Car Insurance in Austin, TX [Cheap Rates + Best Coverage]

Car insurance can be confusing. Even if you spend hours pouring over resources to find the best car insurance for your needs, you may still come away confused and frustrated.

If you are thinking of moving to Austin (or already live there), though, you should be aware of what car insurance options you have. That’s where we come in.

From providers to rates, we will guide you through Austin’s car insurance to help you save money each month.

Being aware of the city environment is also important. Knowing about your area, from crime rates to natural disasters, can help you stay one step ahead of the potential bumps in the road that come with owning a car.

So keep reading, as we will cover everything you need to know about living and driving in Austin. Want to start comparing rates today? Enter your zip code in our FREE online tool above.

The Cost of Car Insurance in Austin, TX

Nobody actually enjoys paying for car insurance. While people understand that car insurance is fantastic when you are in an accident, people often find paying monthly car insurance bills to be drudgery.

To help show that car insurance doesn’t have to be a terrible expense, we are going to look at the cost of car insurance in Texas’s capital.

Stick with us, because we are going to jump right into everything from demographics effect on rates to the cheapest providers.

– Male vs. Female vs. Age

Demographics like age and gender change rates. Insurers base rates on the accident data they collect, which shows accident trends in different age and gender groups.

Insurers consider younger drivers, especially males, to be the highest risk drivers to insure. In Austin, though, the median age is 33.4, meaning that most drivers aren’t receiving the high rates teenagers and elderly drivers do.

To help you see exactly how demographics affect rates, we partnered with Quadrant to bring you the following data.

Since the median age is 33.4 in Austin, most drivers will have the 35-year-old rate. Let’s now look at how gender can impact costs through the average male versus female’s car insurance costs.

• Females’ Car Insurance Cost — $3,664
• Males’ Car Insurance Cost —  $3,875

In Austin, female drivers have cheaper rates than male drivers. Let’s now put gender and age together to see what Austin’s average demographic rates are.

Females consistently have the cheapest rates in each demographic, with 60-year-old females receiving the cheapest rates out of all the demographics.

– Cheapest Zip Codes in Austin

The area you live in influences insurers’ rates. If insurers know you live in an area with a higher crime rate or a high potential for natural disasters, they are naturally going to charge you more.

Below is a list of the cheapest zip codes in Austin, so you can see how much different areas charge.

Between the most and least expensive zip codes in Austin, there is a $1,780 difference. This means that where you live could cost you well over a thousand dollars in car insurance.

– What’s the Best Car Insurance Company in Austin?

This is one of the most important questions people have when shopping for car insurance. Not only do people want the best coverage, but they also want the best rates too.

Multiple factors change rates in addition to gender and age, such as driving record and credit history.

To help you make a choice on which car insurance company is BEST for you, we are going to look at multiple Austin companies’ rates.

– Cheapest Car Insurance Rates by Company

Cost is a huge part of deciding what company to purchase from. Below, you will see companies with the CHEAPEST rates in Austin.

USAA has the cheapest rates, but USAA is only for military personnel and their families. If you haven’t served in the military, the next cheapest companies are State Farm and Nationwide.

Of course, it is also important to consider the demographic rates at companies, as a company may have the cheapest overall rates BUT charge more than other companies for your demographic.

– Best Car Insurance for Commute Rates

Did you know that most insurers will charge you more if you have a longer commute? Not only are you paying more for gas and putting more wear and tear on your car, but you are also paying your insurer more.

The average driver in Texas drives 15,533 miles a year.

Let’s take a look at which Austin insurance companies charge more for a longer commute.

The good news is that most insurers in Austin DON’T increase rates based on commute distance. If you are at a company that does have a price increase, make sure your increased rate is still economical. If not, it may be time to change providers.

– Best Car insurance for Coverage Level Rates

High coverage is always the best. But high coverage can sometimes come with a high price tag. That’s why we want to take a look at insurers’ coverage level rates, so you can see which ones have economical coverage rates in Austin.

At companies like Allstate, the jump from low to high coverage is only $300 (or $25 a month). If this still seems like too much, the best option is to at least purchase medium coverage, which is less expensive than high coverage.

