Best Car Insurance For College Students In Texas 2024

Texas is in the top five states across the US with the highest number of colleges and universities. The largest university in Texas, Texas A&M University has over 74,000 students enrolled in any given year, with the University of Texas at Austin, University of Houston, and University of North Texas boasting an average of 48,000 students each year.

Whether you attend one of the biggest institutions in the state or one of the smallest, it is still important to find affordable car insurance.

Average Cost Of Car Insurance For College Students In Texas – By City

Average Rates For 18 Year Old College Students In Texas

Average Cost For 19 Year Old College Students In Texas

Texas Auto Insurance Rates For 20 Year Old College Students In Texas

Cost Of Car Insurance For 21 Year Old College Students In Texas

Average Rates For 22 Year Old College Students In Texas

Average Texas College Student Rates For 23 Year Old

Average Cost For 24 Year Old College Students In Texas

Average Cost Of Car Insurance For 25 Year Old College Students In Texas

Average Rates On Family Policy vs. Individual Policy

Do College Students Need Their Own Policy?

It is important to continually revise your policy based on your car insurance needs and as a college student that may include remaining on your parents policy, or taking out your own.

1. If you live in Texas but you are going to school somewhere else check with the state requirements as to whether you can keep your current policy or need a new one.
2. If you are attending school in Texas whether as a Texas resident or coming from out of state, you can typically remain on your parents policy if you keep their home as your permanent home.

There are no age limits in Texas for how long you can remain on your parent’s policy. But if you purchase your own vehicle and you have your own residence where that vehicle remains full-time, you will have to take out your own policy.

How Can College Students Save Money On Car Insurance In Texas

Many college students pay higher car insurance rates than drivers in their mid to late 20s. So, if staying on a parent or guardian’s policy isn’t an option, you’ll need to explore ways to reduce your monthly premium.

Check out the tips and strategies below to see if any apply to you:

Student Discounts

The easiest way to save money on car insurance for college students in Texas is to maintain a high GPA. Each insurance provider has different rules about what the minimum qualifications are to receive discounts for good grades.

Students can qualify for discounts by taking safe driver courses, being a safe driver, and going to school far away where the primary vehicle remains in a garage most of the time.

Used vs. New

While parents often think of a new car as a great graduation gift, a brand new car might make insurance premiums worse.

It is best to avoid:

1. Sports cars built for speed, whose high-performing engines are viewed as a risk factor for speeding
2. High-end luxury cars whose repairs and replacements are going to cost the insurance company a lot
3. Electric vehicles; the battery alone can cost thousands of dollars to replace, making it a hefty insurance risk
4. Cars commonly stolen in Texas, like Chevy and Ford full-sized trucks; the Chevrolet Silverado was the most common stolen vehicle in Texas in 2023, with almost 7,000 reported cases

Brand new cars and heavily modified cars can cost much more than a make or model that is several years older but can be retrofitted with safety devices that lower the overall premiums for college drivers in Texas.

Vehicle Security And Safety Improvements

All drivers can get discounts on their policies when they upgrade the vehicle security and safety systems including college students. While the Texas State University campus only reported nine vehicle thefts in 2023, San Marcos, the city where college students are most likely to live, has seen a 50% increase in 2024 compared to the last year with an average of 200 car thefts each year, six per week taking place at night.

Drivers can qualify for discounts by making vehicle safety and security improvements particularly those that make it easier to reduce risk of theft like anti-theft alerts or tracker devices on the off chance that a vehicle is stolen.

Many insurance providers offer lower premiums if you install security devices and features that reduce accident risks like daytime running lights.

Affiliation Discounts

Students, sometimes while enrolled and other times after graduation, can enjoy discounts on insurance and other things through different institutions like the:

1. UNT Alumni Association
2. PerksConnect Discount Program from Texas A&M
3. Texas Exes discounts
4. ERS Texas Discount Purchase Program

Depending on your provider, participating in things like honor societies, alumni groups, or even clubs and organizations on campus might give you access to discounts.

Usage-Based Car Insurance

Usage-based car insurance, like telematics, monitors a driver’s behavior behind the wheel, but it also includes an additional feature that’s particularly attractive to college students.

With usage-based car insurance, you can lower your premiums and earn discounts by driving fewer miles each year. These “Pay-Per-Mile” plans are a cost-effective way to secure affordable coverage if your car stays in the dorm lot or at home for most of the school year.

Temporary Car Insurance

Although not all car insurance companies provide temporary coverage, it’s an excellent choice for college students who don’t drive often.

Temporary auto insurance policies generally offer six months of coverage, with the option to cancel at the end of the term. This allows college students to avoid paying for unused months of coverage while in school and is also a good option for those studying abroad for a semester.

Telematics Car Insurance For College Students

As a college student, finding creative ways to save on car insurance is crucial. One of the best methods to reduce your monthly premium is by using telematics.

Telematics devices are used by insurance companies to monitor and assess your driving habits. The safer you drive, the better your rates will be, increasing your chances of earning discounts for safe driving.

How To Get Discounts

As a college student you can reduce your high premiums by taking advantage of carrier provided discounts. To get these discounts in Texas, check with any affiliates to see if they offer insurance discounts, talk to your insurance provider, and compare policies from other providers.

Each car insurance company offers its own set of discounts for policyholders. Below are some you should consider before choosing a plan:

• Paid in full
• Vehicle safety devices
• Multi-policy
• Military
• Student away
• Good student
• Safe driver
• Low mileage
• Accident-free

Common Auto Insurance Claims In Texas

In Texas, there are typically four main types of auto insurance claims, which are:

• Comprehensive Claims (2.81 claims per 100 vehicle years)
• Bodily Injury Claims (0.95 claims per 100 vehicle years)
• Collision Claims (5.8 claims per 100 vehicle years)
• Property Damage Claims (3.36 claims per 100 vehicle years)

Rear end collisions are the most common type of accident particularly in areas with heavy traffic where there is stop and go traffic or outside of university campuses where there are lots of speed bumps, pedestrians, crosswalks, and other distractions.

Beyond that, hail damage is one of the most expensive property damage claims on car insurance policies in the state of Texas, and it represents billions of dollars worth of damage every year.

Texas Car Insurance Laws To Know

Texas requires what is called 30/60/25 coverage:

• $30,000 per person for bodily injury
• $60,000 per accident
• $25,000 for property damage per accident

Any driver who is driving in Texas whether or not they live there must have physical or digital proof of their insurance. All drivers must show proof of insurance when they register a vehicle, get a driver’s license, or renew their registration.

If caught driving without insurance or without proof of insurance can result in a ticket with a fine up to $350 but if involved in an accident that fine can be up to $4,000 with one year in jail and a driver’s license suspension and vehicle registration suspension for up to 2 years.

It is important to note that these minimum liability limits may not be adequate for those involved in serious accidents or if the vehicle is totaled, and the rest of the costs will have to be paid out of pocket if the insurance coverage is insufficient.