Car insurance is always a good idea to have, no matter where you live. But Austin’s explosive growth has proven that it’s a must. Here’s some Austin-specific risks that make car insurance essential: 

• Heavy traffic: With its growth in recent years, MoPac, I-35 and Highway 183 see heavy traffic, increasing the risk of fender benders with stop-and-go traffic.
• Location specific risks: East Austin has narrow streets, Downtown Austin sees heavy pedestrian activity, and some might have long commutes to North Austin. All of this increases accident risks.
• Weather: Central Texas is in Flash Flood Alley, and Austin sees the occasional hailstorm as well, meaning there are plenty of non-collision risks.

When seeking out car insurance in Austin, there’s a minimum threshold for liability that policies must meet which are set by the state of Texas.  

Here’s what is legally required for car insurance in Austin: 

• $30,000 per person and $60,000 per accident for bodily injury 
• $25,000 per accident for property damage 
• $2,500 for personal injury protection 
• Uninsured/Underinsured Motorist (UM/UIM) Coverage 

Keep in mind these are just the legal minimums. It can be beneficial to have higher limits in the event that you're that at fault driver of a more serious accident.

For full descriptions and the minimum monetary limits of these coverages, visit our Texas car insurance page. 

If you get a policy that just meets the state’s minimums, your policy only covers liability costs. This means your insurance pays for the other party, and not your own. To protect your own vehicle while driving in Austin, additional coverage is necessary. 

Here’s a list of some of the most recommended coverage to add to your policy: 

• Collision Coverage: Helps pay for damages to your vehicle caused by a covered accident.
• Comprehensive Coverage: Helps pay for covered non-collision incidents (weather, theft, etc.).
• Medical Payments: Helps cover medical expenses for you and your passengers, regardless of fault.
  • Recommended if you reject PIP from your standard policy.
• Rideshare Insurance: If you use your personal car for a rideshare service, this only applies when you’re on the clock. It has collision, medical, and liability options.
• Gap Coverage: Coverage for if your car is deemed a total loss. Pays the difference on what the car is worth and what you own on your loan.

This isn’t a full list of options available, and what’s available might be dependent on the carrier you choose. These descriptions are also general in nature, so they can give you an idea of what they cover.  

Goosehead agents work with you to learn your situation and needs, so they can create a customized policy just for you.

On average, drivers pay roughly $800 for the minimum amount of coverage in Austin. Those with more coverage tend to pay up to $3,300 a year. 

What you pay for your annual premium depends on your coverage and deductible selections as well as the following factors: 

• Location within Austin: Certain areas of Austin have higher risks for accidents.
• Commute: Austin can have long commute times, which increases risks for accidents.
• Vehicle Type: Cars that are either newer, luxury, or customized face higher premiums because of the increased repair costs.
• Driving Record: Rates are typically lower for those with no violations or make minimal claims.
• Age: Younger drivers are at higher risk because of their minimal driving experience.

This may not be every rating factor for your premium, but they are some of the most prevalent.

You don’t have to sacrifice high-quality insurance for a good rate. Here are some typical saving strategies available to Austin drivers: 

• Bundling policies: Many carriers offer multi-policy discounts if you bundle your auto insurance with another policy.
• Install safety features: Drivers see lower rates when they install safety features, such as anti-theft devices.
• Safe driver discounts: Drivers who have no violations, or little to no accidents tend to see lower rates.
• Shop Before Renewing: Before your policy renews, finding a new carrier could mean a better rate. Goosehead makes this a breeze by taking care of the comparisons for you.

If you’re on the hunt for car insurance in Austin, Goosehead has you covered. Here’s why drivers trust us with their insurance needs: 

• Comprehensive Comparisons: We have access to top-rated carriers, so we do the comparisons for you, saving you time and effort.
• Exceptional Service: Goosehead agents are dedicated to giving you great customer service from start to finish.
• Expert Guidance: Our agents are experts for Texas, so they know what to look out for when building your policy.
• Easy Process: When all is said and done, all you have to do is pick the policy that fits your needs the most.