Texas Home Insurance Rates

Higher Home Insurance Rates

Texas is among the top three states in the nation having the highest home insurance rates, accompanied by Florida and Louisiana. One of the reasons is the diverse weather patterns in these states.  Tornados, hurricanes and other destructive storms have caused insurance companies to suffer monumental losses.

Basic Home Insurance Information

As a general rule, home insurance rates are based upon certain factors about the dwelling and/or the owner, such as:

  • The original construction date
  • The basic material makeup of the structure: (Wood Frame, Stucco, Hardy Plank, Brick Veneer, Modular home, Mobile Home.)
  • Location of the dwelling
  • Insured’s claim history
  • Insured’s credit history
  • Coverage amount
  • Applicable deductible
  • Whether house, condo, rental, etc.
  • Availability of local fire protection

Texas home insurance policies are similar to those in other states.  Most insurance policies include the following:

Home replacement costs – if the dwelling is destroyed

Contents coverage – if the furnishings are damaged

Displacement – if the homeowner is temporarily displaced

Liability coverage – if someone is hurt on the property due to the homeowner’s negligence

Medical coverage – if a guest is hurt, not due to the homeowner’s negligence

Out building coverage – if adjacent structures are damaged

Please remember that policies vary greatly and that even if a policy contains all these categories, the amount of coverage for each subsection may vary substantially.

Types of insurance coverage are divided into two basic groups.

Comprehensive or all-risk policies cover every item and every possible type of loss, while Named-perils policies require that every item to be insured must be specified.  Some companies offer discounts if the home contains an impact and fire resistant roof, home security systems or fire extinguishers.  In addition some companies offer discounts if policies are grouped together and no claims have been made in the past three years.

Be Informed

The best procedure for any homeowner to follow in the search of Texas home insurance rates is research.  Anyone needing to obtain home insurance should compile a list of all the coverage types that are desired and the total coverage amount for each type that is being sought.  This information should be forwarded to a local agent to request for a quote.  One should research the reputation of the companies.  Most companies are reputable; unfortunately some are not.  Compare the coverage.  Don’t be fooled by lower prices on undesirable coverage, and don’t pay higher rates for comparable coverage.

Another important action would be to contact an independent agent.  This person can provide Texas home insurance rates for multiple companies comparing the coverage available and the rates thereof.  Also, the Texas Department of Insurance can provide additional information concerning Texas home insurance rates.

At the Roger Welch Agency, we can help Frisco homeowners find the protection they need, at the right price.  Visit our website today by clicking here.