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As inflation continues to rise, saving money in any aspect may be a priority for many. Finding affordable auto insurance rates is just one way consumers can take control of their budgets. To give you an idea of what you might pay, the average cost of auto insurance in Houston is $2,106 per year for full coverage and $652 per year for minimum coverage, or about $175 and $54 per month, respectively.
The insurance companies in Houston with the cheapest rates are State Farm, Geico, Esurance, Mercury and USAA, according to research from Bankrate. Your rate may vary, as auto insurance rates in Houston are based on several factors, including personal characteristics such as your age, gender, driving history, and claim history.
Best Cheap Car Insurance Companies in Houston
The top three best auto insurance companies in Houston with the cheapest rates are State Farm, Geico and Esurance, according to data from Quadrant Information Services. In addition to average annual premiums, we compared and analyzed dozens of companies for discounts, coverage options, policy features, accessibility and third-party rankings for customer satisfaction and financial strength.
These factors also help compile the Bankrate Score, our proprietary five-point scale scoring system. The Bankrate Score, along with the average annual auto insurance price and customer satisfaction scores, can help auto insurance customers make an informed decision about the best cheapest auto insurance in Houston, potentially reducing the time it takes to compare quotes to get the most affordable rates. find the coverage you need.
Not only is State Farm one of the cheapest auto insurance companies in Houston on average for full coverage on our list, it also has a near-perfect Bankrate Score of 4.7. In Texas, the company ranks second for overall customer satisfaction in the 2022 JD Power US Auto Insurance Study. The carrier can be a great option for teen drivers, as it offers teen discounts with savings of up to 25% and additional savings of up to 15% with the Steer Clear program. However, State Farm does not offer gap insurance, which can be a disadvantage for drivers with new vehicles.
Learn more: Review of state farm insurance
Tied with State Farm with a 4.7 Bankrate Score, Geico also offers some of the cheapest rates for minimum coverage and full coverage. The carrier also has a long list of available discounts, which can help drivers maintain affordable rates even if they need more coverage. However, Geico falls short with a below-average ranking in Texas for overall customer satisfaction, as researched by JD Power.
Learn more: Geico insurance review
Esurance, an Allstate company, has average rates for full and minimum coverage that are still below the city average in Houston and the state average for auto insurance in Texas. The carrier only offers auto, home, motorcycle, and renter insurance, but it still offers the usual coverage types you’d expect from carriers for auto insurance, including extras like gap insurance and rental car coverage. Esurance achieves a respectable 4.2 Bankrate Score, but did not make it into the JD Power Texas customer satisfaction study.
Learn more: Esurance Insurance Assessment
While Mercury is one of the less popular auto insurers, it still offers Houston drivers optional add-ons such as rental cars, roadside assistance, and ride-hailing coverage. This carrier has the lowest Bankrate Score on our list of 4.1 and failed to score for customer satisfaction in Texas in the 2022 JD Power Auto Insurance Study. However, minimum and full coverage rates are still below average for Houston.
Learn more: Review Mercury Insurance
With a perfect Bankrate Score of 5 and the highest JD Power score in Texas for customer satisfaction, USAA may be the best car insurance in Houston for some drivers. Unfortunately, it is not eligible for official ranking at JD Power due to eligibility restrictions, which are limited to current and past service members and their eligible immediate families. USAA also has one of the highest average rates for cheap auto insurance companies on our Houston list, though it’s still below the city average.
Learn more: Review of USAA insurance
How to get and keep the cheapest car insurance in Houston
To get the most competitive auto insurance rates, drivers in Houston may need to put in some work. Here are some ways to get and keep the cheapest car insurance in Houston:
- Shop and compare quotes. Just because a carrier offers affordable rates doesn’t mean it’s the best option for your needs. Shopping around by comparing different quotes from different companies can help you make sure you’re getting the cheapest rates on the best car insurance in Houston without limiting coverage to make it affordable.
- Keep a clean driving record. Keeping a clean driving record is one of the best ways to maintain cheap car insurance. It also often allows you to qualify for accident forgiveness, which protects your rates if your first accident is caused by a mistake, and safe driving rebates, which people with blemishes on their driving record may not qualify for.