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The average home insurance cost in Texas is $286 per month, based on an Insurance.com rate analysis. That’s $94 more than the national monthly average of $192. Despite the higher cost, you can still get affordable home insurance in Texas by comparison shopping.

In this guide, you will find everything you need to know about Texas homeowners insurance. You’ll find the average cost of coverage in Texas for homeowners insurance by company, ZIP code, and coverage level, as well as expert tips for determining how much coverage you need.

KEY TAKEAWAYS
  • The average cost of home insurance in Texas is $3,429 annually for dwelling and liability coverage of $300,000.
  • Texas homeowners should consider coverage for tropical storms and other risks before buying a home insurance policy.
  • If homeowners in Texas have trouble getting homeowners insurance, the Texas Fair Plan Association (TFPA) can help.

What is the average cost of homeowners insurance in Texas?

The average cost of home insurance in Texas is $3,429, making Texas the fifth most expensive state in the country for home insurance. Its average cost is $1,124, or 49%, more than the national average of $2,305, for the coverage level of:

  • $300,000 dwelling coverage
  • $1,000 deductible
  • $300,000 liability

When buying a home insurance policy, you will need to decide the coverage amount for the following:

  • Dwelling
  • Liability
  • Medical payments

You normally don’t have to choose the limits below. Instead, they are set as a percentage of your dwelling coverage.

  • Other structures – 10%
  • Personal property – 50%
  • Loss of use – 20%

When shopping for homeowners insurance, the type of coverage you choose will have an impact on your rates. Texas homeowners have a few special considerations when buying a homeowners insurance policy. It's important to know about common causes of loss to have the appropriate coverage types.

Here is the average annual cost of home insurance in Texas for dwelling coverage of $200,000, $300,000, $400,000, $500,000, $600,000 with $1,000 deductible and liability coverage of $100,000 and $300,000.

Coverage level Average annual rate
$200,000 with $1,000 Deductible and $100,000 Liability$2,923
$200,000 with $1,000 Deductible and $300,000 Liability$2,940
$300,000 with $1,000 Deductible and $100,000 Liability$3,412
$300,000 with $1,000 Deductible and $300,000 Liability$3,429
$400,000 with $,1000 Deductible and $100,000 Liability$3,642
$400,000 with $1,000 Deductible and $300,000 Liability$3,648
$500,000 with $1,000 Deductible and $100,000 Liability$4,024
$500,000 with $1,000 Deductible and $300,000 Liability$4,040
$600,000 with $1,000 Deductible and $100,000 Liability$4,267
$600,000 with $1,000 Deductible and $300,000 Liability$4,275

How much is home insurance in Texas per month?

How much is homeowners insurance in Texas per month? Based on Insurance.com's rate analysis, the average home insurance cost in Texas is $286 per month. This rate is for $200,000 in dwelling coverage with a $1,000 deductible and $100,000 of liability protection. The table below shows the average Texas home insurance rates per month for various coverage limits.

Coverage level Average cost per month
$200,000 with $1,000 Deductible and $100,000 Liability$244
$200,000 with $1,000 Deductible and $300,000 Liability$245
$300,000 with $1,000 Deductible and $100,000 Liability$284
$300,000 with $1,000 Deductible and $300,000 Liability$286
$400,000 with $,1000 Deductible and $100,000 Liability$303
$400,000 with $1,000 Deductible and $300,000 Liability$304
$500,000 with $1,000 Deductible and $100,000 Liability$335
$500,000 with $1,000 Deductible and $300,000 Liability$337
$600,000 with $1,000 Deductible and $100,000 Liability$355
$600,000 with $1,000 Deductible and $300,000 Liability$356

Average home insurance cost by ZIP code in Texas

Insurance.com analyzed home insurance rates from major insurance companies in nearly every ZIP code in Texas.

ZIP code 77455 in Louise is among the most expensive places to insure a home in Texas, topping out at an average of about $5,900. That’s over $4,760 more than in Anahuac, the cheapest neighborhood in the state for home insurance.

