only policy with more robust limits of at least 50/100/50 or (preferably) 100/300/100. But liability insurance won’t cover your own vehicle if it’s damaged or destroyed in an accident.
For that, you’ll need full coverage car insurance. This kind of policy bundles liability insurance with collision coverage, which applies if you strike another vehicle or a stationary object like a mailbox, and collision coverage, which protects your vehicle in the event of theft, vandalism, damage from extreme weather or striking an animal while driving.
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Best car insurance companies for specific needs in Texas
Insurers consider a number of factors when calculating premiums for Texas drivers, including age. Generally speaking, teen drivers pay the most for car insurance because they’re the least experienced and most likely to engage in risky behavior that can lead to traffic tickets and accidents. Drivers in their 50s and 60s have the cheapest rates on average.
Check out our detailed guide on average car insurance rates by age group
Best car insurance in Texas for teens
On average, drivers aged 16 to 19 pay the most for car insurance because they’re considered the riskiest to insure. Among the carriers we looked at, No.1-ranked Texas Farm Bureau has the cheapest rates for teen drivers, at $2,411 per year for full coverage. No. 8 Progressive is the most expensive insurer for this age group, charging an average of $10,002.
Because teenagers are so expensive to insure, experts recommend adding them to a family insurance policy rather than buying separate coverage. Doing so can lessen the financial burden of insuring a young driver.
| Company | Annual cost | AM Best | J.D. Power | NAIC | Overall score out of 5 |
|---|---|---|---|---|---|
| Texas Farm Bureau | $2,411 | B++ | 686 | 0.16 | 4.58 |
| GEICO | $3,944 | A++ | 653 | 0.69 | 4.11 |
| State Farm | $5,075 | A++ | 654 | 0.79 | 3.93 |
| Nationwide | $5,549 | A | 639 | 0.63 | 3.63 |
| Auto Club Enterprises (AAA) | $6,429 | A+ | 662 | 1.16 | 3.59 |
| Allstate | $5,933 | A+ | 646 | 1.10 | 3.51 |
| Farmers | $9,210 | A | 624 | 0.86 | 2.91 |
| Progressive | $10,002 | A+ | 616 | 0.71 | 2.89 |
| USAA | $3,829 | A++ | 710 | 1.18 | 4.24 |
Best car insurance in Texas for young adults
Young adult drivers, those aged 20 to 24, pay less for car insurance than teens in part because they’re older and have gained valuable experience as drivers, reducing their risk of accidents or traffic violations. However, premiums are still higher than for older adults. Top-ranked Texas Farm Bureau has the cheapest average annual premium at $1,775, while No. 2 Geico is the second-cheapest at $2,235. By contrast, eighth-ranked Farmers’ average rate of $5,899 is the most expensive for young adults.
| Company | Annual cost | AM Best | J.D. Power | NAIC | Overall score out of 5 |
|---|---|---|---|---|---|
| Texas Farm Bureau | $1,775 | B++ | 686 | 0.16 | 4.64 |
| GEICO | $2,235 | A++ | 653 | 0.69 | 4.25 |
| State Farm | $3,081 | A++ | 654 | 0.79 | 4.01 |
| Nationwide | $2,684 | A | 639 | 0.63 | 3.86 |
| Auto Club Enterprises (AAA) | $3,620 | A+ | 662 | 1.16 | 3.70 |
| Allstate | $4,109 | A+ | 646 | 1.10 | 3.44 |
| Progressive | $5,010 | A+ | 616 | 0.71 | 3.10 |
| Farmers | $5,899 | A | 624 | 0.86 | 2.82 |
| USAA | $2,596 | A++ | 710 | 1.18 | 4.28 |
Best car insurance in Texas for adults
Many drivers should see a noticeable decline in their car insurance premiums after turning 25. Provided they maintain a clean driving record, adults aged 25 to 60 should see premiums slowly decline as they age.
Once again, Texas Farm Bureau has the cheapest average annual rate: $1,286. Nationwide is the next-cheapest, with a yearly premium of $1,493. Once again, Farmers is the most expensive carrier, with a sample rate of $4,011, more than double that of nearly all the insurers in this category.
| Company | Annual cost | AM Best | J.D. Power | NAIC | Overall score out of 5 |
|---|---|---|---|---|---|
| Texas Farm Bureau | $1,286 | B++ | 686 | 0.16 | 4.67 |
| GEICO | $1,630 | A++ | 653 | 0.69 | 4.25 |
| State Farm | $1,951 | A++ | 654 | 0.79 | 4.10 |
| Nationwide | $1,493 | A | 639 | 0.63 | 4.02 |
| Auto Club Enterprises (AAA) | $2,024 | A+ | 662 | 1.16 | 3.89 |
| Allstate | $2,967 | A+ | 646 | 1.10 | 3.40 |
| Progressive | $3,060 | A+ | 616 | 0.71 | 3.24 |
| Farmers | $4,011 | A | 624 | 0.86 | 2.82 |
| USAA | $1,833 | A++ | 710 | 1.18 | 4.30 |
Best car insurance in Texas for seniors
Car insurance rates continue to decline through your 50s and into your 60s, meaning senior drivers (those 65-75) pay some of the lowest premiums on average. For people in their 70s and 80s, however, rates do begin to creep up again, as age-related health issues, such as slower reaction times and declining eyesight and hearing, can increase the risk of accidents or traffic violations.
