Cheap Car Insurance Houston TX

All you need to know about car insurance in Houston

Houston is one of those places that sticks deep in the heart and never let’s go! We wanted all of you fine Houstonites to know that we are strong supporters of the University of Houston Cougars, and always will be ardent fans. The City of Houston is currently home to the fourth-largest population in the country and is tops at 2.3 million for the State of Texas. It does not take a rocket scientist, or a Purdue alumnus to easily see that a good percentage of those residents of Houston drive car to and from work and school. There is a swelling population of student drivers as well as young, unmarried, single drivers at the University of Houston to contend with on the roads of Houston, Texas. This is why car insurance rates Texas style do not only come with a 10-gallon hat but also sometimes can come with a hefty price tag! We will explain you everything about car insurance in Houston city and explain how you can make it cheaper.

Houston Car Insurance Laws

Texas is home to so many licensed drivers it is important that a survey of Houston TX automobile insurance rates be conducted for the best prices for the State required and lender required insurance policies. With the all over the board rates of car insurance these days online and in the physical brick and mortar agencies all across Texas it is best that you know a bit of the basic for just how these rates are constructed. Different companies offer different levels of coverage in the Houston Texas but the statutory minimum limits of liability insurance in Houston are as follows.

State Required Houston TX Automobile Insurance

Bodily Injury Liability (BI)

  • $30,000 for the Death or Injury of anyone Individual during a Single Accident
  • $60,000 for All Persons in any one Accident

Property Damage (PD)

  • $25,000 for anyone Accident

Uninsured Underinsured Motorist Coverage (UM/UIM)

  • Uninsured Motorist Bodily Injury: $30,000 per person and a Single Accident, $60,000 for All Persons in any one Accident
  • Uninsured Motorist Property Damage: $25,000 for anyone Accident
  1. UM/UM coverage is not mandatory but Texas requires that you sign a rejection statement mandating that you do not wish to carry the UM and/or UIM coverage(s).
  2. This coverage protects you from damage from a motorist who did not have insurance even if they are the at-fault party in the accident.
  3. Protects you even if the at-fault party in the accident did not have enough adequate liability limits to cover your medical bills. Kicks in after the Liability portion of your BI has been exhausted.
  4. UM/UIM covers hit-and-run accidents but only if you obtain a police report.

SR-22 Insurance in Houston

Before you ask for an SR-22 Insurance in Houston Texas, you need a better understanding of it. SR-22 is not an insurance policy; rather it is a form of financial responsibility, which says that the individual has minimum liability insurance as per the government’s requirement. When this insurance gets lapsed, terminated or canceled, the insurance provider will immediately notify this to the Texas Department of Public Safety(DPS).

If you're driving privilege has been revoked or suspended because of an accident or car crash, the SR-22 Insurance can offer you coverage for 3 years. So that you stay secured and protected even if you're driving license has been suspended.

Texas government asks for an SR-22 Insurance in various circumstances:

  • Multiple tickets for no insurance
  • Excessive violations of driving rules
  • Driving under the effect of drugs and alcohols.
  • Due judgment for any type of liability claim

Houston Car Insurance Rates

With the minimum requirements in hand for both liability and property damage coverage in the State of Texas, it is now time to look at some of the rates that are currently being offered for car insurance in Texas.

Average car insurance cost in Houston :

Description Price/Year
Houston Minimum Car Insurance Coverage Rate $1,193 - $1,465
Houston Minimum Full Coverage Car Insurance Rate $2,259 - $2,516
Houston Minimum Car Insurance Coverage for Young Drivers Rate $1,913 - $2,228
Houston Minimum Full Coverage Car Insurance for Young Drivers Rate $2,979 - $3,310
Average car insurance rate in Houston per month $99 - $275

What Determines the Car Insurance Rates in Houston

Many things are used to calculate what your insurance premium (cost) will be.

  • Is the deductible high or low (How much you pay out of pocket)
  • Expensive cars have higher rates
  • Sports cars have higher rates
  • Urban areas have higher rates than rural areas
  • The more miles you drive the higher the rate
  • Your age: under 25 has a higher rate
  • Gender: males typically pay a higher rate
  • Marital status: singles pay a higher rate
  • Your credit history
  • Driving record: Is it clean, or do you have tickets on your record?

