Best Homeowners Insurance in Texas (2026)

We found that State Farm, USAA and Mercury Insurance are the top home insurance providers for Texans due to their affordable rates and quality coverage.

See if you're overpaying for home insurance below.

Written by Mark Fitzpatrick

Updated: June 4, 2026

Advertising & Editorial Disclosure

Key Takeaways: Top Texas Home Insurance Companies

Our 2026 study found the best home insurance companies in Texas are State Farm, USAA, Mercury Insurance, Chubb and Nationwide.

Texas home insurance costs 93% more than the national average at $6,854 per year due to hurricanes, hailstorms and severe weather that drive frequent claims.

State Farm is MoneyGeek's top pick for Texas homeowners at $4,457 a year, with a MoneyGeek rating of 4.5 out of 5.0. It ranks above the industry average for customer service and has a wide range of coverage options.

Best Home Insurance Companies in Texas

State Farm is the best home insurance company for most Texas homeowners, earning a MoneyGeek score of 4.5 out of 5.0 with average annual premiums of $4,457. We evaluated national and regional providers operating in Texas on affordability, customer experience and coverage options to determine the best options for homeowners like you.

USAA earned a perfect 5.0 rating for military families with comprehensive coverage and strong customer service, though eligibility restrictions kept it from the No. 1 spot. Mercury offers the cheapest rates for Texas homeowners on a budget. Chubb provides premium service for homeowners who value exceptional customer care, and Nationwide offers extensive coverage options statewide.


State Farm	4.5	Most Texas Homeowners	$4,457
USAA	5.0	Military Families	$4,243
Mercury Insurance	4.3	Affordable Rates	$3,025
Chubb	4.4	Customer Experience	$9,358
Nationwide	4.2	Coverage Options	$7,306

*Although USAA earned the highest rating from our team, we didn't rank it No. 1 for Texas homeowners due to its eligibility requirements.

State Farm

Best for Most Texas Homeowners

MoneyGeek Rating

4.5/ 5

5/5Affordability

4/5Customer Experience

4/5Coverage Points

Average Annual Premium
$4,457
Average Monthly Premium
$371
J.D. Power Customer Satisfaction Score
657/1,000

pros
- Annual premium 35% below the Texas state average
- Endorsements available for Texas-specific risks
- Local agent network statewide
cons
- Digital tools and mobile app lag behind competitors
- Some Texas-specific coverages require separate policies or add-on endorsements
State Farm costs $4,457 a year, which is 35% below the Texas state average of $6,854. It scores above the industry average in the J.D. Power 2025 U.S. Home Insurance Study.

Local agents are available for in-person policy and claims help. Available endorsements include water backup for storm flooding, service line coverage for underground utilities and umbrella insurance for higher liability limits.

State Farm costs $4,457 a year in Texas, 35% below the state average of $6,854. Homeowners with good credit pay as low as $1,991 a year. Bundling home and auto brings the combined rate to $2,559 a year.


Older Homes	$4,457	$371
Newer Homes	$3,041	$253
Young Homeowners	$4,457	$371
Senior Homeowners	$4,457	$371
High-Risk Fire Homes	$4,457	$371
Smaller Homes	$3,195	$266
Larger Homes	$3,881	$323

State Farm scored 657 out of 1,000 in J.D. Power's 2025 U.S. Home Insurance Study, above the industry average. The local agent network is the main advantage in service, where agents handle claims and coverage questions in person. Simple claims close quickly. Complex claims take longer per customer reviews. Digital tools are less developed than most competitors.
State Farm customizes coverage through endorsements and separate policies:
- Flood Insurance: Separate policy for flood damage
- Earthquake Insurance: Optional endorsement or separate policy
- Water Backup/Sewer Backup: Covers water damage from backing sewers or drains
- Service Line Coverage: Covers repair or replacement of underground utility lines
- Personal Articles Policy: Separate policy for jewelry, electronics and firearms
- Identity Fraud: Covers costs to restore a stolen identity
- Umbrella Insurance: Adds liability coverage above the home policy limit
- Full Replacement Cost: Replaces damaged home and contents at current cost with no depreciation deduction
- Home Systems Protection: Additional coverage for home systems and appliances

