Although residents of the Lone Star State are typically pleased with everything being bigger in Texas, the unfortunate fact is that homeowners insurance in Texas tends to be a little larger than life as well. To figure out why the average homeowners insurance in Texas rates tend to be higher than others, however, it’s important to keep in mind that Texas policies are about as unique as the state is; forms you may find are standard in other states are replaced with different policies in this state. As such, it’s important to examine these different unique policies and compare different companies to ensure you receive the best value for your home.
Why Homeowners Insurance in Texas is Different
In the United States, it is most common to have the standard HO-3 insurance policy for your home with most providers. In some cases, you might even know about the HO-1 coverage for convenient affordability of the HO-8 to help protect an older home.
Homeowners insurance in Texas varies quite a bit more. To start, there is the HO-A policy, which costs the least and naturally offers the least coverage for a home. The HO-B offers significantly more coverage, and the rare HO-C policy offers the greatest coverage at more costly rates. It is also possible to get an HO-A amended policy to help bridge the gap between the HO-A and HO-B policies without paying a huge premium.
Comparing Homeowners Insurance Texas Rates
Because the policies in Texas are much more different than homeowners insurance in other states, it is often difficult to adequately and fairly compare rates to the nation. On average, it costs about $1,409 per year to have homeowners insurance in Texas; however, the average rates for insurance in other states appear to be significantly lower since it is not possible to get the common HO-3 in the state of Texas.
To provide an example, it costs about $937 to insure a home in California per year. It seems to be much cheaper and affordable, but those in California simply have different policy options available that aren’t in Texas, skewing the comparison.
Looking for Homeowners Insurance in Texas
Although it may be a bit confusing trying to shop for insurance in Texas with unique forms that differ from the rest of the country, there are a few core rules to follow while shopping around.
To start, when you compare policies and cost, be sure to look at the maximum amount that the company will pay should damage occur, the dangers that would be covered, and the amount that you’ll need to pay out of your own pocket before the policy kicks in, known as the deductible.
Getting a low deductible, high coverage limits and more dangers that are covered will make your homeowners insurance in Texas more costly, paying a higher overall premium. On the other hand, getting homeowners insurance in Texas with a high deductible, few perils covered and lower maximum amounts reduces how much you pay in a year.
Cities with Cheapest Homeowners Insurance in Texas
For the most part, while cities with cheaper Texas insurance follow little pattern spread around the state, all of the ones on the list are generally a safe distance from the tropical storms and hurricanes of the Gulf of Mexico. They’re also not too far north, which is known for tornadoes.
Cheap Cities for Homeowners Insurance in Texas
On the border to Mexico opposite Juarez, El Paso is mere minutes from New Mexico. It was recently listed as the safest large city for families, and now it even has the cheapest homeowners insurance in Texas; paying about half the average of the nation, El Paso residents pay about $824 per year.
Another city praised for a family setting, Round Rock sits about 20 miles north of Austin and offers some of the most affordable homeowners insurance in Texas. Second only to El Paso, residents of Texas’ sports capital pay $919 per year.
The U.S. Census Bureau noted San Marcos as the fastest growing city in 2013 and 2014, resting 10 miles north of Round Rock and 50 miles outside of San Antonio. Annual insurance rates in San Marcos are about $963 per year, which is 41 percent cheaper than Texas on average.
Additional Cheap Cities for Homeowners Insurance in Texas
- College Station: $1,018 per year
- Killeen: $1,032 per year
- Austin: $1,036 per year
- Laredo: $1,117 per year
- San Antonio: $1,152 per year
Most Costly Homeowners Insurance in Texas
While the above cities are a bit more favorable, there are some cities that pay more than 50 percent more for homeowners insurance in Texas than other state residents.
Known for its friendly population, Needville sports fewer than 3,000 residents. Regardless of this, Needville residents are stuck paying $2,569 per year to ensure their homes — that’s 57 percent higher than the state average.
A port city that sparkles by the sea, Corpus Christi is the eighth largest of the state. However, because it’s so close to the sea, it’s more likely for homes to become flooded by a tropical storm or worse; homes are susceptible to falling apart in hurricanes. Because of this, residents can expect to pay about $2,509 per year for homeowners insurance in Texas.
A whole 50 miles southeast of Houston, Galveston is another port city that is home to the Carnival Cruise ships Magic, Triumph, Ecstasy and Conquest as well as the Mariner of the Seas. Because of its port location, residents tend to pay $2,384 per year for homeowners insurance in Texas.
Seeking Discounts for Homeowners Insurance in Texas
Just like with other states, it is possible to get discounts on premiums for homeowners insurance in Texas. It is possible to get your insurance costs lowered in the following situations:
- You don’t make a claim for many years
- You are 55 years or older
- You install a monitored security system in the home
- You install smoke detectors and similar hazard prevention equipment
- You improve your credit score
- You improve the property, including fireproof roofing, installing locks and updating the wiring
Reducing Rates and Quotes for Homeowners Insurance in Texas
Different policy providers will quote different rates for the same individual who is looking for the same policy for his own. In the state of Texas, quotes are an easy way to determine who offers lower rates for the most coverage.
Thanks to the Internet, you no longer need to manually contact individual companies and write down quotes in a lengthy process. By taking advantage of technology, you can simply provide your zip code and answer a few brief questions to immediately receive quotes from a variety of different providers; the time you save frees you up to see which insurance provider offers a policy that fits your specific needs.