(800) 253-1482Texas Has 5th Highest Home Owners Insurance Cost in US
Summary: Home insurance in Texas can be pricey, but you’ve got options. With an average cost of $2,455 a year, it’s important to understand the risks where you live. A little planning now can help you find the right coverage and feel confident that your home is protected. Estimated Read Time: 4 mins
Table of Contents:
- Average Cost of Home Insurance in Texas by City
- What Are the Basic Home Insurance Coverages in Texas?
- Windstorm Coverage in Texas: What You Need to Know
- Other Common Causes of Home Insurance Loss in Texas
The average home owners insurance cost in Texas is $2,455, which makes Texas the fifth most expensive state in the country to insure your house, behind other states, such as Oklahoma and Louisiana.
When comparing insurance companies, Texas residents may find that rates differ greatly from company to company for the same level of coverage.
Higher-priced policies may include coverage add-ons or have higher limits than other plans, or they may cost more simply because that insurer charges more for coverage in that particular location.
The average cost of homeowners insurance in Texas will also differ considerably based on the amount of insurance you have for your home. Below are the average homeowners insurance quotes for five different levels of coverage:
| Coverage Amount | Average Cost |
| $100,000-$200,000 | $1,612 |
| $200,000-$300,000 | $1,814 |
| $300,000-$400,000 | $2,230 |
| $400,000-$500,000 | $2,643 |
| Greater than $500,000 | $3,343 |
Average Cost of Home Insurance in Texas by City
Insurance companies will also price policies differently based on where you live. We found that the Gulf Coast city of Pasadena has the highest rates in the state, with a $2,999 average annual premium for $100,000-500,000 in coverage. The city with the cheapest rates in the Lone Star State is El Paso, with an average annual premium of $738 for the same amount of coverage.
| City | Average Cost |
| Amarillo | $2,158 |
| Arlington | $2,647 |
| Austin | $1,419 |
| Brownsville | $1,952 |
| Corpus Christi | $2,675 |
| Dallas | $2,253 |
| El Paso | $938 |
| Fort Worth | $2,712 |
| Frisco | $2,328 |
| Garland | $2,395 |
| Grand Prairie | $2,566 |
| Houston | $2,205 |
| Irving | $2,411 |
| Killeen | $1,219 |
| Laredo | $1,409 |
| Lubbock | $1,967 |
| Mckinney | $2,110 |
| Pasadena | $2,999 |
| Plano | $2,611 |
| San Antonio | $1,291 |
We selected the 20 largest cities in Texas by population. Quotes are based on a coverage amount between $100,000 and 500,000.
What Are the Basic Home Insurance Coverages in Texas?
At the core of any basic home insurance policy (HO-3), you’ll receive protection for your home’s structure, but there’s also a lot more that goes into it.
Home insurance policies protect your dwelling, other structures on your property, personal belongings, and can even protect you from liability.
Because Texans are protected from so much by their policies, this is one of the main reasons the Lone Star State has some of the highest home insurance costs in the United States.
Windstorm Coverage in Texas: What You Need to Know
In most of East Texas, insurance companies provide wind and hail coverage by charging you a separate wind and hail deductible.
If your home incurs wind or hail damage from a thunderstorm, tornado, or tropical storm, you pay that separate deductible before the insurance company pays out for a loss.
But in certain high-risk coastal communities of Texas, namely Gulf Coast counties, wind and hail coverage may be excluded altogether for certain homes.
If windstorm damage is excluded from your policy, you’ll need to find separate windstorm insurance to supplement that gap in coverage. That’s where the Texas Windstorm Insurance Association (TWIA) comes in.
Texas Windstorm Insurance Association
To qualify for a TWIA policy, applicants must have been rejected by at least one private insurer. The TWIA offers windstorm insurance in 14 coastal counties and parts of Harris County. Here’s a list of the other TWIA-eligible counties across Texas:
- Aransas
- Brazoria
- Calhoun
- Cameron
- Chambers
- Galveston
- Jefferson
- Kenedy
- Kleberg
- Matagorda
- Nueces
- Refugio
- San Patricio
- Willacy
If you need to get a TWIA policy, be sure you get coverage in advance of hurricane season, as it’s not uncommon for insurers and surplus line carriers to put a moratorium on coverage after a certain date.
Other Common Causes of Home Insurance Loss in Texas
In addition to hurricanes and tornadoes, Texas also faces a high risk of wildfires, ranking second in the nation for wildfire frequency, according to the Insurance Information Institute.
If you live in a wildfire-prone area, it’s important to make sure your dwelling coverage is enough to fully rebuild your home if disaster strikes.
You might also want to consider adding extended replacement cost or guaranteed replacement cost coverage to better protect your investment.
The Lone Star State is no stranger to earthquakes either. Homes located near fault lines, such as the Balcones Fault in central Texas, may be especially vulnerable.
Earthquake damage typically isn’t covered under standard homeowners policies, so it’s worth asking your agent about adding this coverage.
If your current insurer doesn’t offer it, they can guide you to a carrier that does, whether through a specialty provider or an endorsement from a larger insurer like USAA.
Furthermore, if you’re looking for additional guidance, the Texas Department of Insurance offers a wealth of resources for homeowners.
From tips on choosing the right coverage to preparing for severe weather, their website can help you make informed decisions about protecting your home.
While Texas offers incredible places to live, its unique risks play a big role in making home insurance costs some of the highest in the nation.
Understanding these risks—and making sure you have the right coverage in place—is one of the smartest ways to protect your home, your finances, and your peace of mind.
