Do you live in the Lone Star State and want to know how to get cheap auto insurance in Texas? You’ve come to the right spot as we’ve got some tips and valuable insight into how you can find the best rates.
Yes, you’ll need to do a little legwork, but since the rewards can be substantial, saving you hundreds of dollars in annual premiums, the effort is certainly worth it.
State Auto Insurance Requirements
First, know what is required for automobile insurance in the state of Texas. A quick check of the auto insurance requirements for Texas on the Texas Department of Insurance website shows that you must carry at least the minimum amount of insurance to meet the state’s financial responsibility law. In the state of Texas, that means you have to carry a minimum liability insurance coverage of $30,000 for each injured person, up to a total of $60,000 per accident, and $25,000 for property damage. This is known as 30/60/25 basic coverage.
While these are the minimums, keep in mind that any accident in which you are determined to be at-fault can easily exceed state minimum insurance requirements. Still, this information is important when you go to look for cheap auto insurance in Texas.
Comparison Shop Online Rates
Armed with the information on how much auto insurance and type you are required to carry in Texas, the next step to finding cheap auto insurance in the Lone Star State is to do a little comparison shopping. This isn’t all that difficult, however, since you can use the Internet in your search for the cheapest rates.
One suggestion is to use the free service provided by the state of Texas itself. Go to HelpInsure.com and complete your driver profile to get sample rates. What you’ll need to input is information about where you live (county and zip code), about you (gender, marital status, age, and credit rating—good, average or bad credit, coverage limit desires (30/60/25, 50/100/50, or 100/300/100), and information about your vehicle (car or truck), how you use your vehicle (only for pleasure, or to and from work), and three-year driving record (no violations, one at-fault accident, or one speeding ticket). Then click “Get Sample Rates,” and you’ll be presented with a list of auto insurance companies licensed to write coverage in the state, an annual sample rate, A.M. Best rating, and complaint index.
Take the following hypothetical example: Male, married, age 25 to 64, living in El Paso county, zip code 79932, uses car to and from work, no violations, good credit, wants coverage amount of 50/100/50. There are 42 companies listed, annual sample rates ranging from $177 to $1,471. Only six don’t have an A.M. Best rating listed, while all the others have A, A-, A+ or A++ rating. You can select up to three companies to compare.
In this example, comparing Amica, GEICO and State Farm, all with A++ rating, the result shows discounts offered, a summary of policy coverages, and a detailed explanation of policy coverages. This is an invaluable comparison tool for helping you make an informed choice when you’re looking for cheap auto insurance in Texas.
Ask for All the Discounts You’re Entitled To
Once you have a few names of auto insurance companies that you want to get quotes from, or through an independent agent representing multiple auto insurance companies, be sure that you ask for all the discounts that you’re eligible for. This alone can save you hundreds of dollars in annual premiums.
There are numerous discounts that may be available to you for auto insurance in the state of Texas. These may include multi-car discount, multi-policy discount, homeowners discount, claims-free history, senior discount, good driver discount, student discount, and many more.
Consider Raising Your Deductibles
Another way to find cheap auto insurance in Texas is to raise your deductibles. Instead of a $250 or $500 deductible for collision and comprehensive, for example, you may wish to up the deductible to $1,000 or $1,500. This can substantially reduce your premium. That, coupled with taking advantage of the discounts available to you, can make a big difference in your annual auto insurance outlay.
Keep Up Your Good Driving Record
How much you pay for your auto insurance in the state of Texas depends on many factors, not the least of which is your driving record. If you’ve been accident-free for many years, or at least have not made a claim within the last three to five years, have no speeding tickets, DUIs or accidents on your driving record, your rates will be much less expensive than if you have a bad driving history.
How to get cheap auto insurance in Texas involves doing a little legwork and preparation, but the key ingredient in the equation is you. Be a good driver. Be a savvy consumer and a diligent shopper, and you’ll be more likely to wind up with the best rates.