Who Has the Cheapest Car Insurance in Austin, Texas?

Who Has the Cheapest Car Insurance in Austin, Texas?

Compare Car Insurance Rates in Austin, Texas

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ValuePenguin gathered quotes from nine of the largest auto insurers in Texas and found that State Farm offers the cheapest minimum coverage insurance in Austin. Premiums from State Farm average $50 per month for minimum coverage. However, the cheapest full coverage comes from Fred Loya with an average rate of $95 a month.

Austin is one of the most populous cities in Texas, and residents pay slightly higher auto insurance premiums to reflect that risk. The average cost of minimum liability car insurance in Austin is $979, whereas the statewide mean is $926.

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Depending on the insurer you choose, rates for full coverage in Austin differ by more than $4,000 per year. That's why we recommend getting multiple quotes before buying a policy.

Cheapest auto insurance in Austin: State Farm

State Farm has the best rates for Austin drivers seeking minimum coverage. The average annual premium among the companies in our study is $979, but State Farm customers pay 39% less — just $595 per year.

Fred Loya has the second-best rates for Austin drivers, charging $636 per year, and Nationwide has the third-best rates, charging $891 per year. If you're looking for affordable minimum coverage insurance in Austin, we'd recommend getting quotes from these three companies.

Cheapest car insurance companies in Austin, Texas.

Compare Car Insurance Rates in Austin, Texas

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Cheap premiums make minimum liability coverage seem like an attractive option, but drivers should be aware that minimum coverage offers no protection for their own car. These policies are affordable because they only pay for damage to the other driver's property or person.

Rank
Company
Annual rate
1State Farm$595
2Fred Loya$636
3Nationwide$891
4Dairyland$931
5Chubb$1,013
6Geico$1,027
7Allstate$1,471
8MetLife$1,779
N/AUSAA$466

USAA is only available to current and former military members and their families.

Cheapest full coverage car insurance in Austin: Fred Loya

Austin drivers looking for full coverage should contact Fred Loya for a quote. The average cost of full coverage in Austin is $2,690, but Fred Loya charges only $1,144. That saves drivers $1,546 per year.

We'd also recommend getting quotes from State Farm for full coverage. State Farm has a much stronger customer service reputation than Fred Loya, and coverage costs only $13 more each month. USAA is a great option for members of the armed forces and their families; customer service is excellent, and premiums are only $12 more per month than what Fred Loya charges.

Rank
Company
Annual rate
1Fred Loya$1,144
2State Farm$1,294
3Geico$2,212
4Nationwide$2,263
5Chubb$2,650
6Dairyland$3,638
7Allstate$4,459
8MetLife$5,266
N/A*USAA$1,285

*USAA is only available to current and former military members and their families.

Full coverage auto insurance includes collision and comprehensive coverage, which protect your own car.

  • Comprehensive coverage: Covers damage to your car that results from non-collision incidents, such as a fallen tree branch, a wild animal or storm damage.
  • Collision coverage: Pays for repairs to your car after a collision with another driver or an object, no matter who is responsible for the incident.

Cheap car insurance for drivers with prior incidents

Car insurance costs more if you've been in an accident or received a speeding ticket or DUI citation. A poor credit score can also raise your annual premiums. Insurance companies view these factors as signs of increased risk and adjust rates accordingly.

ValuePenguin identified the most affordable insurers for Austin drivers with the following incidents on their records:

Cheapest car insurance in Austin after an accident: Fred Loya

The cheapest auto insurance for Austin drivers with an at-fault accident on their record comes from Fred Loya, State Farm and Geico. Rates from these three insurers averaged $2,141 annually for full coverage. That's about 50% less than the average cost in Austin, which is $4,251.

Just one at-fault accident can significantly raise the cost of insurance. We found that rates in Austin go up by 58% after an at-fault accident, on average.

Rank
Company
Annual rate
1Fred Loya$1,438
2State Farm$1,534
3Geico$3,451
4Nationwide$3,497
5Chubb$4,525
6Dairyland$4,796
7Allstate$7,142
8MetLife$9,944
N/A*USAA$1,927

*USAA is only available to current and former military members and their families.

Cheapest car insurance for people with a speeding ticket: Fred Loya

A speeding ticket in Austin increases the average cost of full coverage by $193, making it the least costly incident you can have on your record. An at-fault accident raises average rates by $1,561, while a DUI raises them by $1,925.

In fact, we found that Fred Loya and State Farm do not raise rates at all for a speeding ticket. This means that they are 60% and 55% cheaper than the city average, respectively. If you're looking for quotes after a speeding ticket, start with these two insurers.

Rank
Company
Annual rate
1Fred Loya$1,144
2State Farm$1,294
3Chubb$2,650
4Geico$2,659
5Nationwide$2,727
6Dairyland$4,294
7Allstate$4,459
8MetLife$5,266
N/A*USAA$1,451

*USAA is only available to current and former military members and their families.

Cheapest car insurance for drivers with a DUI: Fred Loya

Driving under the influence of alcohol raises your rates by 72% in Austin. If you've received a DUI citation, get quotes from Fred Loya, State Farm and Dairyland. Rates from these three insurers are 45% cheaper than the city average for drivers with a DUI, which is $4,615 for full coverage.

