Jessica Sautter is a Content Writer for CarInsuranceCompanies.com with a Bachelor’s Degree from Eastern Michigan University in Elementary Education with a Major in Reading and a Minor in Mathematics.

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Chris Harrigan has an economic degree from Limestone College and an MBA from Clemson University. He previously managed auto insurance claims for Enterprise Rent-A-Car. Currently, he is using his business and insurance expertise to provide insurance data analysis and visualizations to enhance the user experience.

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Reviewed by Chris Harrigan
Former Auto Insurance Claims Manager

UPDATED: Oct 13, 2020

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Key Takeaways

  • Texas car insurance rates are the fourth highest in the country
  • Car insurance in Texas averages $327 a month
  • Pay attention to ratings as well as rates to find the best company for you
  • Many factors are used to determine your car insurance rates

Finding the right Texas car insurance companies to fit your needs can be confusing. There are many to choose from, including AAA Texas County Mutual who offers AAA insurance in Texas.

Comparing car insurance rates, discounts, and the reputation of different Texas car insurance companies can leave you wondering if you should just buy a bike.

Trying to figure out who has the best car insurance rates in Texas can be difficult since many different factors go into it. Prices, coverage, and even customer service can all help determine who has the best auto insurance in Texas in 2020.

What are the 10 best auto insurance companies in Texas?

Here are the top 10 car insurance companies in Texas to help you find the best insurance coverage for your needs.

Compare Texas car insurance quotes now to find the coverage you need. Enter your ZIP code to buy Texas car insurance.

Table of Contents

Top 10 Car Insurance Companies in Texas

Is car insurance high in Texas? Yes, auto insurance in Texas is expensive. In fact, it’s the fourth-most expensive state for car insurance.

Given that, what is the average cost of car insurance in Texas? How much is car insurance in Texas per month?

The average cost of Texas car insurance is $3,928, or about $327 a month.

This table shows you the auto insurance rates for some of the largest companies in Texas.

Texas Average Annual Car Insurance Rates
CompanyAverage Annual Rate
USAA$2,488.12
State Farm Mutual Auto$2,879.95
GEICO County Mutual Ins Co.$3,263.39
Nationwide CCMIC$3,867.57
Progressive Cty Mtl$4,664.85
The Gen Automobile Ins Co Inc$4,849.18
Allstate F&C$5,485.32
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Several of the companies are above the state average, but each company will charge different amounts for the same coverage.

What is the highest rated auto insurance company in Texas? That really depends on who is doing the rating and the factors used.

The following information on rates and customer complaints is provided by the Texas Department of Insurance (TDI). Listed rates are based on sample rates submitted by car insurance companies.

Many factors will affect your car insurance rates. Watch this video to learn more.

Actual rates will vary depending on location, age, driving record, and other factors.

Now let’s check out the top car insurance companies in Texas.

1. AAA Texas Insurance

Is AAA available in Texas?

AAA auto insurance is a service offered by AAA (“Triple A”), an organization made up of 51 different motor clubs throughout the United States.

It has over $100 million in written premiums and covers about 1 percent of Texas drivers. Its financial rating is A+ (Superior) with A. M. Best, an organization that rates insurance companies by their ability to pay claims.

AAA’s TDI sample rate is $236 annually. Its customer complaint index is higher than average at 2.0598.

AAA auto insurance is offered to AAA customers, so there is an additional fee for membership in the auto club to be eligible for insurance.

How much does it cost to join AAA in Texas? The average cost to join AAA is $52.

In addition to the usual discounts, AAA offers roadside assistance for some levels of insurance coverage.

Does AAA offer homeowners insurance in Texas? Yes, you can get AAA Texas home insurance and auto insurance.

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2. Allstate Insurance Company

In business since 1931, Allstate offers life, home, and auto insurance. Allstate has over $300 million in premiums a year and covers 2.72 percent of Texas drivers. Allstate’s A. M. Best rating is A+ (Superior).

Allstate’s TDI sample rate is $552 annually. Their customer complaint index is lower than average at .8338.

Allstate offers multi-policy discounts, accident forgiveness, deductible reduction, and safe driving bonuses.

3. Amica Mutual

Founded in 1907, Amica is the oldest company to offer mutual auto insurance in the United States.

It won the J. D. Powers and Associates award for “Highest in Customer Satisfaction Among National Auto Insurers, 12 Years in a Row.”

With over $73 million written premiums in Texas, it covers .55 percent of the market. Its A. M. Best rating is A++ (Superior).

