Texas Car Insurance Requirements & Average Rates (2026)
Last updated July 22, 2026
Texas requires drivers to carry at least 30/60/25 liability coverage — $30,000 bodily injury per person, $60,000 per accident, and $25,000 in property damage — and the average minimum-coverage policy runs about $620 to $786 a year in 2026. For how Texas stacks up against other states, see our car insurance rates by state guide.
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Texas's 2026 minimum coverage requirements
Texas minimum liability coverage (30/60/25) — verified 2026-07-22
| Name | Minimum limit |
|---|---|
| Bodily injury liability, per person | $30,000 |
| Bodily injury liability, per accident | $60,000 |
| Property damage liability | $25,000 |
These limits have not changed for 2026. Texas is an at-fault state, so the driver who causes an accident (and their liability coverage) is responsible for the other driver's injuries and property damage.
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What minimum coverage actually costs in 2026
Average estimates for a Texas minimum-liability policy range from roughly $620 to $786 a year depending on the data source and driver profile assumed. The cheapest individual carriers undercut the average significantly — Texas Farm Bureau has been reported at around $352 a year for minimum coverage, though regional carriers like Farm Bureau typically require membership and aren't available to every driver statewide.
What drives Texas rates up or down
- Urban vs. rural ZIP code. Houston, Dallas-Fort Worth, and San Antonio carry meaningfully higher average premiums than smaller Texas cities and rural counties, driven by traffic density and claims frequency.
- Weather exposure. Texas sees some of the highest hail and flood claims volume in the country in certain regions, which raises comprehensive coverage costs specifically.
- Credit tier. Texas allows credit-based insurance scoring, so drivers with lower credit tiers pay meaningfully more — see our guide on how bad credit affects your car insurance rate.
How to lower your Texas premium
Raising your deductible, bundling home and auto, and asking about telematics/usage-based discounts are the highest-impact, lowest-effort levers in Texas as in most states. Military families stationed in Texas should also check military car insurance discounts — USAA is licensed statewide and consistently prices among the cheapest options for eligible members.
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Frequently asked questions
What is Texas's minimum car insurance requirement in 2026?+
30/60/25 liability coverage: $30,000 bodily injury per person, $60,000 per accident, and $25,000 in property damage. These limits did not change for 2026.
What is the cheapest car insurance in Texas?+
Texas Farm Bureau has been reported as the cheapest option for minimum coverage at roughly $352 a year, though membership-based regional carriers aren't available to every driver. Among nationally available carriers, GEICO and State Farm are consistently competitive statewide.
Is Texas an at-fault or no-fault state?+
Texas is an at-fault state. The driver who causes an accident is financially responsible for the other party's injuries and damage, which is handled through that driver's liability coverage.
Does Texas require uninsured motorist coverage?+
No, it's optional, though insurers must offer it. Given that a meaningful share of Texas drivers carry only the state minimum or drive uninsured, many agents recommend adding it.
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Written by
Insurezly Editorial Team
The Insurezly Editorial Team researches car insurance rates, coverage rules, and state requirements directly from insurer filings, state DOI publications, and NAIC data. Every figure is sourced and dated; we do not accept payment for placement or ratings.
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