– Best Car Insurance for Credit History Rates

A bad credit score tells insurers that the customer may not be the best at managing money (and therefore might not be the best at paying the insurer). Because of this, insurers will hike up their rates based on a person’s credit score.

At most companies in Austin, bad credit will raise your rates over $2,000.

– Best Car Insurance for Driving Record Rates

Your driving record is also another part of your history that insurers look at. Check out the table below to see how your driving history lowers or raises your rates.

Generally, DUIs will raise rates the most (usually in the sum of a few thousand dollars). Speeding violations are usually the least important offense on driving records, though they will still raise rates.

– Car Insurance Factors in Austin

Factors like income and employment rates can impact car insurance rates. For instance, if employment rates are low, credit scores may decline, causing rates to rise.

So let’s jump right into car insurance factors in Austin.

– Growth and Prosperity

To see how well the city of Austin is growing and prospering over the last decade, we are going to take a look at Metro Report’s data on Austin, TX.

So what are growth and prosperity? Growth looks at the change in an area’s economy (such as the overall entrepreneurial activity). Prosperity looks at the average wealth/income of an area, to see how well productivity and wages are functioning.

Let’s take a look at Austin’s prosperity.

• Productivity: +9.9 percent (13th of 100)
• Standard of living: +9.2 percent (8th of 100)
• Average annual wage: +7.6 percent (51st of 100)

The good news is that over the last 10 years, prosperity has gone up in Austin. Let’s now take a look at Austin’s growth to see if it is growing as well as Austin’s prosperity.

• Jobs: +36.8 percent (1st of 100)
• Gross metropolitan product (GMP): +50.4 percent (2nd of 100)
• Jobs at young firms: +30.4 percent (1st of 100)

Austin has had fantastic growth over the last decade. The value of services and goods in Austin (the GMP) has gone up 50 percent, and there has been great growth in jobs (especially at young firms).

Want to see what percentage of your income is going to car insurance? Check out our free calculator below.

 

CalculatorPro

– Homeownership in Austin

Owning a home often earns you better car insurance rates. Insurers view homeowners as being more responsible, as homeowners have to make monthly mortgage payments.

To see whether the majority of residents in Austin own or rent a home, we are going to look at Data USA’s information on homeownership.

In 2016, only 44.9 percent of Austin residents owned a home. This is less than the Texas average of 62 percent homeownership.

Austin has one of the lowest rates of homeownership in Texas. The average median cost of property in Austin may have something to do with the lack of homeowners.

Males in Austin make about 1.4 times more than females.

• Average Male Salary — $65,834
• Average Female Salary — $47,183

Male employees are earning about 19 thousand MORE than female employees in Austin.

– Poverty by Age and Gender

Just like wages, poverty shows trends in gender. Adult females tend to suffer from poverty more than adult males in Austin, with females ages 18-24 having the highest poverty rate.

Out of all the residents who have poverty status in Austin, 15.4 percent of them live BELOW the poverty line. This percentage is higher than the national percentage of 13.4 percent.

– Poverty by Race and Ethnicity

Poverty also shows race and ethnicity trends. The graphic below shows which races and ethnicities suffer the most from poverty in Austin.

Whites suffer the most from poverty in Austin (92,067 people), followed by Hispanics (71,383 people).

– Employment by Occupations

In Austin, the most common jobs are management occupations, software developers and programmers, and business operations specialists.

Clearly, Austin offers a variety of different job fields to go into.

Driving in Austin

Driving in Texas’s packed capital can be challenging. Navigating routes in the city can land you in traffic jams or get you lost among streets that all look the same.

To help you navigate Austin, we are going to cover everything you need to know about driving in Austin.

Stick with us, because we are going to look at everything from roads to parking so that you will be prepared to drive through the city.

– Roads in Austin

If you are going to be driving Austin’s roads, there are numerous important factors to know about. What are the best routes? What are the road conditions?

We will answer all these questions and more. Let’s dive right into it.

– Major Highways

The state of Texas has 25 active routes, which make up 3,500 miles of roadway. The main route that cuts through Austin in Travis County is I-35.

