Who Has the Cheapest Auto Insurance for Homeowners in Dallas?

Wouldn’t it be great if we could just tell you the one company that has the best rates for homeowners? It’s not quite that easy, unfortunately, as there are a whole bunch of unknown factors like if you have a tendency to get into accidents, if full coverage is needed, and the miles you drive each year. Car insurance is kind of a dry topic, but this article will explain the causes of high insurance rates and educate you enough to have a good start to your coverage search.

For people who own their homes, one of the more important factors that aid in calculating the amount you pay each year for auto insurance is your zip code in Dallas. Cities with larger populations or higher claim trends will most likely have higher rates, whereas areas with less crime or weather claims have the benefit of cheaper car insurance.

The table below shows the highest-priced places in Texas for homeowners to purchase a policy in. Dallas makes the list at #4 with the yearly price of $1,837 for coverage, which is approximately $153 each month.

How much does car insurance cost in Dallas, TX?
Rank City Annual Rate
1 McAllen $1,936
2 Laredo $1,907
3 Brownsville $1,870
4 Dallas $1,837
5 Houston $1,835
6 Mesquite $1,825
7 Amarillo $1,786
8 Garland $1,778
9 Beaumont $1,772
10 Pasadena $1,758
11 Grand Prairie $1,757
12 Irving $1,736
13 Lubbock $1,716
14 Arlington $1,709
15 San Antonio $1,688
16 Austin $1,627
17 Carrollton $1,615
18 Fort Worth $1,604
19 Corpus Christi $1,588
20 El Paso $1,584
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Price information shown is comparative as specific Dallas zip code can impact prices significantly.

The type of vehicle you are buying coverage for is a large factor that determines the availability of cheap car insurance for homeowners. Vehicles with high performance, poor crash test ratings, or a track record of large liability claims will cost substantially more to insure than more economical and safe models. The list below ranks insurance costs for the most affordable vehicles to insure in Texas.

Cheapest Vehicles to Insure in Dallas, TX
Vehicle Insured Estimated Cost for Full Coverage
Chevrolet Silverado LS Regular Cab 4WD $1,343
Honda CR-V LX 2WD $1,404
Honda Accord EX 4-Dr Sedan $1,410
Jeep Grand Cherokee Laredo 4WD $1,446
Chevrolet Equinox LT AWD $1,454
Chevrolet Impala LT $1,446
Jeep Wrangler Sport 4WD 2-Dr $1,456
Dodge Grand Caravan Crew $1,474
Hyundai Elantra GLS Touring Station Wagon $1,502
Honda Odyssey Touring $1,549
Toyota Prius $1,552
Ford Explorer XLT 4WD $1,575
Ford F-150 FX2 Super Cab 2WD $1,581
GMC Sierra 3500HD SLT Extended Cab 2WD $1,577
Ford Escape Limited 4WD $1,630
Ford Edge SE AWD $1,638
GMC Sierra Denali Crew Cab 4WD $1,652
Toyota Camry Hybrid $1,655
Honda Civic LX-S 4-Dr Sedan $1,718
Ford Focus SE 4-Dr Sedan $1,740
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Data based on single female driver age 40, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Texas minimum liability limits. Discounts applied include safe-driver, homeowner, multi-vehicle, multi-policy, and claim-free. Estimates do not factor in Dallas, TX location which can decrease or increase coverage prices substantially.

By looking at the data, we can conclude that models like the Chevrolet Silverado, Honda CR-V, Honda Accord, Jeep Grand Cherokee, and Chevrolet Equinox are going to be a few of the more affordable vehicles to insure for people who own their homes.

Buying low-cost car insurance is confusing at best, and deciding which company offers the most affordable insurance rates for homeowners requires even more perseverance. Every auto insurer has a different process for establishing rates, so first we will examine the insurance companies that tend to have lower prices in Dallas.

Best Auto Insurance Prices for Homeowners

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Texas car insurance ranked by cost per year
Rank Company Cost Per Year
1 Travelers $1,052
2 USAA $1,095
3 Texas Farm Bureau $1,211
4 Germania Mutual $1,282
5 Esurance $1,421
6 California Casualty $1,438
7 State Farm $1,450
8 Mercury $1,506
9 Safe Auto $1,549
10 Nationwide $1,553
11 Progressive $1,664
12 Allstate $1,667
13 Amica $1,705
14 Home State $2,071
15 GEICO $2,135
16 MetLife $2,183
17 Encompass $2,232
18 Unitrin $2,310
19 21st Century $2,421
20 Titan $2,646
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Travelers may offer some of the cheapest car insurance rates in Dallas at around $1,052 per year. USAA, Texas Farm Bureau, Germania Mutual, and Esurance also qualify as some of the lowest-priced Dallas, TX insurance companies.