USAA

Best for Military Families

MoneyGeek Rating

5/ 5

5/5Affordability

5/5Customer Experience

5/5Coverage Points

Average Annual Premium
$4,243
Average Monthly Premium
$354
J.D. Power Customer Satisfaction Score
737/1,000

pros
- Perfect MoneyGeek rating
- Premiums 38% below Texas average
- Highest J.D. Power customer satisfaction score
cons
- Members must be military, veterans or eligible families
- Fewer local agents
USAA has the lowest premiums among top-rated insurers. It offers good customer service. USAA charges $4,243 yearly, 38% below Texas's $6,854 average. Military families save big. USAA's J.D. Power score of 737 out of 1,000 beats all insurers. USAA leads in digital experience and claims.

USAA charges $4,243 yearly, 38% below the state average of $6,854. It's one of the cheapest for military families who qualify. Bundle home and auto to save 10%. If you add a monitored security system, you can get an extra 5% off. Five years claims-free? Save up to 15%.


Older Homes	$4,181	$348
Newer Homes	$2,426	$202
Young Homeowners	$4,375	$365
Senior Homeowners	$4,307	$359
High-Risk Fire Homes	$4,476	$373
Smaller Homes	$3,852	$321
Larger Homes	$4,587	$382

USAA scored 737 out of 1,000 in J.D. Power's 2025 U.S. Home Insurance Study. That's the highest among all insurers. It's not formally ranked because of eligibility restrictions. USAA's digital tools are good. The mobile app does everything.
USAA sells specialized endorsements for Texas risks and military family needs.
- Home Protector: This adds 25% more toward dwelling and other structures coverage
- Water Backup: Pays for damage from water or sewage backing up
- Earthquake: Pays for home and belongings damaged by earthquakes
- Technology Coverage Endorsement: Increases protection for technology
- Personal Injury: Pays for accusations of libel, slander, defamation or other reputation damage

Mercury Insurance

Best for Affordable Rates

MoneyGeek Rating

4.3/ 5

4.8/5Affordability

4.1/5Customer Experience

2.7/5Coverage Points

Average Annual Premium
$3,025
Average Monthly Premium
$252
J.D. Power Customer Satisfaction Score
575/1,000

pros
- Lowest average premiums across most Texas homeowner profiles
- Bundling discount up to 17.9% on home and auto
- Home systems protection covers appliance and electronics repairs
cons
- J.D. Power score of 575 is below the industry average
- Fewer customization options than larger carriers
- Digital tools and mobile app lag behind most competitors
Mercury is MoneyGeek's pick for affordable rates with a 4.3 out of 5.0 rating. At $3,025 a year, it has the lowest premiums among top-rated Texas carriers, which is 56% below the state average of $6,854. That rate holds across most homeowner profiles: young and older homeowners, large and small homes, recent claimants and homeowners with poor credit. The tradeoff is a J.D. Power score of 575, below the industry average, with slower claims processing and limited digital tools.

Mercury costs $3,025 a year in Texas, which is 56% below the state average of $6,854. Bundling home and auto qualifies for up to 17.9% off home coverage and up to 14.5% off auto. Additional discounts apply for new homes under 10 years old, fire and theft devices, water leak detection and three or more claims-free years.