I-35 through Austin was completed in 1962, and is one of the busiest highways in Austin.

Below you can see where I-35 cuts through Austin. Other major routes include US-183 and US-290.

An unfortunate part of traveling on routes is paying tolls. Austin has quite a few toll roads in and around the city on Loop 1, SH 45 N, SH 130 Segments 1-4, and SH 45 SE.

If you want to make passing through tolls easier, you can purchase a prepaid toll pass. TxTag, the major cashless toll pass in Texas, costs $7.99 for a device. If customers sign up for the autopay option, the TxTag device is free.

Generally, each toll in Austin costs under $2 for a regular vehicle.

– Popular Road Trips/Sites

Austin is full of fun things to do, from live music bars to numerous parks and lakes.

If you are looking for fun places to travel to outside of Austin, though, we’ve compiled a list of popular road trips and sites to visit in the state of Texas that are still close to Austin.

• Day Trip to Wimberly State Park — If you want to venture out to a beautiful lagoon near Austin  (about 45 minutes away), you may want to visit Wimberly State Park. If you want to swim in the lagoon, though, you will have to make a reservation first (it’s incredibly popular among visitors).
• Small Towns near Austin — If you want to get away from the busy city life for a bit, check out these small towns near Austin for a fun day visit.
• Weekend Road Trip Ideas — These places are close to Austin, but still far enough away that you’ll feel you got away.
• Cross-State Road Trips — Want to get even further away? Check out this list of 16 road trips across Texas.

Hopefully, this list has sparked your interest in your next getaway. With such a vibrant culture, there’s no need to travel outside of Texas for a fun time.

– Road Conditions

While no-one enjoys the inconveniences of construction, roads in poor condition put more wear and tear on your car (such as a minefield of potholes).

Take a look at the table below to see Austin’s road conditions.

Only 44 percent of Austin’s roads are in good condition, with 16 percent in poor condition.

– Austin Speeding or Red Light Cameras

According to the Insurance Institute for Highway Safety (IIHS), Austin does not use speeding cameras but does use red light cameras.

A red light camera automatically records an image if a driver runs a red light so law enforcement can send a ticket to the driver.

Because of this, red light cameras are not popular among city residents. The bright side is that drivers are more aware of traffic and generally make more of an effort to avoid running a red light.

– Vehicles in Austin

Vehicles are a huge part of our lives, even as we frown over insurance bills and gas prices. Without vehicles and other transportation, we would only venture out within a few miles of our residences.

To see how well vehicle transportation is functioning in Austin, we are going to jump into everything from popular vehicles to traffic. So let’s get started.

– Most Popular Vehicles Owned

Texas is known for its trucks, but do you know what the other popular models and makes are? YourMechanic analyzed the most popular vehicles in major cities, and we’ve included the data for Austin below.

• Percentage of American Cars — 41 percent
• Most Unusually Popular Car — Honda Fit
• Percentage of Hybrid Cars — 1.1 percent

Hybrid cars are practically nonexistent in Texas, but hybrid cars are rare in other cities as well. A surprising choice of popular car is the Honda Fit, which a smaller vehicle that boasts compactness.

While the IIHS gave the Honda Fit an acceptable crash rating, it’s smaller size means it is less safe in a crash.

– Cars Per Household

Most households in Austin own two cars, though the next popular ownership numbers are one or three cars.

– Households Without a Car

While most Austin households have at least one car, there are also households who own none and must rely on other methods of transportation.

Households without cars dropped almost one percent from 2015 to 2016, meaning more households purchased cars within that time frame.

– Speed Traps in Austin

Unfortunately, Austin is in the top 10 worst cities for speed traps in Texas.

Austin ranks 2nd for speed traps in Texas, with a total of 14 known speed traps in the city.

All these speed traps mean you could be caught unawares if you are speeding on the main roads in Austin. The best way to avoid being caught by a speed trap is to simply not speed in the first place.

https://youtu.be/j4JU4wHeaDk

– Vehicle Theft in Austin

One of the risks of owning a vehicle is having it stolen. According to the FBI’s 2013 crime report, there were 2,169 vehicles stolen in Austin.

