Updated: February 1, 2026
Advertising & Editorial Disclosure
State Farm is the best provider in Houston. The other top-rated home insurance companies for Houston homeowners are USAA, Chubb, Nationwide and Farmers.
According to our research, State Farm also offers the cheapest home insurance in Houston, with rates averaging $4,457 per year.
To find affordable home insurance in Houston, decide on your coverage needs, research companies and costs, and compare quotes from multiple insurers.
In Houston, State Farm ranks as the best home insurance company. We evaluated insurers based on affordability, coverage options and customer experience ratings to identify providers that offer the best value and service for Houston homeowners.
| State Farm | 4.69 | $371 | -53% |
| USAA | 4.92 | $518 | -34% |
| Chubb | 4.59 | $818 | 4% |
| Nationwide | 4.44 | $397 | -50% |
| Farmers | 4.38 | $764 | -3% |
*Rates are for a 2,500-square-foot home built in 2000, with $250,000 of dwelling coverage and a $1,000 deductible.
**Although USAA earned the highest score from our team, we ranked it No. 2 because coverage isn't available to all Houston residents.
Average Annual Premium
J.D. Power Customer Satisfaction Score
Number of Discounts
Home insurance in Houston costs $788 per month on average for a policy with $250,000 in dwelling coverage, 41% higher than the Texas average cost of $560. Houston homeowners pay higher premiums because of frequent hurricanes, severe storms and flooding risks. State Farm offers the lowest rates at $371 per month, saving Houston homeowners $417 monthly compared to the city average.
Home insurance rates in Texas depend on your coverage needs, credit score and claims history. State Farm consistently offers the most affordable rates across most Houston homeowner profiles, but costs vary based on your circumstances.
Finding quality, affordable home coverage in Houston is challenging. Here's a step-by-step guide to finding the best cheap homeowners insurance for your needs.
Houston's construction costs and building materials affect your dwelling coverage needs. Underinsuring leaves you vulnerable after major damage, while overinsuring wastes money on unnecessary premiums.
Standard policies exclude flood damage, a common risk in Houston. Add flood insurance through your insurer or the National Flood Insurance Program, and verify your wind and hail coverage limits are high enough to cover rebuilding costs.
Review J.D. Power ratings for claims satisfaction, check the NAIC complaint index for regulatory issues and read Trustpilot reviews from customers. Strong customer service matters when you need to file a claim.
Get at least three quotes with identical coverage limits to find the best rate. Premiums vary widely between companies, even for the same coverage.
We answer common questions about Houston home insurance:
Review your coverage annually and after major home improvements, large purchases or market changes. Houston's rising construction costs mean your dwelling coverage from three years ago might not cover full replacement.
Yes, but coverage depends on the type of damage. Standard home insurance covers wind damage from hurricanes, but flood damage requires separate flood insurance. You'll pay separate deductibles for wind damage (usually 1% to 5% of your dwelling coverage) and flood claims.
Replacement cost coverage pays to rebuild or replace damaged property at today's prices without depreciation. Actual cash value deducts depreciation from your payout, meaning you'll receive less money for older roofs, appliances and personal belongings.
Insurers charge higher premiums for roofs older than 15 years, and some companies won't cover homes with roofs over 20 years old. A roof inspection showing good condition can help you avoid coverage denials or high rate increases.
We analyzed home insurance premiums from 10 companies in Houston using data from Quadrant Information Services. Customer satisfaction scores came from J.D. Power surveys to identify insurers with low rates and reliable claims service.
Base Profile Details
Our analysis used a standard Houston homeowner profile:
This profile represents a typical Houston homeowner and allows for accurate rate comparisons across insurers.
Why This Matters for Your Decision
Comparing identical coverage levels across companies shows which insurers offer the best value. A company advertising low rates might only be cheap for excellent credit scores or newer homes. Our multi-scenario approach shows you what you'll actually pay based on your situation, not just advertised rates that don't apply to you.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. He has analyzed the insurance market for over five years, conducting original research for insurance shoppers. His insights have been featured in CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
He writes about economics and insurance, breaking down complex topics so people know what they're buying.