So as an example a 22-year-old single male, driving a sports car, with bad credit will spend above average for his car insurance in Houston (a large urban city) On the flip side a 50-year-old married woman, driving a minivan with good credit, and clean driving record living in Paris, Texas will pay below the state average for car insurance. Average rates of other cities in Texas: Amarillo: $1,014, Waco: $1,058, Austin: $840, Corpus Christi: $1,019, Dallas: $986, Fort Worth: $1,004, Garland: $1,142, ,San Antonio: $1,064.

Remember in Texas liability insurance is required as well as a few other types of insurance discussed at car insurance in Houston the rules and laws. As a consumer some of these things you can control, and some of them you cannot control.

Car Insurance Companies in Houston

One important thing to consider when looking for an insurance price quote is the financial strength of the company offering your quotes. When shopping for a new insurance provider, consumers should only consider quotes from “A” rated, financially stable companies. Sticking to these well-known companies will decrease problems later if you ever have to make a claim. If you are not sure about a company you can call the BBB (Better Business Bureau) to find out their rating, an A++ is the highest honor.

Questions To Ask Your Houston Car Insurance Company

Requesting an car insurance quote is only the first step to improving your coverage and, more importantly, saving money. This is the right time to shop around, compare rates and coverage, and then make an educated choice.

Figuring out which car insurance policy is right for you is not simple, so face-to-face or phone contact with the company is beneficial. When speaking with the agent, be sure to ask the company to explain any issues that will allow you to choose which car insurance policy is suitable for you and your family.

The following are a few things you should discuss with your company to make sure that you choose the right coverage for your circumstances.

Who does my policy cover, specifically?

Whether you are single, married, or in a house full of drivers, you will have to know who is covered under your Houston car insurance policy when they drive your cars and/or other cars. Remember to talk to your agent and learn if and how your car insurance policy is valid if you borrow or lease a car.

If I purchase a new car and have a wreck it, will my insurance be valid?

People purchase, trade, sell, and swap cars constantly. Whereas some insurance policies will broaden your coverage to a newly purchased car, the time limit is generally short. Find out if/how your insurance will relate to a new car and for how long.

Are multi-policy discounts available?

Besides car insurance, many people need additional policies, like homeowners, renters, personal umbrella, or health insurance. Speak with your company regarding a multi-policy discount. Ensuring several things with the same company can save money.

Do I have the right to cancel my Houston car insurance policy if I need to?

As a policyholder, you may be able to cancel your policy, but you should understand first that not only could going without car insurance be unwise, but also illegal in some states. It can also negatively affect the cost of future car insurance policies. Talk to your company about early cancellation procedures to know what is legal and to discuss alternatives.

Car Insurance Quotes in Houston

Average car insurance quotes for Houston car insurance companies

Rank Car Insurance Company Name Price/Year
1 American Family $1,169
2 GEICO $1,207
3 Texas Farm Bureau $1,220
4 SafeAuto $1,239
5 Nationwide $1,253
6 Progressive $1,275
7 Farmers $1,324
8 State Farm $1,386
9 Mercury $1,432
10 Allstate $1,816
11 Unitrin $1,924
12 Encompass $1,957
13 21st Century $2,050
14 MetLife $2,334
15 Kemper Security $2,425

Find Best Cheap Car Insurance in Houston

Many of us spend valuable time and energy researching, test driving, and discussing car options before we buy a car that best meets our needs and budget. We should expand the same time and effort learning about car insurance policies to meet our driving and budget needs.

Almost 35% of car owners in the United States renew their car insurance policies at the premium offered by the insurance companies without even trying to negotiate a better deal. This new premium could be up to 25% higher than the previous one according to some experts. Many of us are either strapped for time or simply unwilling to spend precious energy in search of better deals. This indifference is the primary cause for car insurance companies offering reasonably priced rates solely to new customers and knows that their existing customers will most likely keep renewing with them.

While price is certainly one of the most important considerations for making a change to your insurance, there are some additional factors to consider other than price.

Raise Your Deductible – Did you know the deductible on your policy has the greatest influence on your Houston car insurance rate? The higher the deductible you choose, the lower your rate. Don’t let the insurance company pick your deductible, be sure and review what is best for you and your financial situation. You can save up to 40% on your policy if you are willing to self-insure more of your car if a claim. As cars get more expensive, we now have the availability of $600, $750, or even $1250 deductibles to lower your total policy cost. Be sure to consider all available deductible options when reviewing your policy quote.