For $300,000 dwelling coverage with a $1,000 deductible and $300,000 liability limits, the average rate of $5,911 for ZIP code 77455 is the highest for the Lone Star state. ZIP codes for Anahuac, Angleton, and Clute, with rates ranging from $1,148 to $1,239, are among the cheapest Texas home insurance rates by ZIP code.

Compare rates by ZIP code using the calculator below.

Texas home insurance calculator

By entering your ZIP code in the homeowners insurance calculator below, you’ll see the average home insurance rate for that area and the highest and lowest premiums fielded from major insurers. This will give you an idea of how much you can save by shopping around.

For example, the highest rate ($6,560) for Houston ZIP 77504 is $1,355 more than the lowest ($5,205). You can save nearly $1,400 by comparing rates and shopping around. Rates are for coverage of $300,000 with a $1,000 deductible and $300,000 liability limits.

HOME INSURANCE CALCULATOR

Average home insurance rates in CALIFORNIA

$200,000
$1,000
$100,000
94404 - Foster City
Dwelling $200,000, Deductible $1,000 and Liability $100,000.

AVERAGE RATE: $669

HIGHEST RATE: $1,029 LOWEST RATE: $443

Most & least expensive zip codes for homeowners insurance in California

Most Expensive

Zip CodeCityHighest Rate
92561Mountain Center$1,031
90210Beverly Hills$1,029
90069Los Angeles$1,020
90046Los Angeles$1,011

Least Expensive

Zip CodeCityLowest Rate
93445Oceano$606
93117Goleta$607
93111Goleta$610
93433Grover Beach$615

Average home insurance rates for largest cities in Texas

The following are average rates for some of the state's largest cities for a policy with $300,000 dwelling coverage, a $1,000 deductible, and $300,000 in liability protection.

  • Houston -- $4,363
  • San Antonio -- $2,944
  • Dallas -- $3,876
  • Austin -- $2,862
  • Fort Worth -- $3,739
  • El Paso -- $2,361
  • Arlington -- $3,953

Most home insurance policies come with $100,000 in personal liability insurance but this is rarely enough coverage. The cost to defend a lawsuit or to pay for medical expenses for a serious injury can easily exceed that amount. Most experts recommend upping your limits to at least $300,000.

Medical payments pays for injuries to guests in your home but differs from liability in that it applies to injuries regardless of who is at fault. It is for minor incidents, with much lower coverage limits than liability insurance. Medical payments coverage is typically for $1,000 or $5,000.

Cheapest homeowners insurance in Texas by coverage level

The following home insurance rates are categorized by company for six coverage sets. Based on our rate analysis, you’ll see Texas Farmers, Farmers Insurance Exchange, Nationwide, and USAA were among the cheapest home insurance companies in Texas.

Company$200,000 dwelling/$1,000 deductible/$100,000 liability
Texas Farmers$2,422
Farmers Insurance Exchange$2,425
Nationwide General Insurance$2,555
USAA$2,654
Travelers$2,763
Allstate Vehicle Property$2,952
Safeco$2,988
State Farm$3,569
Foremost$3,757
Company$200,000 dwelling/$1,000 deductible/$300,000 liability
Texas Farmers$2,435
Farmers Insurance Exchange$2,437
Nationwide General Insurance$2,576
USAA$2,654
Travelers$2,790
Allstate Vehicle Property$2,976
Safeco$2,996
State Farm$3,579
Foremost$3,774
Company$300,000 dwelling/$1,000 deductible/$300,000 liability
Texas Farmers$2,690
Safeco$3,023
Farmers Insurance Exchange$3,045
Nationwide General Insurance$3,233
Travelers$3,305
USAA$3,325
Allstate Vehicle Property$3,496
State Farm$3,805
Foremost$3,995
Company$400,000 dwelling/$1,000 deductible/$300,000 liability
Safeco$2,653
Texas Farmers$2,806
Travelers$3,348
Nationwide General Insurance$3,469
Farmers Insurance Exchange$3,597
Allstate Vehicle Property$3,653
USAA$3,798
State Farm$4,037
Company$500,000 dwelling/$1,000 deductible/$300,000 liability
Texas Farmers$2,838
Safeco$3,070
Travelers$3,345
Allstate Vehicle Property$3,712
Nationwide General Insurance$3,769
State Farm$4,062
USAA$4,157
Farmers Insurance Exchange$4,164
Company$600,000 dwelling/$1,000 deductible/$300,000 liability
Texas Farmers$2,779
Safeco$3,404
Travelers$3,655
Allstate Vehicle Property$3,990
Nationwide General Insurance$4,044
Farmers Insurance Exchange$4,290
USAA$4,370