Rank
Company
Annual rate
1Fred Loya$1,932
2State Farm$2,007
3Dairyland$3,657
4Geico$3,908
5Nationwide$4,462
6Chubb$5,745
7Allstate$7,071
8MetLife$10,813
N/A*USAA$1,944

*USAA is only available to current and former military members and their families.

Cheapest car insurance for drivers with poor credit: Fred Loya

Some insurers will see a low credit score as a sign of increased risk and increase your rates. The average cost of full coverage for Austin drivers with poor credit is $3,360. To put that in perspective: Drivers with average credit pay $2,234, and drivers with very good credit pay $1,726 on average.

Fred Loya is the exception to this rule. Our analysis of auto insurance quotes in Austin found that the company charges the same rates, no matter what your credit score is. Full coverage from Fred Loya costs $1,144 annually.

Rank
Company
Annual rate
1Fred Loya$1,144
2State Farm$2,009
3Nationwide$2,558
4Geico$3,122
5Chubb$3,458
6Allstate$4,074
7Dairyland$4,120
8MetLife$7,802
N/A*USAA$1,953

*USAA is only available to current and former military members and their families.

Cheapest car insurance for married drivers: Fred Loya

Fred Loya has the cheapest rates for married drivers in Austin, charging just $1,047 per year for full coverage. That's $1,403 less expensive than the average rate for married drivers in the city and $97 less expensive than Loya's average rate for single drivers.

Insurers often charge married drivers lower rates than single drivers. Average rates for married drivers in Austin are $240 cheaper per year, according to ValuePenguin's analysis.

Rank
Company
Annual rate
1Fred Loya$1,047
2State Farm$1,294
3Nationwide$2,088
4Geico$2,307
5Chubb$2,650
6Dairyland$3,400
7Allstate$3,931
8MetLife$4,229
N/A*USAA$1,110

*USAA is only available to current and former military members and their families.

Cheapest car insurance for young drivers: Fred Loya

Average auto insurance rates for full coverage in Austin were $4,473 more expensive for our sample 18-year-old driver than for our 30-year-old driver.

We urge all young drivers to stay on their parents' insurance if at all possible. If that's not feasible, start by getting quotes from Fred Loya and State Farm. Fred Loya's premiums are 48% cheaper than the city average and State Farm's are 44% cheaper. State Farm offers a good student discount and a student-away-at-school discount that can help young drivers shave even more off their premiums.

Rank
Company
Annual rate
1Fred Loya$3,720
2State Farm$4,025
3Geico$4,728
4Chubb$7,027
5Dairyland$8,384
6Allstate$8,493
7Nationwide$8,506
8MetLife$17,237
N/A*USAA$2,348

*USAA is only available to current and former military members and their families.

Best auto insurance companies in Austin, Texas

A ValuePenguin survey on customer satisfaction found that USAA, Nationwide and State Farm had the highest percentage of customers who were "extremely satisfied" with their most recent claim experience. If strong customer service is a top priority, reach out to these insurers.

To learn more about the customer service reputations of the insurers in our study, visit our Texas auto insurance study.

Average car insurance cost in Austin, by ZIP code

We found that residents of Austin ZIP code 78737 paid the lowest average premiums, while residents of ZIP code 78741 paid the highest premiums. Insurers set rates based on factors like traffic, crime rates and the number of uninsured drivers in a given area.

ZIP code
Average full coverage insurance cost
Average minimum coverage insurance cost
78617$2,840$1,035
78653$2,747$1,013
78701$2,666$960
78702$2,792$1,008
78703$2,643$956
78704$2,659$969
78705$2,735$1,000
78710$2,758$1,003
78712$2,707$990
78717$2,590$929
78719$2,793$1,000
78721$2,841$1,036
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Auto theft statistics in Austin

ValuePenguin's review of 2019 FBI crime data found that Austin residents have a three in 1,000 chance of having their car stolen. Out of the 11 most populous cities in Texas, Austin has the seventh-highest rate of car theft.

Rank
City
Population
Car thefts
Thefts per 1,000
1Dallas1,363,29510,2577.5
2Houston2,355,60613,0985.6
3San Antonio1,559,1667,7815.0
4Lubbock259,2081,2254.7
5Fort Worth915,2373,3353.6
6Arlington402,3041,2483.1
7Austin986,0623,0283.1
8Corpus Christi329,3208922.7
9Plano291,6114471.5
10El Paso686,7938511.2
11Laredo264,9162581.0

Motor vehicle theft data was pulled from the FBI 2019 Texas crime report.

Methodology

This ValuePenguin study pulled thousands of quotes from nine of the largest insurers in Texas. Our sample driver received rates for full coverage unless otherwise noted. He is a 30-year-old male who drives a 2015 Honda Civic EX and has an average credit score.

We gave our driver the following full coverage limits:

Coverage type
Study limits
Bodily injury liability$50,000 per person/$100,000 per accident
Personal injury protection$10,000
Property damage liability$25,000 per accident
Uninsured/underinsured motorist bodily injury$50,000 per person/$100,000 per accident
Comprehensive and collision$500 deductible

Quadrant Information Services supplied ValuePenguin with the insurance rate data used in this analysis. Rates were publicly sourced from insurer filings and should be used solely for comparative purposes. Your own quotes will likely differ based on your own driving history, credit, age and gender.

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.