Texas Department of Insurance
If you have any accidents, tickets, or claims on your driving record during the past three years, your rates may also be higher. Auto insurance companies in Texas set their own rates. Although TDI doesn’t approve rates in advance, we can order a company to pay refunds to its policyholders if we determine that its rates are too high.
How to Use this Guide
This guide can help you compare sample annual rates for companies that sell auto liability insurance in Texas. It includes companies in the top 25 insurer groups nationally and others that asked to be in the guide. The guide isn’t a complete list of all companies selling auto insurance in your area, and you shouldn’t limit your search to only these companies.
The sample rates shown are estimates and aren’t the exact amount you will be quoted. Contact the companies or an agent for a quote based on your needs.
The sample rates are for minimum liability coverage only. Liability coverage doesn’t pay for damages to your own vehicle. You’ll need to add collision and comprehensive coverages to your policy to repair or replace your vehicle if it’s damaged or stolen. If you still owe money on your car, your lender will require you to have these coverages. You can also add coverage for medical payments, personal injury protection, uninsured/underinsured motorist, towing and labor, and rental reimbursement to your policy for an additional premium.
Driver Profiles
The sample annual rates are based on driver profiles. The profiles may not match your situation exactly, but they are a way to compare prices. All of the profiles are for people who drive their cars to work, live in a town or city, don’t have any traffic violations, and have average credit.
Driver 1: Single male, under age 25
Driver 2: Single female, under age 25
Driver 3: Single male, age 25-65
Driver 4: Single female, age 25-65
Driver 5: Married male, age 25-65
Driver 6: Married female, age 25-65
Driver 7: Single male, age 66 and older
Driver 8: Single female, age 66 and older
Driver 9: Married male, age 66 and older
Driver 10: Married female, age 66 and older
A.M. Best Rating
The A.M. Best rating shows the financial strength and operating performance of each company. TDI has permission to reprint the ratings. A.M. Best’s ratings are subject to change and are current as of the publication date. For current rating information, call A.M. Best at 1-908-439-2200 or visit its website at www.ambest.com.
Ratings Classifications
A++ and A+ mean Superior
A and A- mean Excellent
B++ and B+ mean Very Good
B and B- mean Fair
C++ and C+ mean Marginal
C and C- mean Weak
NR means the company was not rated by A.M. Best.
A.M. Best is not responsible for errors in presentation or content and does not endorse this publication in any way.
Complaint Index
The complaint index shows how consumer complaints filed against a company compare to other companies.
The average index is 1.00. A complaint index less than 1.00 means that a company received fewer complaints than average, and an index greater than 1.00 means that a company received more complaints than average.
A company’s complaint index can change throughout the year. For the current index, website at www.HelpInsure.com.
Shopping Tips
- Get price quotes from several companies because rates vary. Make sure the quotes are for the same coverages.
- Consider factors other than price, including a company’s financial rating, complaint index, and license status. Ask your agent whether you qualify for discounts. Discounts vary by company. Some companies may offer discounts if you have multiple policies with the company, have a car alarm, or have completed a driver education course.
- Ask what coverages are included. Coverages and limits can vary from policy to policy. Choose a policy with the coverages you need and with limits that will adequately protect your assets.
- Consider buying more coverage. If you are legally responsible for an accident, the basic liability limits may not be enough.
- Answer all questions on the application truthfully. Wrong information could result in an incorrect price quote or a denial or cancellation of coverage.
- Don’t cancel a policy until you have a new policy in effect.
HelpInsure.com is a free service of TDI and the Office of Public Insurance Counsel to help you shop for auto insurance. The website lists sample rates for hundreds of additional driver profiles that may more closely match your situation. You’ll also find information about discounts, detailed policy coverage comparisons, the percentage by which each company’s rates have changed over time, and shopping tips.
Texas law requires people who drive in Texas to pay for the accidents they cause. Most drivers do this by buying auto liability insurance. Liability insurance pays to repair or replace the other driver’s car and pays other people’s medical expenses when you are at fault in an accident.
If you buy insurance to meet the state’s financial responsibility law, you must buy at least the minimum amount. The current minimum liability limits per accident are $30,000 for each injured person, up to a total of $60,000 if more than one person is injured, and $25,000 for property damage. This basic coverage is called 30/60/25 coverage.
Understanding Rates
When deciding what to charge you, insurance companies look at your driving record and other factors, including the type of car you drive, where you live, your claims history, your insurance credit score, your age, and your car’s primary use (for pleasure or to drive to and from work).