The vehicle model driven is probably the biggest factor when comparing quotes for the best cheap car insurance for a learners permit. Vehicles with higher performance, a lack of advanced safety features, or an increased likelihood of liability claims will cost significantly more to insure than more modest models. The data below features coverage prices for a selection of the most affordable automobiles to insure in Texas.
| Make, Model, and Trim Level | Estimated Cost for Full Coverage |
|---|---|
| Honda CR-V LX 2WD | $4,791 |
| Ford Escape Limited 2WD | $4,833 |
| Volkswagen Jetta S 2.5 Station Wagon | $5,125 |
| Toyota Prius | $5,170 |
| Toyota Tacoma 4WD | $5,389 |
| Ford Explorer XLT 2WD | $5,396 |
| Dodge Grand Caravan CV | $5,389 |
| Honda Odyssey EX W/Rear Entertainment | $5,638 |
| GMC Sierra SLE Crew Cab 2WD | $5,680 |
| Chevrolet Equinox LT AWD | $5,686 |
| Chevrolet Malibu Hybrid | $5,680 |
| Toyota RAV4 Sport 4WD | $5,687 |
| Nissan Altima 2.5 4-Dr Sedan | $5,680 |
| Chevrolet Silverado LS Extended Cab 4WD | $5,689 |
| Ford F-150 FX4 4WD | $5,725 |
| Hyundai Elantra GLS 4-Dr Sedan | $5,972 |
| Toyota Corolla LE | $5,982 |
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Data variables include single female driver age 16, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Texas minimum liability limits. Discounts applied include claim-free, and safe-driver. Price estimates do not factor in zip code location which can increase or decrease premiums considerably.
Based on these rates, models like the Honda CR-V, Ford Escape, and Volkswagen Jetta should be a few of the most budget-friendly vehicles to insure for new drivers. Prices will be more expensive just due to the fact that there is more inherent risk for a learners permit, but overall those particular vehicles will most likely have the least expensive rates that you’ll find.
Deciphering which company quotes the cheapest auto insurance rates for a learners permit will involve a tad more effort than just quoting one company’s rates. Every auto insurer has their own unique process to determine premium rates, so let’s take a look at the most affordable auto insurance companies in Houston, TX.
It’s a good idea to know that Houston auto insurance rates are impacted by many factors which can substantially decrease or increase the policy price. Simply getting older, moving across town, or getting a speeding ticket may generate price changes resulting in some rates now being affordable when they were higher priced.
Find the Cheapest Auto Insurance in Texas
Travelers quotes some of the most affordable car insurance rates in Houston at around $1,052 per year. USAA, Texas Farm Bureau, Germania Mutual, and Esurance also rank well as some of the more affordable Houston, TX car insurance companies.
As shown in the table above, if you are insured with Germania Mutual and switched to Travelers, you might realize a yearly price reduction of roughly $242. Drivers with Esurance may save as much as $327 a year, and California Casualty insureds might lower prices by $344 a year.
To get a quick, customized rate comparison, click here to start a quote or feel free to get quotes from the companies below.
These estimates are averages for all ages of drivers and types of vehicles and and are not calculated with an exact location for a learners permit. So the insurer that is best suited for you may not even be in the top 23 companies shown above. That points out the importance of why you need to get rate quotes from many companies using your own driver information and specific vehicle type.
One of the many considerations that determine insurance cost is where you choose to live in Houston. Areas with a lot of weather claims or more people tend to pay slightly more, whereas more rural areas can boast about having cheaper rates.
The table below lists the most expensive places in Texas for a learners permit to purchase car insurance in. Houston makes the list at #5 with an annual cost of $1,835 for car insurance, which is around $153 per month.
| Rank | City | Annual Rate |
|---|---|---|
| 1 | McAllen | $1,956 |
| 2 | Laredo | $1,907 |
| 3 | Brownsville | $1,851 |
| 4 | Dallas | $1,837 |
| 5 | Houston | $1,835 |
| 6 | Garland | $1,796 |
| 7 | Amarillo | $1,786 |
| 8 | Grand Prairie | $1,757 |
| 9 | Beaumont | $1,754 |
| 10 | Mesquite | $1,753 |
| 11 | Pasadena | $1,740 |
| 12 | Irving | $1,719 |
| 13 | Arlington | $1,692 |
| 14 | San Antonio | $1,688 |
| 15 | Fort Worth | $1,670 |
| 16 | Lubbock | $1,665 |
| 17 | Austin | $1,659 |
| 18 | Corpus Christi | $1,636 |
| 19 | Plano | $1,624 |
| 20 | Carrollton | $1,615 |
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Premium amounts are approximated as the specific zip code location can lower or raise coverage prices considerably.