Best home insurance companies in Texas

Cheap home insurance is often a big priority, especially when you’re on a budget. But sometimes cheaper isn’t better. It’s important to look at other features such as a carrier’s speed at paying out claims, the types of coverage offered, what type of customer service is available, and more.

Insurance.com's 2021 best homeowners insurance report ranked major insurers on feedback from 3,700 customers. They were asked about the value for the price, customer service, claims service, and if they’d recommend the company. Based on the responses, the following Texas home insurance companies ranked as the best in the state. You can see that the top five home insurance companies in Texas are not far from each other in the rankings.

Here are how home insurance companies in the Texas region ranked overall. Scores are out of 5.

CompanyScore
USAA4.5
American Family4.5
Safeco4
Allstate4
State Farm4
AIG4
Nationwide4
Auto-Owners4
Travelers4
Farmers3.5
Erie3.5
Liberty Mutual3.5
Progressive3.5
Hartford3.5
Chubb3

It should be noted that while USAA ranked as the top insurer, it offers coverage only to military members, veterans and their families.

Texas home insurance discounts

There are several ways to reduce your Texas home insurance costs. Bundling your home and auto, for example, can cut your costs by 18% on average, according to Insurance.com's analysis of the best home insurance discounts.

You can also cut your costs by making your home more disaster-resistant and by doing upgrades. Installing a new roof, updating wiring or plumbing, and installing hurricane glass or accordion shutters might net you a discount.

Other common discounts include:

  • Installing smoke detectors, dead-bolt locks, and having a fire extinguisher (5%)
  • Installing a sprinkler system or a fire and burglar alarm (15%)
  • Loyalty discounts (5-8%)

How deductibles affect your insurance rate

A deductible is the amount of money you pay before your insurance company pays out on a claim. For example, if your home sustains damage of $3,000 and you have a $500 deductible, you pay the first $500, and your insurer pays $2,500.

Some deductibles are a flat dollar amount. Others are a percentage of your home's dwelling coverage. If your home is insured for $200,000 and your deductible is 2%, you will owe $4,000 before insurance coverage kicks in.

You typically choose your home insurance deductible amount, which applies to claims for damage to your home or belongings, but not if you’re sued or a medical claim is filed by someone injured in your home. Deductibles typically range from $500 to $2,500.

Understanding the implications of the deductible you choose when buying homeowners insurance is important. A higher deductible means you'll save more on insurance premiums.

The savings can be significant. Michael Barry, a spokesman for the Insurance Information Institute, a trade group, says that most insurers recommend a deductible of at least $500, which may be ok for you. But raising that to $1,000 will save as much as 25% on your policy, according to the Insurance Information Institute (III). Of course, that's $1,000 out of your pocket if there are major problems, so it's a bit of a balancing act.

Dwelling coverage, liability, and medical payments limits

When buying home insurance, you should insure your home based on its replacement cost, which is the amount you need to rebuild it if damaged or destroyed, and not its market value, which is what you could sell your home for in its current condition. Replacement cost offers more protection because the cost of building a home often exceeds its market value.