This number was slightly fewer years later, with Neighborhood Scout reporting 2,090 stolen vehicles in 2017.

So just how safe is your vehicle in Austin? Well, if you live in one of Austin’s safer neighborhoods, there is less of a chance of your vehicle being stolen.

Neighborhood Scout lists the safest neighborhoods as the following.

1. N Quinlan Park Rd/Fm 620 Rd N
2. Route 290/El Rey Blvd
3. The High Rd/Encanis Rojas St
4. Brushy Creek
5. N Cuernavaca Dr/ N River Hills Rd
6. W Parmer Rd/Anderson Mill Rd
7. Fm 620 Rd S/Murfin Rd
8. Hudson Bend
9. Shady Hollow
10. Ranch Rd N/Shady Ln

The safest neighborhood is North Quinlan Park Road and Fm 620 Road North.

If you live in one of the neighborhoods above, you’ll probably feel safer. But there is always still a chance of being a victim of a crime.

In Austin, there is a one in 234 chance of becoming a victim of violent crime, which is only slightly lower than Texas’s one in 228 chance.

Austin only has a crime index rating of 11, meaning Austin is safer than only 11 percent of U.S. cities. Let’s take a look at how many annual crimes happen in Austin.

There is actually a fairly high crime rate in Austin, so moving to a safer neighborhood may be a prudent move.

– Traffic

As the state capital of Texas, Austin can have fairly heavy traffic. To give you an idea of what traffic is like in Austin, we are going to go through everything from traffic congestion to road safety.

– Traffic Congestion in Austin

To see how much time is lost in traffic, we are going to take a look at Inrix’s 2018 traffic scorecard rating for Austin.

Traffic costs Austin drivers over a thousand a year, which is a lot of money wasted on just sitting in traffic.

– Transportation

How much time do you spend commuting each day to work? In Austin, most people spend an average of 22.7 minutes commuting to and from work (which means they spend about 45 minutes each day).

This number is less than both Texas’s average commute time (25 minutes) and the United State’s average commute time (25.5 minutes).

So how do most people get to work? The most common method is driving alone, but people also carpool, work from home (which requires zero transportation), or use public transit.

-How Safe are Austin’s Streets and Roads?

We’ve covered crime rates, but what about simple driving accidents? How safe are you every time you drive on the streets of Austin?

To see how safe Austin’s roads are, we are going to take a look at the National Highway Traffic Safety Administration’s (NHTSA) data on crashes in Austin.

The table below shows the fatalities for all crashes in Travis County.

The number of crashes from 2013 to 2017 increased slightly, though fatalities were less in 2014. Next, we want to take a look at major causes of crashes in Travis County.

Roadway departures caused more deaths than speeding in Travis County. This is why so many roads today now include rumble strips to warn drivers when they drift too far off the road.

Roadway departures are also dangerous for those near the roadway. Below are the fatalities for pedestrians, cyclists, and passenger car occupants in Travis County.

Pedestrian fatalities are more common than one would think. Keep a careful eye on roadways when walking near them, as you can’t always depend on the driver to be paying attention to the roadway.

Up next, we want to look at the NHTSA’s data on which highways in Texas are the most dangerous to drive on. The table below shows fatalities on different road types for 2017.

In 2017, there was a total of 3,343 fatal crashes on Texas’s roads. Below are quick definitions of the arterial road types displayed above.

• Arterial Road — Made for heavy traffic areas and can be a main arterial road (a highway) or a minor arterial road.
• Collector Road — Collects local traffic and takes it to an arterial road.

We also want to take a look at railroad and highway crash incidents data from the US Department of Transportation.

If you are driving on any of the areas listed above, make sure to stay alert to help avoid an accident.

– Allstate America’s Best Drivers Report

How good are Austin’s drivers? Let’s take a look at Allstate America’s Best Drivers Report to find out.

An average of seven years passes between claims in Austin (eight years in suburban areas), which means drivers aren’t getting into accidents frequently.

– Ridesharing

Finding a ride is important if your car stalls or you had one too many drinks. Ridesharing companies (beyond taxis) have begun to boom in cities.