Add Accident Forgiveness – Another factor to consider other than price is what happens to the price of your policy after claim. We all purchase insurance coverage to protect us from the unexpected accidents or catastrophes and hope to never have to use our insurance to make a claim. If you do have to use your insurance, consider what could happen to your policy cost as a result of the claim. The insurance company can increase the cost of your renewal by up to 20%, 30%, or even up to 150% of your previous cost to ensure your home or cars. The good news is it's now possible to find a company that offers valuable options against this type of rate increase after claim. These options are called accident forgiveness, claims rate guard, and deductible reward and are designed to eliminate a price increase even if the company pays out several thousand dollars on your behalf! Most major companies offer some form of this rate protection but be sure and get the details and limitations of the policy options to find the right fit for your needs.

Tell Your Friends - You love saving money; so do your friends, family, and coworkers. Tell others how you found reasonably priced car insurance. They may have just finished their own quest for cheap car insurance and could offer important tips.

Don’t Settle For The First Offer - Many drivers make the mistake of believing that all insurance companies charge the same amount for the same amount of coverage. If you want the lowest monthly payment possible for the coverage you need, you have to be thorough and shop around. Even if you’ve been with your current insurer for a number of years, you may save hundreds of dollars by shopping around for more cost-efficient car insurance quotes with a different insurance company.

Be Aware Of Your Credit Score - How responsibly (or irresponsibly) you manage your credit is an important factor for many car insurance companies. In fact, studies have proven that a direct link exists between your credit score and the potential risk to an insurance company. Any reputable insurer will request the knowledge of whether you pay your bills on time and have maintained a suitable credit history.

Select the Annual Option - By choosing a yearly payment method versus monthly, you can obtain low-cost car insurance. If you purchase an annual policy, your premium stays set for twelve months, rather than every-six-months or monthly payment methods, where you could be facing a rate increase every six months.

Learn To Drive Defensively - A unique way to find low-cost car insurance is to finish a defensive driving class. A number of online car insurance companies offer rate discounts once one of these courses is completed successfully. Browse your local DMV’s website to learn the prerequisites for joining a class and where they are currently being held.

Buy Anti-Theft Products - If your car is designed with a tool that deters theft and/or vandalism, then you qualify for low-cost car insurance rates. You could also qualify for discount car insurance if your car has now-common safety features like airbags, anti-lock brakes, and/or automatic seat belts. Each of these works together to lower the insurance rate. In some parts of the United States, you also receive a discount for having the car identification number etched into the window.

Multi-Car Discount - When you have more than one car on a policy, you probably qualify for a multi-car discount, enabling to you get a better rate on low-cost car insurance. This may be in the form of a discount, or a free car when you insure one, so find out if your insurance company offers a multi-car insurance discount.

Buy Only the Coverage You Need - Many times drivers purchase unnecessary coverages. For example, if you have an old car you don't need collision coverage.

Good Grades Plus Clear Driving History Equals Better Rates For Young Driver - We all know that a good GPA benefits your teenager’s college aspirations, but many do not realize that it can save them money on car insurance premiums. Most insurance carriers offer discounts for those with high grades, lowering insurance rates by 10-20%.

The longer your teen maintains a clean driving history the longer you can keep their car insurance costs low. Some insurance companies will lower the premium cost and/or deductible cost for every year that your teenager drives safely and free from accidents, tickets, or claims.

Carefully Select Your Car - The cost of a car insurance will be influenced by the make and/or model of their car. Deciding to purchase a sensible car with a higher safety rating over a sports' car means of transportation and contribute to a more reasonably priced insurance rate. Purchasing a certified used car instead of a brand new model will also be of help.

Driving Performance - Insurance carriers verify your history of prior driving violations. When you have a lower number of traffic violations and/or accidents, then you may get a discounted price.

Don’t Forget To Ask Other Discounts - Lastly, when reviewing various insurance price quotes you want to completely consider all available discounts that you may qualify for. Whether you are shopping online, in person, or over the phone it is important to ask what additional discounts are available to help lower your cost. In this way, you learn information on whether you are qualified for a discount based on your age, gender, credit score, driving record, and car model.

Discounts that may be available for You:

  • Anti-Theft and Security Devices
  • Electronic Stability Control
  • Driver’s Education / Training Classes
  • Defensive Driving Classes
  • Good Student – younger drivers
  • Low Mileage
  • Safe Driver
  • Senior Driver
  • Military Personnel
  • Safe Car
  • Factory-Installed Airbags
  • Ensure more than One Car
  • Combine Car + Home Coverage
  • Automatic Payments Premium Payment in Full