The Cheapest and Best Homeowners Insurance in Houston
The Cheapest Home Insurance Companies in Houston
When buying homeowners insurance in Houston, cost is an important consideration since most companies offer the same core coverages. You can find the cheapest home insurance option in Houston by comparing quotes from different companies.
For the average Houston homeowner, the cheapest insurance companies on average for home insurance with $250,000 in dwelling coverage are:
- Nationwide: $1,104 per year
- Farmers: $1,326 per year
On average, the cheapest insurance companies in Houston for home insurance for expensive homes with $2,000,000 in dwelling coverage are:
- Farmers: $5,182 per year
- Nationwide: $6,677 per year
You can use the table below to see how the prices change based on the dwelling coverage.
The Cheapest Home Insurance in Houston, Ranked
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All the policies with dwelling coverage of $250,000 have personal property limits of $100,000. Policies with dwelling coverage of $2 million have personal property limits of $800,000. All policies have $100,000 in liability coverage.
For homeowners who live in other parts of Texas, you can compare insurance rates for Texas as a whole.
The Average Cost of Homeowners Insurance in Houston for 2022
The average cost of homeowners insurance in Houston is $3,722 per year or $310 per month. Compared to the national average, $2,103 per year, Houston rates are higher by $1,619. Compared to the state average of $3,390 per year, the cost in Houston is higher by $332 yearly.
Calculate the Cost of Home Insurance in Houston
Location usually has an impact on the cost of homeowners insurance in Texas. However, other factors like your dwelling coverage limit, your credit score, and personal property coverage limit also determine homeowners insurance premiums.
If you want to compare quotes in your state, use MoneyGeek’s homeowners insurance calculator.
Home Insurance Calculator
These are annual estimates. Get a personalized quote to determine your costs.
The Best Home Insurance Companies in Houston
Apart from cost, it is important to consider customer experience and financial stability when shopping for homeowners insurance in Houston. When you file a claim, you want to be sure that your insurer is going to handle it fairly and quickly.
MoneyGeek’s study found that the best home insurance companies in Houston are:
- Best Overall: Nationwide
- Runner-up: Farmers
To identify the best companies in Houston, MoneyGeek used a scoring system that incorporates affordability, customer satisfaction ratings and financial stability.
In terms of coverage Nationwide, offers a wide range of benefits for its policyholders. This includes replacement cost coverage for personal property, which means that in case of property loss, you will be compensated with an item of the same value. This policy also comes with optional better roof replacement coverage, which allows you to upgrade your roofing in case of damage.
MoneyGeek ranked Nationwide as the best overall insurer in Houston because of its high scores in customer satisfaction, financial stability and affordability. Nationwide lets you add flood coverage to your policy if you so choose.Read MoneyGeek's Nationwide home Insurance Review
One unique benefit of a Farmers policy is the reducing deductible. This means that your deductible decreases each year. The policy also rewards you for not making claims. If you go five years without making a claim, you will not be subject to higher rates if you make a claim after this period.
Farmers is our runner-up pick because of its stellar performance in both customer satisfaction and affordability. This homeowners insurance policy also comes with unique coverage benefits that set it apart from other insurers.Read MoneyGeek's Farmers home Insurance Review
Cheapest Home Insurance Companies in Houston for Newly Constructed Homes
In Houston, homeowners insurance costs for new homes are typically cheaper. This is because newer homes are made using modern materials that are more resistant to damage, making them lower risk. It is also easier for the insurer to replace newer materials.
Homeowners insurance for newly constructed homes in Houston cost roughly $2,644 yearly compared to an average of $3,722 for a home built in 2000.
On average, the cheapest companies in Houston for homeowners with newly constructed homes with $250,000 in dwelling coverage are:
- Nationwide: $787 per year
- Farmers: $925 per year
The Cheapest Home Insurance in Houston for New Homes, Ranked
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Cheapest Home Insurance Companies in Houston if You Have a Lot of Personal Property
One of the core coverages offered by homeowners insurance in Houston is personal property coverage. This covers damage to personal items in your home. For people with more personal property to cover, the premiums are usually higher.
In Houston, it costs an average of $3,792 to get personal property limits of $250,000 vs. an average of $3,722 for $100,000 in personal property coverage limits.
The cheapest insurance companies in Houston for homeowners with high personal property limits, on average, are:
- Nationwide: $1,188 per year
- Farmers: $1,374 per year
Cheap Companies in Houston for Extra Personal Property Coverage
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Cheapest Home Insurance Companies in Houston for High Deductibles
The cost of home insurance in Houston will be significantly impacted by your deductible. If your policy has a high deductible, you will pay less in premiums each year. However, if you make a claim, you will pay more out of pocket.
The cost for a policy with a $2,000 deductible costs an average of $3,335 per year compared to an average of $3,722 for a $1,000 deductible.
On average, the cheapest homeowners insurance companies in Houston for policies with $2,000 deductibles are:
- Nationwide: $974 per year
- Farmers: $1,064 per year
The Cheapest Companies in Houston for High Deductibles, Ranked
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Cheapest Home Insurance Companies in Houston if You Have Poor Credit
Insurance companies in Houston use credit score as a factor when determining insurance costs. This means that homeowners with poor credit scores will pay more every year for homeowners insurance.
If you have a poor credit score, home insurance costs an average of $7,688 per year compared to an average of $3,722 yearly for homeowners with good credit.
The cheapest insurance companies in Houston for those with poor credit, on average, are:
- Nationwide: $1,948 per year
- Chubb: $4,888 per year
The Cheapest Companies in Houston for Poor Credit, Ranked
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Getting Online Homeowners Insurance Quotes in Houston
If you want to get an online quote for homeowners insurance in Houston, you will need to provide detailed information to the insurance company, including:
- Personal information: The insurer will require personal details such as your address, the occupants in your home and insurance history, along with other personal details.
- House specifications: To provide an insurance quote, the insurer needs to know the size of your home, when it was built and whether you have installed any safety measures. They may also ask for any other pertinent details about your house.
- Personal property value: The insurer needs to know the value of the items in your house. This will enable them to determine the appropriate personal property coverage limits. These limits are then used to determine the premium or cost of the insurance.
- The replacement cost of your home: The cost to rebuild your home is an important factor in determining the cost of home insurance. The replacement cost is not the same as the market value of your home. You can contract a construction specialist to give you an estimate of the replacement cost of your home.
Homeowners Insurance in Houston Analysis: Methodology
MoneyGeek’s study analyzed home insurance premiums from 10 companies in Houston. The data used was provided in partnership with Quadrant. The customer satisfaction scores used in this study were drawn from J.D. Power surveys. To calculate affordability scores, quotes were collected for a home with varying coverage levels.
In this analysis, MoneyGeek used a base profile for a homeowner with a 2,500 square foot home built in 2000 with dwelling coverage of $250,000, personal property coverage of $100,000, and liability coverage of $100,000. All the policies had the same deductible of $1,000.
Other quotes were also collected for homeowners with newly constructed homes, increased dwelling or personal property coverage, higher deductibles, and poor credit scores.
About Mark Fitzpatrick