Who Has Affordable Car Insurance Quotes for First-time Drivers in Houston?

I’m sure you’ve seen the captivating ads from companies like Nationwide, GEICO, and The General guaranteeing big savings, so drivers should just pick the company with the cutest commercial, right?

It’s not that simple, unfortunately, as there are a whole slew of unknowns like the amount of coverage you want, if you are currently insured, how experienced of a driver you are, and your gender, that all impact the cost of your policy. Car insurance is kind of a dry topic, but this article will explain these topics and will give you a good beginning to your search for cheaper coverage.

The vehicle on the policy is a large factor when looking for the cheapest car insurance for first-time drivers. Vehicles with more horsepower, poor safety ratings, or a track record of large liability claims will cost much more to insure than safer, lower-performance models. The information below ranks coverage prices for some of the most affordable automobiles to insure in Texas.

Cheapest Vehicles to Insure in Houston, TX
Make and Model Estimated Cost for Full Coverage
Ford Escape XLS 4WD $5,652
Honda CR-V EX-L 4WD $5,708
Volkswagen Jetta S 2.5 Station Wagon $6,054
Toyota Prius $6,108
Ford Explorer XLT 2WD $6,362
Toyota Tacoma 2WD $6,653
Chevrolet Equinox LS AWD $6,709
Toyota RAV4 Limited 2WD $6,715
GMC Sierra SLE Regular Cab 2WD $6,709
Dodge Grand Caravan Crew $6,762
Chevrolet Malibu LT $6,771
Ford F-150 Lariat Super Cab 4WD $6,762
Hyundai Elantra Blue 4-Dr Sedan $6,999
Jeep Wrangler Unlimited Sport 2WD 4-Dr $7,048
Chevrolet Impala LTZ $7,055
Ford Edge Sport AWD $7,064
Honda Odyssey EX-L $7,055
Toyota Corolla XLE $7,062
Toyota Camry XLE $7,055
Jeep Grand Cherokee Limited 2WD $7,109
Nissan Altima Hybrid 4-Dr Sedan $7,118
Ford Fusion SEL 4-Dr Sedan $7,109
GMC Sierra 3500HD SLE Crew Cab 2WD $7,162
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Table data represents single male driver age 16, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Texas minimum liability limits. Discounts applied include safe-driver, and claim-free. Premium amounts do not factor in vehicle location which can revise coverage rates noticeably.

Looking at the numbers, you can see that vehicles like the Ford Escape, Honda CR-V, Volkswagen Jetta, and Toyota Prius should be the cheaper vehicles to insure for new drivers. The price for car insurance will trend higher just due to the fact that there is more claim exposure for first-time drivers, but overall those vehicles will probably have the best rates available.

Figuring out which company has the most affordable insurance rates for first-time drivers takes more work in order to find the lowest price quote. Every car insurance company uses a slightly different approach to determine premium rates, so let’s take a look at the insurance companies with the most affordable rates in Houston, TX.

It’s important to know that Houston insurance rates are determined by lots of factors which can significantly increase or decrease the cost of coverage. Simply having another birthday, buying a new vehicle, or getting a driving violation can trigger price changes that can make some companies cheaper than before.

Best Cheap Insurance Rates for Inexperienced Drivers

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Cheapest Texas auto insurance companies
Rank Company Cost Per Year
1 Travelers $1,041
2 USAA $1,095
3 Texas Farm Bureau $1,211
4 Germania Mutual $1,294
5 California Casualty $1,382
6 Esurance $1,421
7 State Farm $1,450
8 Mercury $1,461
9 Nationwide $1,585
10 Safe Auto $1,597
11 Progressive $1,664
12 Allstate $1,667
13 Amica $1,705
14 Home State $2,134
15 GEICO $2,135
16 MetLife $2,249
17 Encompass $2,324
18 Unitrin $2,333
19 21st Century $2,421
20 Titan $2,568
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Travelers offers some of the lowest car insurance rates in Houston at around $1,041 each year. USAA, Texas Farm Bureau, Germania Mutual, and California Casualty would also be considered some of the more affordable Houston, TX car insurance companies.

As shown above, if you are currently insured with Texas Farm Bureau and switched to Travelers, you might achieve yearly savings of in the neighborhood of $170. Policyholders with Germania Mutual might save as much as $253 a year, and California Casualty insureds might lower prices by up to $341 a year.

To find the cheapest rates for your vehicle, click here to start a quote or click through to the companies below.

Bear in mind that those premiums are averaged across all drivers and vehicles and and are not calculated with an exact vehicle garaging location for first-time drivers. So the insurer that is best suited for you may not even be in the top 23 companies shown above. That point stresses why you need to get auto insurance quotes using your own driver data and vehicle information.

For new drivers, one of the more important factors that are used to help calculate car insurance rates is where you choose to live in Houston. Regions with more people or even just more weather-related claims tend to have more expensive auto insurance rates, whereas more rural areas profit from lower rates.