Amica’s TDI sample rate is $475 annually. Its customer complaint index is average at .9470.

Discounts at Amica include multi-car and multi-policy savings as well as lower premiums for safe drivers. They also offer a Platinum Choice Auto program that includes identity fraud monitoring service, full glass coverage, and other incentives.

4. Farmers Insurance Group

Founded in 1928, Farmers Insurance Group is now the third-largest provider of car and homeowners insurance in the United States. In Texas, Farmers does business as Farmers Texas County Mutual Insurance Company.

They have over $1 billion in written premiums and cover more than 9 percent of the insurance market in Texas. Farmers Texas has an A. M. Best rating of A (Excellent).

Farmers Texas’ TDI sample rate is $235 annually. Their customer complaint index is lower than average at .5898.

Farmers offers multi-policy discounts, annual policies to lock in your rates for a full year, and safe driver discounts.

5. GEICO

Founded in 1936, GEICO began life as the Government Employee Insurance Company. Expanding to include customers in the private sector as well, GEICO now insures more than 17 million vehicles.

In Texas, the company has over $200 million in written premiums and covers 1.83 percent of Texas drivers. Its A. M. Best rating is A++ (Superior).

GEICO’s TDI sample rate is $423 annually. Its customer complaint index is slightly higher than average at 1.3568.

GEICO offers both online quotes and coverage through local agents. In addition to traditional discounts, GEICO offers special discounts for military personnel and government employees, both active and retired.

6. Liberty Mutual

Founded in 1912, Liberty Mutual is the fifth-largest property and casualty insurer in the United States. With nearly $200 million written premiums, the company serves 1.46 percent of Texas drivers. Its A. M. Best rating is A (Excellent).

Liberty Mutual’s TDI sample rate is $320 annually. Its customer complaint index is slightly higher than average at 1.3280.

Liberty Mutual offers traditional car insurance discounts as well as unlimited rentals and new car replacement.

7. Nationwide

Beginning in 1925 as The Ohio Farm Bureau Federation, Nationwide adopted its current name in 1955. Nationwide has nearly $200 million in written premiums in Texas and serves 1.46 percent of drivers. Its A. M. Best rating is A+ (Superior).

Nationwide’s TDI sample rate is $349 annually. Its customer complaint index is .0000, indicating that no justified complaints were reported during the time period of the rating.

Nationwide offers multi-car, multi-policy, and accident-free discounts. They also offer optional roadside assistance programs and a 100 percent repair guarantee when using Nationwide approved repair shops.

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8. Progressive

Progressive began business in 1937, providing all types of motor vehicle insurance. It has over $1 billion in written premiums and covers roughly 7 percent of the Texas market. Its A. M. Best rating is A+ (Superior).

Progressive’s TDI sample rate is $352 annually. Its customer complaint index is lower than average at .6470.

Customers can buy insurance through the Progressive website or from an independent agent. Prices on their products vary depending on where the product is purchased.

Savings opportunities include safe driver, multi-car, and pay in full discounts. They also offer loyalty rewards to long-term customers such as discounts when adding a young driver.

9. State Farm Insurance

Since 1922, State Farm Insurance has grown to be the largest home and auto insurance company in the United States.

It also ranks highest in Texas, bringing in over $2 billion in written premiums and covering 18 percent of Texas drivers, twice as many as its next competitor.

It has an A. M. Best rating of A++ (Superior).

State Farm’s TDI sample rate is $468 annually. Its customer complaint index is lower than average at .5386.

State Farm offers multi-car and good driving discounts, as well as driver education programs that can reduce your premiums.

10. USAA Insurance

USAA was founded in 1922 by U.S. Army officers who were unable to find insurance from existing insurance companies. Today the company services both active and honorably discharged members of all branches of service, as well as their families.

It has over $400 million in written premiums, serving just over 3 percent of Texas drivers. Its A. M. Best rating is A++ (Superior).

USAA’s TDI sample rate is $221 annually. Its customer complaint index is below average at .8810.

USAA offers discounts for safe drivers as well as loyalty incentives for customers who stay with the company long term or for children of current customers who purchase a policy from the company.

Most of USAA’s business is done by phone or over the internet rather than using local agents.

No matter what car insurance you ultimately decide on, knowing that you took the time to compare the offerings of different companies gives you the assurance that you have found the best coverage for you and your vehicle.

Shop around now to find who has the cheapest car insurance in Texas. Find the best deals now with our Texas auto insurance quotes comparison.

Enter your ZIP code to find the cheapest car insurance in Texas.