A Texas homeowners insurance policy will pay to repair or replace structural and personal property damage caused by an event covered in your policy, along with any liability claims made against you.
To help you find affordable options that will provide the right amount of coverage for your home, the This Old House Reviews Team created this guide on three top-rated home insurance companies in Texas. Keep reading to learn which companies offer the best homeowners insurance in the Lone Star State.
Texas’ Top 3 Homeowners Insurance Companies
The highest rated home insurance companies in Texas include:
We ranked Texas home insurance providers based on customer service, coverage options, prices, discounts, and endorsements. These are the three home insurance companies that came out on top.
Allstate offers nine discounts to homeowners to help bring down the cost of their premiums. Like other companies, Allstate has standard discounts for bundling policies, being claims-free, and using auto pay. You can also save through Allstate if you’re 55 and retired, a homebuyer, or if you sign your policy early. All of these benefits played a part in making Allstate our pick for the best home insurance company in Texas. Get your free Allstate Quote here.
Pros & Cons of Allstate
|✔ More endorsements than Amica and Lemonade||✘ Customers must talk to an agent to get a quote in some states|
|✔ Provides 24/7 customer service||✘ More expensive than Amica and Lemonade|
|✔ Offers a unique endorsement to protect your home’s yard and garden||–|
Customize your Allstate policy with the following endorsements:
- Roof surfaces extended coverage
- Water backup
- Green improvement reimbursement
- Extended coverage on jewelry, watches, and furs
- Identity theft restoration
- Claim rate guard
- Yard and garden
- Scheduled personal property
- Electronic data recovery
- Business property
- Musical instruments
Lemonade is the cheapest provider listed in this review. Our team received a quote for a single-family, 2,200-square-foot home in Eureka, California, that came out to $61, which is lower than the national average of about $101 per month. To find out how much homeowners insurance in Texas would cost through Lemonade, use the tool below:
Pros & Cons of Lemonade
|✔ Has a giveback program that donates unused policy money to charities||✘ Doesn’t provide other structures coverage|
|✔ Offers customizable endorsements for valuable items, like jewelry and artwork||✘ Relatively new to the industry|
|✔ Provides online customer service with a portal, mobile app, and chat function||–|
Here’s a list of Lemonade’s endorsements:
- Fine art
- Musical instruments
- Earthquake coverage
- Significant other
- Water backup
- Swimming pool liability
To get a free quote and see if you’re eligible for a policy starting as low as $25 a month, visit the company’s website.
Amica® offers more liability coverage options than Allstate and Lemonade. While Allstate’s and Lemonade’s coverage stays between $100,000–$500,000, Amica has a much larger range with $25,000 to $1 million of coverage available.
Pros & Cons of Amica
|✔ Offers a 24/7 claims center, online chat, portal, and mobile app for customer service||✘ Fewer personal property options than Allstate and Lemonade|
|✔ Has a catastrophic coverage endorsement for Texas’ wide range of natural disasters||✘ Fewer endorsements than Allstate and Lemonade|
|✔ Provides up to 30% in savings for bundling home and auto insurance||–|
For an additional amount, you can add these endorsements to your policy:
- Water backup and sump overflow
- Identity fraud expense
- Dwelling replacement
- Personal property replacement
- Home business
- Catastrophic coverages
- Valuable items
Compare Homeowners Insurance Coverage Options
|Get a Quote||Not available through This Old House||Visit Site||Not available through This Old House|
|Other structures coverage limits||10% of dwelling||N/A||10% of dwelling|
|Personal property coverage limits||75% of dwelling||40%–79% of dwelling||60% or 75% of dwelling|
|Liability coverage limits||$25,000, $50,000, $100,000, $200,000, $300,000, $400,000, $500,000, $750,000, or $1 million||$100,000, $200,000, $300,000, $400,000, or $500,000||$100,000, $200,000, $300,000, or $500,000|
|Unique add-ons||Home business, catastrophic coverage||Significant other, swimming pool liability||Musical instruments, yard and garden|
|Customer service||24/7 for claims; limited for sales and service||Online||24/7|
*Based on sample quotes our team received
Texas Homeowners Insurance Coverage
There are six main areas of coverage in Texas homeowners insurance policies:
- Dwelling—This protects built-in elements of your home, like cabinetry, flooring, and heating and cooling systems. If an event destroys your home, this part of your policy will kick in to rebuild it. When searching for home insurance, make sure you purchase enough dwelling coverage to cover the complete cost of rebuilding your home.
- Other structures—If you have detached structures, like a fence or shed, this part of your policy will cover them. This coverage makes up about 10% of your dwelling coverage.
- Personal property—If an event damages your personal belongings, your policy will pay to replace them. You can either purchase an actual cash value policy that estimates your items based on their current value or a replacement cash value policy that estimates them based on their new value. Personal property coverage is at least 50% of dwelling coverage.
- Additional living expenses—If you have to temporarily leave your home for repairs, your policy will cover living expenses incurred during that time, like the cost of a hotel room or temporary rental. This is usually 20% of dwelling coverage.
- Liability—If you’re responsible for bodily injury or property damage, your provider will cover medical bills or replacement costs. A standard home policy has $300,000 of liability protection.
- Medical payments to others—Similar to liability coverage, your policy will pay for a guest’s medical bills if they’re injured in your home. We recommend getting at least $1,000 of protection per person.
How Much Does a Homeowners Insurance Policy Cost in Texas?
In 2017, homeowners insurance in Texas cost an average of about $1,893 for the year, according to the Insurance Information Institute. That put Texas well above the home insurance national average of $1,211 per year and made it the third-most expensive state for home insurance.
Factors to Consider Before Buying Homeowners Insurance
As you search for a Texas home insurance policy, keep the following factors in mind:
- Natural disasters—Texas is prone to a variety of natural disasters, including hurricanes, tornadoes, floods, and wildfires. Oftentimes, insurance providers won’t cover flood damage or other damage caused by natural disasters. If you live in a part of Texas that’s susceptible to them, consider buying an endorsement or separate insurance policy.
- Safety features—Most home insurance companies offer a discount for having safety features like smoke detectors, a fire extinguisher, or a security system in your home. If you want to save on a policy and further protect your home, consider installing some of these features.
- Lender requirements—If you received a loan from a lending institution to purchase your home, the lender will likely require you to insure your home. Check how much coverage they want you to have before purchasing a policy.
Personal information—If you’re a new homeowner, have a history of filing a lot of insurance claims, or have a credit score below 700, your insurance policy will likely cost more.
Frequently Asked Questions
What are the most expensive cities for homeowners insurance in Texas?
Larger cities like Dallas, Houston, Austin, and San Antonio have a more competitive housing market, leading to more expensive homes and insurance premiums. Because the eastern part of the state is rural, insurance rates there will most likely be cheaper.
Does crime affect homeowners insurance?
Yes. If you live in an area with a high level of crime, your home will be considered risky to insure because of the potential for damaging events like theft. You will have to buy a high-risk homeowners insurance policy, which may cost more than a standard policy.
Will a pet affect my homeowners insurance policy?
If you have a historically aggressive dog breed or your dog has a history of biting people, an insurance provider may choose not to cover your pet. If your insurance company chooses to protect your dog, they may increase your premium because of the likelihood that you would need to file a liability claim for your dog at some point during your policy term.
To share feedback or ask a question about this article, send a note to our Reviews Team at firstname.lastname@example.org.