Below are the major ridesharing companies in Austin, ranked from least to most expensive.

1. Lyft — Lyft generally has the cheapest rates in Austin (as long as you don’t get Lyft Lux).
2. Uber — Once again, Uber’s rates are generally cheaper as long as you don’t purchase the luxury ride.
3. Taxi — Taxis are more expensive than most ridesharing companies in Austin.
4. Curb — Curb is similar in price to traditional taxis.
5. Ride Austin — Ride Austin isn’t terrible in pricing, but it does go up astronomically with premium rides.

Make sure to check prices before traveling, as choosing the right rideshare company could save you money.

– EStar Repair Shops

Esurance ranks repair shops in a program called EStar so that people can find a great repair shop. We’ve included the top ten EStar repair shops in Austin below, for the next time that you need work done on your car.

The two EStar shops that are rated highly in Austin are Calibar and Service King — they have multiple locations listed on EStar in Austin.

– Weather

When people move, they usually take the weather into consideration when deciding what state to move to. Let’s take a look at what the weather is like in Austin, according to U.S. Climate Data.

Since the average lowest temperature in Austin is 69 degrees, there is no data on annual snowfall (snowfall is extremely rare). Less rare than snowfalls in Austin, though, is natural disasters.

Travis County has had 26 natural disasters, which is greater than the US average of 13 natural disasters. These disasters include fires, storms, floods, hurricanes, tornadoes, and winds.

If you live in Austin, you may want to consider purchasing comprehensive coverage. Comprehensive coverage covers damages to your car caused by natural disasters, as well as damages caused by theft or vandalism.

– Public Transit

Austin has Capital Metro for public transit, which runs through Austin and central Texas. Below are standard prices for local transport on Capital Metro’s bus system.

• Single Ride — $1.25
• Day Pass — $2.50
• 7 Day Pass — $11.25
• 31 Day Pass — $41.25

Fares may be cheaper than the ones above if you are eligible for a reduced fare (seniors, disabilities, military, etc.).

– Alternate Transportation

If you want to take something other than a bus, you could rent a bike or scooter through Lime. Costs vary from city to city, but generally, you prepay a small fee to rent a scooter or bike and then pay per mile.

Bird also has a rent-a-scooter option in Austin, and the payment system is similar to Lime.

– Parking in Metro Areas

Parking in crowded areas can be a hassle. To give you an idea of what parking in Austin is like, we are going to go through everything from street parking to satellite parking.

Street parking in Austin is available, but you will have to pay a fee for parking through meters.

• Downtown parking — $1.20 per hour
• Other parking — $1 per hour

Austin has upgraded it’s parking meters so that you can pay with change or a credit card. You also have the option of parking overnight in Austin.

If you own an electric vehicle, finding a place to plug in is a must. Plug-In Austin offers more than 250 charging stations throughout Austin.

It costs $4.17 a month for unlimited charging at Plug-In Austin’s public stations. Of course, you may also opt to use other charging stations besides this company’s, but Plug-In Austin does have the most stations across the city.

Austin also has numerous parking decks and lots available in addition to street parking. Most of these garages charge a fee, but there is an option to reserve spots at some parking decks (which is great for places where parking is an issue).

Finally, there is also the option to satellite park at Austin’s airport, which can cost anywhere from $15 to $25 a day. Some hotels near the airport also offer shuttle services to the airport.

– Air Quality in Cities

Vehicle fumes can have a detrimental effect on air quality by producing smog. Bad air quality has a negative impact on people’s health, which is why we want to look at EPA’s Air Quality Report to see how Austin’s air quality is despite the numerous vehicles driving in the city.

The bad news is that Austin’s air quality has steadily gotten worse over the years. While the number of moderate and unhealthy days have only increased slightly over the years, the steady increase is a bad sign for the future.

– Military/Veterans

Every city is different in the number of veterans it houses, as well as what wars veterans fought in. One thing that stays the same, though, is that military personnel and veterans can usually receive car insurance discounts.

With insurance prices rising, knowing what companies offer discounts in Austin can save a lot of money.

Keep reading to learn about Austin’s veterans, military bases, and important discount information.