In the rate table above, if you are a customer of Germania Mutual and switched to Travelers, you might achieve yearly savings of in the neighborhood of $230. Drivers with Esurance might save as much as $369 a year, and California Casualty insureds might realize rate reductions of up to $386 a year.

It’s important to note that these estimates are averaged for all types of insureds and vehicles and do not factor in an exact vehicle garaging location for homeowners. So the car insurance company that fits you best may not even be in the top 23 companies shown above. That affirms the importance of why you need to get rate quotes from many companies using your own specific driver information and vehicle.

Choosing a high-quality auto insurance provider can be challenging considering how many choices there are in Texas. The company ratings shown below could help you choose which auto insurers you want to consider comparing rates with. The ratings below are for companies that insure vehicles nationwide, so smaller companies are not factored into the list.

Top Ten Insurance Companies for Homeowners in Texas
Company Value Customer Service Claims Customer Satisfaction A.M Best Rating Overall Score
Travelers 93 98 99 88% A++ 95.1
USAA 83 99 100 91% A++ 94.1
Mercury Insurance 97 96 88 89% A+ 93.4
AAA Insurance 91 95 92 90% A 93.3
Nationwide 85 95 97 89% A+ 92.4
Allstate 77 100 97 88% A+ 90.7
State Farm 80 94 96 88% A++ 90.6
The Hartford 88 93 91 87% A+ 90.4
Safeco Insurance 91 95 85 88% A 90.2
Progressive 88 94 83 88% A+ 90.1
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Data Source: Insure.com Best Car Insurance Companies

How much more does full coverage cost?

Finding the cheapest insurance should be important to the majority of vehicle owners, and one way to buy cheaper insurance for homeowners is to only buy liability insurance. The diagram below illustrates the comparison of yearly insurance costs with and without physical damage coverage. The prices are based on no violations or accidents, $100 deductibles, marital status is single, and no policy discounts are applied.

If we average the cost for all age groups, comprehensive and collision coverage on your policy costs $2,922 per year more than insuring for liability only. That is a large expense which might make you wonder when is the right time to remove full coverage. There is no definitive rule that is best for determining when to drop physical damage coverage, but there is a general convention. If the annual cost of coverage is more than 10% of the vehicle’s replacement cost less your deductible, then you might want to consider buying only liability 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 totaled in an accident, the most you would get paid by your company is $4,000 after paying the physical damage deductible. If premium cost is more than $400 annually for full coverage, then you may need to consider dropping full coverage.

There are some scenarios where removing full coverage is not in your best interest. If you haven’t satisfied your loan, you are required to maintain full coverage to satisfy the loan requirements. Also, if you can’t afford to buy a different vehicle if your current one is in an accident, you should not opt for liability only.

Get discount Dallas car insurance

Cheaper Dallas, TX insurance for people who own their homesAuto insurance companies that offer coverage for homeowners may also provide special discounts that could potentially reduce rates by 25% or more if you are eligible. Larger insurance companies and some of the discounts are included below.

The chart below visualizes the comparison of insurance prices with and without discounts applied to the policy premium. The rates are based on a male driver, no accidents or driving violations, Texas state minimum liability limits, full coverage, and $100 deductibles.

The first bar for each age group shows the average rate with no discounts. The lower bar shows the rates with marriage, safe-driver, accident-free, anti-theft, defensive driving course, and multiple vehicle discounts applied. In this example, the average yearly reduction on insurance for homeowners is 28% or $601.

The importance of shopping around

Dallas insurance rates are based on many factors which can substantially decrease or increase the price you pay. Simply getting older, moving across town, or having an at-fault accident may cause policy rate changes that may make certain companies more affordable than others. Not only may things change on your end, but insurers file new Texas car insurance rates as needed in order to be able to pay unexpected claims. An unexpected high level of claims may cause increased policy costs, while a better claims history may cause lower-priced Dallas car insurance rates.

For example, the data below shows the company with the cheapest car insurance in Dallas, TX for a 30-year-old female driver with a clean driving record, no accidents, and excellent credit. If we estimate prices based on her current rating profile, Travelers quotes the best car insurance rates in Dallas at $1,282 annually. This is $622 less than the average policy premium paid by Texas drivers of $1,904. USAA, Texas Farm Bureau, Germania Mutual, and California Casualty are also included in the cheapest Dallas, TX auto insurance companies.

The example below compares rates after we give the driver in the first chart some claims, slightly worse credit, and an imperfect driving record. Because each insurer has their own guidelines for determining prices, analyzing rates could result in a new list of companies as shown below.

State Farm now has the best car insurance rate in Dallas, TX with Mercury, USAA, Safe Auto, and Nationwide also being competitive. This example demonstrates why it is important to perform an extensive rate comparison to get the most budget-friendly insurance quotes for homeowners.

Insurance rates can be determined by many risk factors and change substantially, so the best company when you last compared rates may now be priced much higher than other options.