The dwelling coverage portion of your policy should equal or exceed the replacement cost of your home. Using online calculators or hiring an appraiser to give you a replacement cost valuation will save you time.

Liability insurance applies to incidents in which you’re at fault for damages to a guest in your home or on your property. It covers medical expenses, as well as damage caused to neighbors’ property. Personal liability also covers legal fees if you are sued, as well as any resulting judgments from a lawsuit, up to your policy limits.

Texas home insurance FAQs

Is home insurance expensive in Texas?

Though many factors will affect what you pay, in general, home insurance in Texas costs more than in many other states. Texas home insurance rates are 49% higher than the national average.

Do I need windstorm and hail insurance in Texas?

Not all perils are automatically covered by a homeowners insurance policy — and if they are, there may be limits. Texas has a high incidence of hurricanes and hail storms, making it a good idea to consider adding additional coverage.

In Texas, 14 coastal counties or parts of Harris County on the Galveston Bay are prone to windstorms (including hurricanes) and hail damage. The counties are Aransas, Brazoria, Calhoun, Cameron, Chambers, Galveston, Jefferson, Kennedy, Kleberg, Matagorda, Nueces, Refugio, San Patricio, and Willacy.

The Texas Windstorm Insurance Association (TWIA) is a state-sponsored group that serves as the insurer of "last resort" for these areas. It provides coverage for wind and hail damage only.

What is a hurricane deductible?

Texas is one of 19 states with a hurricane deductible. Texas law states that a windstorm deductible applies to windstorm or hail damages from any type of wind, not just named storms.

This type of deductible is separate and is not a flat rate. Costs typically range from 1% to 5% of a home’s insured value and can be even higher in coastal areas.

How do I buy flood insurance in Texas?

Flood insurance is usually optional. However, it’s essential for many Texas residents. Storm surge is a major threat to homeowners who live on the Texas coast.

The National Flood Insurance Program (NFIP) was created to provide property owners with flood insurance that is typically not covered under standard policies. Texas homeowners who live in flood-prone areas, like coastal communities, may need to buy this protection, which they can get through most standard insurance companies.

Do I need earthquake insurance in Texas?

While you don’t need earthquake insurance, it’s an inexpensive option because earthquakes are relatively rare in the state. Standard home insurance doesn’t cover earthquakes.

Of the more than 100 earthquakes in Texas large enough to be felt in the past century, only five caused significant damage, according to the University of Texas.

What if I have trouble getting home insurance in Texas?

The Fair Access to Insurance Requirements (FAIR) Plan is a state-mandated program that can provide insurance for individuals who are having trouble protecting their property because insurers consider them high risk. In Texas, the Texas Fair Plan Association (TFPA) provides homeowners insurance when no one else will.

Can my insurance company cancel or non-renew my insurance?

An insurer cannot cancel a homeowners policy after 60 days of purchase except in specific circumstances, such as fraud or nonpayment. If you paid premiums in advance, they must be returned to you.

As for nonrenewal, a company must give you at least 30 days written notice before your policy's expiration. If the company fails to notify you, it must renew the policy.

How do I file a complaint about a Texas insurance company?

If you have a dispute that you cannot resolve, you can file a complaint with the Texas Department of Insurance. To file a complaint, use the Texas Department of insurance (TDI) online complaint system. The system allows you to attach up to 24 pages of supporting documents.

If you have questions, call the TDI Help Line at 800-252-3439 from 8 a.m. to 5 p.m. Central time.

Methodology

Insurance.com commissioned Quadrant Information Systems in 2021 to field home insurance rates from major insurers in each state for nearly all ZIP codes in the country for 10 coverage levels based on various dwelling and deductible limits. The homeowner profile is a 35-year-old married applicant with an excellent insurance score and based on a new business HO-3 policy for a house built in 2000 with frame construction and composition roof. Other Structures: 10%. Loss of Use defaulted: 10%. Personal Property defaulted: 50%. Guest Medical limit: $5,000. Personal property: 50% of dwelling coverage for actual cash value.

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