Older Homes	$3,057	$255
Newer Homes	$1,611	$134
Young Homeowners	$2,971	$248
Senior Homeowners	$3,070	$256
High-Risk Fire Homes	$3,179	$265
Smaller Homes	$2,976	$248
Larger Homes	$3,057	$255

Mercury scored 575 out of 1,000 in J.D. Power's 2025 U.S. Home Insurance Study, below the industry average. Simple claims for fire, theft and wind damage resolve without friction. Complex claims involving multiple perils or extensive damage require more follow-up per customer reviews. Most interactions happen by phone or online because Mercury's agent network is limited and in-person service is a weakness.
Mercury offers affordable endorsements that extend protection beyond standard homeowners policies. The company focuses on practical add-ons like appliance protection and cyber coverage rather than extensive customization options.
- Home Systems Protection: Covers repair or replacement of systems, appliances and electronics when they break down
- Home Cyber Protection: Covers data compromises on computers, mobile devices and connected home technology, plus software and operating system damage
- Service Line Protection: Covers repair and replacement of underground service lines to the property
- Identity Management Services: Identity restoration for you and family members for less than $3 a month

Chubb

Best Customer Experience

MoneyGeek Rating

4.4/ 5

4.3/5Affordability

4.4/5Customer Experience

4.5/5Coverage Points

Average Annual Premium
$9,358
Average Monthly Premium
$780
J.D. Power Customer Satisfaction Score
677/1,000

pros
- 677 out of 1,000 J.D. Power score, second-highest among Texas carriers reviewed
- Extended replacement cost covers rebuilding above policy limits
- Free risk consultations assess hurricane and wildfire exposure
cons
- Annual premium is 37% above the Texas state average
- High-end features are more than most standard coverage needs require
Chubb is MoneyGeek's top pick for customer experience in Texas. It ranked second in the J.D. Power 2025 Home Insurance Study and held the top spot in 2024. Risk consultants visit Texas homes to assess hurricane preparedness for coastal properties, wildfire risk for Hill Country properties and general security vulnerabilities. All appraisals are free. Chubb has an A++ AM Best rating.

Chubb costs $9,358 a year in Texas, which is 37% above the state average of $6,854. Free home appraisals, HomeScan infrared detection technology and extended replacement cost coverage are included. Extended replacement cost covers full rebuilding even when costs exceed the policy limit.


Older Homes	$8,974	$748
Newer Homes	$7,727	$644
Young Homeowners	$9,358	$780
Senior Homeowners	$9,358	$780
High-Risk Fire Homes	$9,358	$780
Smaller Homes	$6,708	$559
Larger Homes	$8,204	$684

Chubb scored 677 out of 1,000 in J.D. Power's 2025 U.S. Home Insurance Study. Risk consultants visit for free appraisals and security consultations. The A++ AM Best rating confirms strong claims-paying capacity.
Chubb has comprehensive coverage with features for Texas risks and high-value homes.
- Extended Replacement Cost: Covers full rebuilding costs above the policy limit, including code upgrades required after storm damage
- Cash Settlement Option: Allows a cash payout instead of rebuilding after a total loss
- Replacement Cost Coverage: Covers custom details including upgraded appliances, cabinets and flooring
- HomeScan Technology: Infrared detection for hidden leaks, electrical issues and other structural problems
- Risk Consulting: Free home appraisals and security consultations
- Temporary Living Assistance: Covers housing costs during repairs
- Additional Coverage: Tree removal after Texas storms and lock replacement

Nationwide

Best Coverage Options

MoneyGeek Rating

4.2/ 5

4.5/5Affordability

4.2/5Customer Experience

2.8/5Coverage Points

Average Annual Premium
$7,306
Average Monthly Premium
$609
J.D. Power Customer Satisfaction Score
641/1,000

pros
- Extensive coverage options
- Strong AM Best financial rating
- Equipment breakdown coverage
cons
- Costs more than Texas average
- Fewer bundling discounts
Nationwide earns our Best Coverage Options award for its many endorsements. Dwelling replacement cost coverage pays up to twice your dwelling limit if rebuilding costs exceed your policy limit after a covered loss.

Nationwide's J.D. Power score of 641 out of 1,000 matches the industry average. Good but unexceptional customer satisfaction compared to leaders like USAA and Chubb.

Nationwide wins on customization.

Nationwide costs $7,306 per year. This is 7% above the state average of $6,854. You're paying for extensive coverage options and Nationwide's national presence. You can find cheaper options with State Farm at $4,457 or Mercury at $3,025.


