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The average car insurance cost in Austin, Texas is $1,841 per year, according to data. This is $34 less than the average auto insurance cost in Texas and $159 more than the national average, as analyzed by

Average cost in AustinAverage cost in TexasNational average cost

The rates can vary wildly depending on where they are filed. City demographics, including population density and average resident age, will affect how much money you spend on premiums which could make it cheaper or more expensive than other areas with different factors like accident rates, theft and vandalism rates, etc.

The article covers information on – the cheapest car insurance providers in Austin, the average car insurance rates by age, gender and how much is car insurance in Austin based on coverage limits. Whether you’re a new driver or have been driving for years, this article can help you find the best deal on cheap car insurance in Austin. Read on to learn more.

Key Takeaways

  • The average car insurance cost in Austin, Texas is $1,841 per year.
  • Nationwide offers the cheapest car insurance in Austin, at an average of $1,124 per year.
  • Young adults pay $3,435 per year for car insurance in Austin.

Cheap car insurance companies in Austin

Nationwide offers the cheapest car insurance in Austin, at an average of $1,124 per year with full coverage limits of 100/300/100.

The second cheapest company in Austin is State Farm, offering car insurance rates at $1,235 per year.

As mentioned earlier, car insurance rates vary from one company to another because the factors used to calculate rates vary by insurer. Therefore, comparing quotes from multiple insurers is recommended to find cheap car insurance rates in Austin before deciding on the policy that matches your requirements.

The table below lists the average annual and monthly costs for the various car insurance companies providing coverage in Austin, Texas:

Company NameAverage annual costAverage monthly cost
State Farm$1,235$103
Auto Club$1,443$120
Mercury Insurance$1,786$149
Farmers Insurance$2,456$205

Read about the best car insurance companies.

Average car insurance cost in Austin by coverage limits

In Austin, the average car insurance rates based on coverage types are as follows:

  • State minimum coverage: $556 per year (limits are 25/50/25)
  • Liability only coverage: $690 per year (limits are 50/100/50)
  • Full coverage: $1,841 per year (limits are 100/300/100)
  • Non-owners coverage: $442 per year

In most states, drivers must have the state minimum coverage to drive legally, but these vary by state. However, state minimum coverage does not cover any vehicles listed on your policy in an at-fault accident.

To avoid compromising on the coverage and pay out-of-pocket expenses, it is better to have full coverage or non-owner coverage if you don’t own a car but borrow or rent one frequently.

Average car insurance rates by gender in Austin

The average car insurance rate for a female driver in Austin, Texas, is $1,832 per year.

While the rate for a male driver is $1,841 per year, which is $9 more than what female drivers pay, according to a rate analysis by

Women are considered to be safer drivers than men, and statistics have proved this, according to the Insurance Information Institute. They often pay less for auto insurance because of their lower rate of severe accidents than men.

Read more on how gender affects car insurance rates.

Average car insurance rates by age in Austin

In Austin, car insurance rates are the highest for teens, at $7,102 per year or $592 per month. The rates are higher for teenagers (16- to 19-year-olds) as they are more prone to road accidents due to their lack of experience on the road, according to the Insurance Information Institute. There are driving laws for teens to help them drive better. Also, teen insurance rates can be lowered by adding teens to a parent’s auto insurance policy.

Car insurance rates are bound to decrease as teens grow older and earn a good driving record. Young adults pay $3,435 per year for their car insurance which is $3667 less than what the teens pay for their insurance policy.

The car insurance rates in Austin for adult and senior drivers are $1,893 and $1,864 per year respectively.

The car insurance rates for adults and seniors are lower than those for teens and young adults. “This is because they are more likely to obey the speed limits and follow the rules of the road,” says the Insurance Information Institute.

Read more on auto insurance for seniors.

The table below depicts the average annual rates for drivers of different age groups:

Age groupAverage annual rates
Teens (16- to 19-year-olds)$7,102
Young adults (20- to 24-year-olds)$3,435
Adults (25- to 55-year-olds)$1,893
Seniors (60- to 75-year-olds)$1,864

If we look at the car insurance rates trends in Austin, Texas, it was on an upward swing from 2016 to 2019. From 2019 to 2022, the rates increased overall by 2%, or $43.

The table below shows the trend for three years:

2016 rates2019 rates2022 rates


In conclusion, the insurance rates in Austin, are lower than the average insurance cost in Texas. Shopping around and taking advantage of available discounts, drivers in Austin can find affordable car insurance options. Additionally, many car insurance companies offer discounts for customers who purchase multiple policies through the same company.


Methodology team worked with Quadrant Information Service to get car insurance data. To determine the average premiums, our team of data analysts and expert editors have analyzed 56,838,240 insurance quotes from 136 insurance companies across 34,523 ZIP codes.

The insurance rates are based on a sample profile of a 40-year-old male driver with a clean driving record and a good insurance score. Quotes premiums are for a full coverage policy with limits:

  • $100,000 bodily injury liability per person
  • $300,000 bodily injury liability per accident
  • $100,000 property damage liability
  • $500 collision/comprehensive deductible

The quoted insurance rates are for comparison purposes, and your individual rates may vary.

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Prachi Singh
Contributing Researcher


Prachi is an insurance writer with a master’s degree in business administration. Through her writing, she hopes to help readers make smart and informed decisions about their finances. She loves to travel and write poetry.