As with other age groups, No. 1 Texas Farm Bureau offers some of the lowest premiums, averaging $1,072 annually for senior drivers. Fourth-ranked Nationwide, at $1,478, is the second cheapest. The most expensive carrier is Progressive, with an average yearly rate of $2.984.
| Company | Annual cost | AM Best | J.D. Power | NAIC | Overall score out of 5 |
|---|---|---|---|---|---|
| Texas Farm Bureau | $1,072 | B++ | 686 | 0.16 | 4.67 |
| GEICO | $1,536 | A++ | 653 | 0.69 | 4.14 |
| State Farm | $1,817 | A++ | 654 | 0.79 | 3.95 |
| Nationwide | $1,478 | A | 639 | 0.63 | 3.88 |
| Auto Club Enterprises (AAA) | $2,034 | A+ | 662 | 1.16 | 3.66 |
| Allstate | $2,833 | A+ | 646 | 1.10 | 3.10 |
| Progressive | $2,984 | A+ | 616 | 0.71 | 2.89 |
| USAA | $1,832 | A++ | 710 | 1.18 | 4.10 |
Learn more about how to shop for car insurance for seniors
The best car insurance in Texas for high-risk drivers
If you’ve been convicted of a serious violation like a DWI (driving while intoxicated), had several at-fault accidents, received multiple traffic tickets, or been ordered to obtain an SR-22 certificate, your insurer may classify you as a high-risk driver and either raise your premium or drop you as a customer.
Not all carriers will insure high-risk drivers in Texas. Among those that do, Nationwide has the cheapest average rate of $2,331 per year. The most expensive insurer is Farmers, whose average premium of $7,176 is more than double that of Nationwide.
| Company | Six-month cost | Annual cost |
|---|---|---|
| Allstate | $2,314 | $4,627 |
| Auto Club Enterprises (AAA) | $1,555 | $3,110 |
| Farmers | $3,588 | $7,176 |
| GEICO | $1,419 | $2,837 |
| Nationwide | $1,166 | $2,331 |
| Progressive | $2,209 | $4,418 |
| State Farm | $2,085 | $4,169 |
| USAA | $1,307 | $2,613 |
If you’ve been classified as a high-risk driver in Texas and are having difficulty finding an insurer that will cover you, you may want to check out the Texas Automobile Insurance Plan Association (TAIPA). It offers liability insurance that meets Texas state minimum requirements (only 12-month policies are available). Liability insurance with higher coverage amounts and full coverage car insurance policies are unavailable from TAIPA.
What makes a car insurance company reliable in Texas?
Consumers say price, good customer service and fast claims resolution are what matters most when shopping for car insurance. To find the most reliable car insurers in Texas, we consulted market research firm J.D. Power’s annual U.S. Auto Insurance Survey, which measures policyholder satisfaction in a number of categories, including overall trust, price, coverage offerings, problem resolution and ease of use on a national, regional and statewide basis. J.D. Power produces a handful of other insurance-related surveys, including claims handling and digital experience.
Another valuable resource for gauge reliability is the National Association of Insurance Commissioners (NAIC) Complaint Index. The index tracks the number of consumer complaints about insurers filed each year with state insurance departments and compares how carriers of equal size perform in relation to an industry benchmark score. A score higher than the benchmark indicates the insurer has more complaints than other carriers of its size; a lower score indicates fewer complaints than average.
Credit ratings agency AM Best is another source for measuring insurer reliability. It assigns letter grades to insurance companies based on their general financial strength and ability to meet claims obligations. The higher the grade, the more sound a carrier is. All but one of the Texas car insurance companies in this report receive an AM Best score of A (Excellent), or A+ or A++ (Superior). The exception is Texas Farm Bureau, which has a still-respectable AM Best grade of B++ (Good).
Resources & Methodology
Sources
- Farm Bureau Bank. “Home Loans.” Accessed September 2025.
- TAIPA.org. “For Insureds.” Accessed September 2025.
- Texas Department of Insurance. “Auto insurance guide.” Accessed September 2025.
- Texas Department of Transportation. “Impaired driving and penalties – DUI/DWI.” Accessed September 2025.
- Texas Farm Bureau Health Plans. “Texas Farm Bureau Health Plan.” Accessed September 2025.
Methodology
The CarInsurance.com team collected JD Power Auto Customer Satisfaction ratings for each company in their respective regions / states. States that are not individually studied by JD Power are assigned company rankings from their respective region.
They then collected AM Best data, which measure financial strength, and National Association of Insurance Commissioners’ complaint data, which ranks a company by the number of customer complaints it receives. The team identified the NAIC codes of each underwriting company for each carrier and calculated a weighted average complaint index, weighted by the annual written premium. The associated NAIC complaint index score was used in the calculations. They also collected insurance rate data in each state from Quadrant Information Services.
- JD Power: 30% of total score
- AM Best: 25% of total score
- Annual premium: 25% of total score
- NAIC: 20% of total score
Each insurer was awarded between half a star and 5 stars. No company in the ranking received less than one star in any category, and 5 stars was the most any insurer could receive.rs and their families.
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