The following table rates the most costly cities in Texas for first-time drivers to buy auto insurance in. Houston is ranked #3 with an annual rate of $1,909 for the average insurance policy, which is about $159 each month.

How much does car insurance cost in Houston, TX?
Rank City Premium Per Year
1 McAllen $2,016
2 Brownsville $1,927
3 Houston $1,909
4 Dallas $1,855
5 Laredo $1,851
6 Garland $1,832
7 Irving $1,789
8 Amarillo $1,786
9 Mesquite $1,771
10 Pasadena $1,758
11 Grand Prairie $1,757
12 San Antonio $1,722
13 Beaumont $1,720
14 Lubbock $1,665
15 Austin $1,659
16 Arlington $1,658
17 Plano $1,624
18 Fort Worth $1,604
19 Carrollton $1,598
20 El Paso $1,584
21 McKinney $1,577
22 Corpus Christi $1,572
23 Waco $1,537
24 Killeen $1,533
25 Abilene $1,499
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Price information shown is estimated as the specific Houston residence address can lower or raise coverage rates significantly.

Types of discounts on Houston auto insurance

Save on insurance for new drivers in HoustonInsurers that offer quotes for first-time drivers may also give you rate discounts that can lower rates by as much as 35% or more if you meet specific criteria. The best insurance companies and some of their more popular discounts can be read below.

The chart below shows the comparison of insurance premiums with and without some available policy discounts. The rate quotes are based on a female driver, no accidents, no driving violations, Texas state minimum liability limits, comp and collision included, and $250 deductibles.

The first bar for each age group shows premium with no discounts. The lower bar shows the rates with anti-theft, passive restraint, vehicle safety, continuous coverage, paid-in-full, and paperless filing discounts applied. When discounts are applied, theaverage amount saved on insurance for first-time drivers is 28% or $923.

Choosing the highest-rated insurer can be difficult considering how many different companies sell coverage in Texas. The information below can help you select which auto insurers you want to consider when comparing rates. The rankings below are for companies with a national presence, so smaller companies are not factored into the list.

Top 10 Major Auto Insurance Providers in Houston Ranked by Customer Satisfaction

  1. USAA – 91%
  2. AAA Insurance – 90%
  3. Esurance – 90%
  4. Mercury Insurance – 89%
  5. Nationwide – 89%
  6. Travelers – 88%
  7. Progressive – 88%
  8. Safeco Insurance – 88%
  9. State Farm – 88%
  10. Allstate – 88%

Top 10 Major Auto Insurance Providers Overall in Houston

  1. Travelers
  2. USAA
  3. Mercury Insurance
  4. AAA Insurance
  5. Nationwide
  6. Allstate
  7. State Farm
  8. The Hartford
  9. Safeco Insurance
  10. Progressive

The benefit of shopping around

Texas insurance rates are impacted by many things that will increase or decrease the price you pay. Getting older, moving to a new city, or getting caught speeding can trigger rate changes that can now make some companies affordable when they were higher priced. Not only that, but car insurance companies change premium rates as often as every quarter to adjust for heavy claims or excess profits. Larger than normal claims can cause additional premium costs, while a lower level of claims may cause more affordable Houston car insurance rates.

As an example, the chart below shows which companies have the cheapest car insurance in Houston, TX for a 40-year-old male driver with no violations or accidents, and a decent credit rating. If we compare prices based on his current rating profile, Travelers may have the lowest car insurance rates in Houston at $1,300 per year. This is $604 less than the average rate paid by Texas drivers of $1,904. USAA, Texas Farm Bureau, Germania Mutual, and Esurance are also on the list of the cheapest Houston, TX auto insurance companies.

Now we will pretend the driver from the first rate comparison a claim or two, less-than-perfect credit, and a speeding ticket. Because every insurance company has a different formula to determining premium rates, getting updated rate quotes could now result in a significantly different list of the cheapest Houston car insurance companies as shown below.

Mercury now has the cheapest rate in Houston, TX with State Farm, Safe Auto, Nationwide, and USAA now being in the top five. This example proves why consumers need to spend some time comparing rates when trying to get cheap car insurance rates for first-time drivers.

Car insurance prices consist of many factors and can change without notice, so the cheapest option three years ago may now be quite expensive.

Ideas for finding more affordable car insurance for first-time drivers

The list below shows many thrifty suggestions that can help Texas drivers get cheap coverage.

The last tip in the list is certainly vital, as we hit on in the article above. Auto insurance prices in Houston vary greatly, so don’t be afraid to change to a new company if you find a cheaper price.

Many drivers tend to have loyalty to a certain company, but it’s not a great idea if that devotion results in you overpaying a small fortune. It takes less than five minutes to compare prices and find cheaper auto insurance for first-time drivers.