– Veterans by Service Period

The majority of veterans in Austin served in the Gulf War (2001-) and Vietnam.

The least common veteran is WWII veterans, as only 803 are living in Austin.

– Military Bases Within an Hour

Texas is home to 14 military bases, but none are within an hour drive from Austin. There are quite a few near Austin, though, in San Antonia (about a two-hour drive away).

• Lackland AFB Base
• Joint Base San Antonio
• Fort Sam Housten Army Base
• Randolf AFB Base
• Camp Bullis Army Base

These military bases make up quite a large percentage of Texas’s bases (five out of 14).

– Military Discounts by Providers

Some companies will offer discounts to military personnel and their families. Below is a list of known providers who offer discounts, as well as the general percentage saved.

*USAA also offers a military garaging discount.

– USAA Available in Texas

USAA is an insurance company that sells insurance ONLY to military personnel and their families.

USAA has the CHEAPEST rates in Texas, costing almost 60 percent less than the national average. While other insurers are also cheaper than the national average, they still cost more than USAA.

Unique Austin Laws

It can be difficult to know all the ins and outs of city laws unless you’ve lived there for decades. Not knowing Austin’s unique driving laws can result in a ticket.

That’s why we are going to cover everything from cellphone use laws to parking laws, so stick with us.

– Hands-Free Law

Distracted driving leads to multiple crashes every year. To help cut back on distracted driving, Texas created the following laws below.

Primary enforcement means law enforcement can pull you over and ticket you just for texting. Austin takes Texas’s law one step further by banning the use of all hand-held devices while driving.

– Food Trucks

Thinking of owning a food truck in Austin? If so, you must follow Austin’s laws on operating a food truck.

You will need to make sure you have the proper permits to sell food, as well as make sure the vehicle is fully mobile (you can’t add permanent utilities such as gas or plumbing).

You must also make sure to park in the proper areas (such as not on a sidewalk or blocking an intersection).

– Tiny Home

If you want to own a tiny home in Austin, you will have to follow the same rules as a mobile home. This means you can only park in legal areas, such as in a mobile home park.

If you park a tiny home on private property, you will need to make sure you have the proper permits and are following Austin’s zoning rules.

– Parking Laws

One rule that people seem to constantly break — and get ticketed for — is parking in the right direction. In Austin, you must park in the same direction as the traffic in the lane nearest you.

Why?

Because parking in the wrong direction means you pull into oncoming traffic, which is dangerous for both you and other drivers. If law enforcement sees your car parked the wrong way, you will most likely receive a ticket.

In some places in Austin, you can reserve a spot in a parking garage, ensuring that you won’t be tempted to pull into oncoming traffic to get an open spot.

Austin Car Insurance FAQs

If you still have questions about car insurance in Texas, stick with us. Car insurance in cities can be confusing, which is why we are going to go through some of the main questions people ask when moving to Austin.

If you have more questions about Texas car insurance, make sure to check out our comprehensive guide on Texas.

Let’s jump right into it.

• What happens if I get into a car accident? There’s nothing worse than backing up and hearing a telltale thump or scraping sound as you run into another car. Texas is an at-fault state, meaning that the driver who caused the accident will have to pay off the accident costs for both his or herself AND the other driver.
• What are the normal driving conditions in Austin? While you won’t have to deal with snowy roads, you may have to deal with driving conditions like flash flooding in Austin. You will also have to contend with heat (make sure that your AC works) and traffic.
• What is there to do in Austin? Anyone moving to a city wants to make sure they won’t be bored. Luckily, Austin is known as the live music capital of the world. Austin has more live music venues than any other city, giving you plenty to listen too on your night out.
• Is Austin pet-friendly? If you’re looking to get a dog in Austin, the good news is that there are plenty of places to bring your pooch with you. From restaurants to parks, your dog never has to leave your side.
• What sports does Austin have? If you are a major sports fan, Austin may disappoint. Austin is home to just minor league sports team, though it does have a race track for Formula 1 cars.

Now that you’ve made it through our comprehensive guide to Austin, you are prepared to drive on Austin’s vibrant streets.

Enter your zip code below in our FREE online tool to start comparison shopping today.