Month: March 2015

Auto Insurance Rates in Texas on the Climb

There are a number of different variables that can impact the cost of auto insurance, and one of the consistent variables is the cost of repairing vehicles in the coverage area. According to a recent study analyzing premiums in the country, Texas is ranked number 17 in the United States as far as insurance premiums are concerned. Based on the information produced by the study, the rising cost of auto repairs is one of the primary causes in the rise of auto insurance in the state of Texas. You can get a great deal on your next insurance policy by visiting


The study, conducting by the National Association of Insurance Commissioners, reveals that the price of collision coverage — the component of the insurance coverage that is designated to pay for repairs after an accident — has been climbing in Texas for several years, and it is now ranked among the top 10 highest collision premiums in the nation.


When it comes to liability coverage, which has been the focus of advocates of laws that limit liability lawsuits — the state ranks 20th.


On average, motorists in the state of Texas pay $1,449 per year in auto insurance premiums, which is well above the national average of $1,101. Currently, Michigan has the highest insurance premiums at $2,476 per year. At present, 41 of the 50 states and the District of Columbia now have premiums that are over $1.000.


While the insurance rates continue to rise, there are some things that Texas drivers can do to lower the cost of their insurance. Although, they cannot control the cost of repairs, which is the key factor in the rising cost of insurance in Texas, drivers can significantly impact the cost of the liability element of their insurance policy. Liability is the one required auto insurance elements for all drivers. One way that drivers can lower the cost of the liability element of their auto insurance is by maintaining a clean driving record. Every violation that is added to a person’s driving record will serve to increase the cost of the auto insurance.


Drivers can also reduce the cost of their liability coverage by taking a certified defensive driving class on an annual basis. Additionally, many auto insurance companies will offer discounts for vehicles with theft detection and deterrent systems, so installing an electronic car alarm can also help to reduce the cost of auto insurance in Texas.


For individuals who are in the market for a new car, the car that is purchased will pay a significant role in determining the cost of auto insurance, because the value of the car will impact the value of the repairs.


When asked about the increasing cost of auto insurance in Texas, and across the U.S., an industry spokesman attributed the significant cost of collision coverage to the high percentage of uninsured motorist in Texas, as well as the increased prices charged by body and repair shops. The spikes in pricing are happening primarily in metropolitan areas like Dallas and Houston. There has also been a rising cost in auto parts, which has had a substantial impact on the overall cost of auto repairs, which has subsequently increased the cost of collision coverage and auto insurance in general. The cost of auto insurance in Texas has been creeping up for a number of years. Just five years ago, Texas was ranked in the middle of the pack as far as states go, and now it is in the 17th spot. Whether Texas will climb higher or not is yet to be seen. While the cost of auto insurance in Texas is still on the rise, all of the states in front of Texas are struggling with the same cost issues, so it is possible that Texas may not advance much further as far as ranking is concerned.