Difference between full coverage and liability only rates
Saving money on auto insurance is probably important to most vehicle owners, and one of the easiest ways to find cheap insurance for a learners permit is to buy only liability coverage. The illustration below shows the difference between auto insurance rates with full physical damage coverage compared to only buying the minimum liability limits required in Texas. The data assumes a clean driving record, no claims, $250 deductibles, drivers are not married, and no other discounts are factored in.
If the expense is averaged for all age categories, full coverage costs $2,000 per year more than insuring for liability only. That touches on the question if physical damage coverage is worth the money. There is no definitive guideline to delete physical damage coverage on your policy, but there is a general convention. If the yearly cost for physical damage coverage is more than around 10% of the vehicle’s replacement cost less your deductible, then it might be time to consider dropping full coverage.
For example, let’s assume your vehicle’s book value is $5,000 and you have $1,000 physical damage deductibles. If your vehicle is severely damaged, the most your company would pay you is $4,000 after the deductible is paid. If you are currently paying more than $400 annually for your policy with full coverage, the it may be a good time to stop paying for full coverage.
How careless driving impacts auto insurance rates
The easiest method to obtain affordable auto insurance premiums in Houston for new drivers is to drive cautiously and avoid accidents and keep your driving record clean. The diagram below demonstrates how speeding tickets and accidents influence auto insurance costs for each age group. The premiums assume a single male driver, comp and collision included, $1,000 deductibles, and no policy discounts are applied.
The data charted above shows the average cost of car insurance per year with no accidents and a clean driving record is $1,598. Receive two speeding tickets and the average cost increases to $2,103, an increase of $505 each year. Now include two accidents along with the two speeding tickets and the annual cost of auto insurance for a learners permit jumps again to an average of $4,216. That’s an increase of $2,617, or $218 per month, just for being a careless driver!
Insuring your vehicle with a good quality car insurance company is hard considering how many different insurance companies sell coverage in Houston. The company information listed below can help you choose which companies to look at when shopping car insurance rates for a learners permit. The ratings below are only comprised of companies that insure vehicles nationwide, so companies that have a smaller presence are not included in these rankings.
Top 10 Major Car Insurance Companies in Houston Ranked by Customer Satisfaction
- USAA – 91%
- AAA Insurance – 90%
- Esurance – 90%
- Mercury Insurance – 89%
- Nationwide – 89%
- Travelers – 88%
- Progressive – 88%
- Safeco Insurance – 88%
- State Farm – 88%
- Allstate – 88%
Top 10 Major Car Insurance Companies Overall in Houston
- Travelers
- USAA
- Mercury Insurance
- AAA Insurance
- Nationwide
- Allstate
- State Farm
- The Hartford
- Safeco Insurance
- Progressive
Who has the cheapest Houston car insurance?
Houston auto insurance rates are based on many factors that control the policy premium. Improving your credit score, getting married, or getting a driving violation can cause premium changes resulting in some companies being more affordable than competitors. And not only may your rating factors change, but insurers change prices at least once a year to help ensure profitability. Heavy losses may cause more expensive premiums, while long-term profits may produce lower-priced Houston car insurance rates.
As an example, the data below shows which companies have the cheapest car insurance in Houston, TX for a 30-year-old male driver with a clean driving record, no accidents, and a good credit rating. If we estimate prices based on his personal risk profile, Travelers quotes the best car insurance rates in Houston at $1,297 each year. This is $607 less than the average premium paid by Texas drivers of $1,904. USAA, Texas Farm Bureau, Germania Mutual, and Esurance are also included in the cheapest Houston, TX auto insurance companies.
The next chart shows rates after we give the driver in the first chart a claim, a lower credit rating, and a traffic ticket or two. Since every car insurance company has a different process for setting prices, comparing insurance quotes may result in a completely different list of affordable companies as shown below.
State Farm now has the cheapest insurance rate in Houston with Mercury, USAA, Nationwide, and Safe Auto completing the list. This example demonstrates why it is crucial to perform an extensive rate comparison when trying to find the most economical insurance quotes for a learners permit. Rates are made up of many risk factors and can change without notice, so the most economical option when you last compared rates may now be costing you a lot of money.