Understanding How Homeowner’s Insurance Works in Texas

There’s a lot of great things about living in Texas. It’s one of the most unique states in the US. Texas always has, and probably always will, have it’s own way of doing things. It’s one of the biggest reasons to live in the state. At the same time though, it does mean that one can often be caught off guard with some issues. Homeowner’s insurance is the perfect example. There’s a few points which anyone living in Texas needs to understand. It works in a similar way to most of the country. But there’s a few uniquely Texan quirks to the system.


One of the first differences which homeowners will notice is the naming scheme. Outside of Texas, insurance policies are typically labeled with an H and a numerical value. For example, H-3 is considered an average level policy. In Texas, the policies use a slightly different naming scheme. An H-3 elsewhere has a rough match with the HO-B in Texas. Though even here there’s some room for debate. Differences in what is covered might also make the HO-A amended policy somewhat closer to the national H-3 level. This is also what makes comparisons between Texas and other areas so difficult. Homeowners insurance Houston quotes always have to be looked at in a specific context. It’s easy to say that a policy is more or less expensive in areas where a direct comparison can be made. With Texas, it’s often like comparing apples and oranges. This can be best seen by taking a look at some solid numbers. Obviously these values will go up and down on a yearly basis. But they can be taken as a rough estimate of what one can expect. The average rate of homeowner’s insurance on a national level will typically run around the lower end of $900. This is for an HO-3 policy. In Texas, the average is closer to $1,500. And this is where the complicated nature of the comparison can really be seen. Because one can’t compare HO-3 to HO-3. Instead one has to compare based on rough estimates of feature sets. This places some people in a better or worse position than their neighbors a state over.

That said, Texas homeowners insurance rates are usually going to be higher than in other areas. It doesn’t mean that one needs to accept unfair prices though. There’s quite a few ways to lower the general price of homeowner’s insurance. One of the easiest methods is to simply have a good credit score. This can be the absolute easiest way to improve one’s insurance rates. If you start out with a good credit score, it means that you’re probably going to get a discount without really needing to do anything. Of course things aren’t going to be as easy if one isn’t actually starting out with a good credit score. Improving credit can take a while, and insurance is something that really can’t be put off for very long. Still, it’s always a good idea to work on one’s credit score. Even if it’s not an immediate asset, it will always help in the long term.

Working to improve the value of a home can also improve insurance rates. Security systems will show that you’re working to take care of your home. People often take that to mean that they need a really elaborate system to get a discount. In reality, it can be as simple as demonstrating that you have smoke detectors. Every little bit can help. Though the best way to ensure a good rate is by actually asking for Texas insurance quotes. People often spend so much time worrying about their insurance options that they don’t get a quote. Afterward, one can work on getting a better rate. But the journey really needs to begin with actual communication with companies offering the insurance.