Older Homes	$6,730	$561
Newer Homes	$3,358	$280
Young Homeowners	$7,125	$594
Senior Homeowners	$7,380	$615
High-Risk Fire Homes	$7,494	$624
Smaller Homes	$5,280	$440
Larger Homes	$6,389	$532

Nationwide scored the same as the industry average for customer satisfaction in the J.D. Power Home Insurance Study, scoring 641 out of 1,000. Texas homeowners report mixed experiences with claims.
Nationwide sells extensive endorsements and separate policies for Texas risks and high-value property.
- Dwelling Replacement Cost: This pays up to two times your dwelling coverage if rebuilding costs are more than your policy covers, after a covered loss
- Water Backup: Pays for damage from water backing up through sewers, drains or sump pump overflow
- Equipment Breakdown Coverage: Fixes or replaces electrical, mechanical or pressure system breakdowns that can happen in appliances
- Service Line: Pays for damage to exterior, underground service lines bringing water, gas and electricity to your home
- Roof Replacement: Extra coverage so your roof gets fully covered if replacement becomes necessary
- Flood Insurance: A separate policy protects your house from flood damage
- Earthquake: Separate policy for earthquake damage with its own deductible
- Valuables Plus: Extra coverage for high-value items
- Umbrella Insurance: Gives you extra liability coverage for medical expenses and legal fees
- Identity Theft: Keeps personal data secure

Compare Texas Homeowners Insurance Companies by Category

Your best home insurance option depends on your specific situation. Here are our top picks for key homeowner categories:


Most Homeowners	State Farm	$4,457
Lower Dwelling Coverage Limit ($100K)	Mercury Insurance	$1,630
Higher Dwelling Coverage Limit ($500K)	State Farm	$6,741
Older Homes (1980)	USAA	$4,181
Newer Homes (2020)	USAA	$2,426
Young Homeowners (ages 20-40)	USAA	$4,375
Seniors (ages 61+)	State Farm	$4,457
Homeowners with a Recent Claim	Mercury Insurance	$3,298
Homeowners with Excellent Credit	State Farm	$1,991
Homeowners with Poor Credit	Mercury Insurance	$4,617

Best Texas Home Insurance by City

Location is one of the largest rate factors in Texas. Houston and Galveston carry higher premiums due to hurricane risk. Austin and San Antonio face wildfire and hail exposure. MoneyGeek analyzed carriers across Texas cities on value, affordability and coverage fit for each area's specific risk profile.


Abilene	Nationwide	$8,707
Allen	Chubb	$6,720
Alto	Progressive	$5,009
Amarillo	Progressive	$8,623
Arlington	Chubb	$8,405
Aubrey	Chubb	$7,309
Austin	Progressive	$5,403
Beaumont	Nationwide	$4,096
Brownsville	Nationwide	$2,650
Burleson	Progressive	$9,332
Carrollton	Chubb	$7,947
College Station	Progressive	$5,620
Corpus Christi	USAA	$3,517
Dallas	Progressive	$6,800
El Paso	USAA	$3,384
Fort Worth	Chubb	$8,405
Friendswood	USAA	$8,124
Frisco	Chubb	$6,720
Garland	Progressive	$7,960
Grand Prairie	Chubb	$8,405
Hidalgo	Nationwide	$2,712
Houston	USAA	$6,210
Humble	USAA	$5,214
Irving	Progressive	$9,669
Killeen	Chubb	$3,973
Laredo	Nationwide	$4,167
Lewisville	Chubb	$7,309
Lubbock	Nationwide	$7,905
Mcallen	Nationwide	$2,712
McDade	Progressive	$5,606
Mckinney	Chubb	$6,720
Mesquite	Progressive	$7,383
Midland	Nationwide	$6,683
Odessa	Nationwide	$6,580
Pasadena	USAA	$7,654
Pearland	USAA	$5,215
Plano	Chubb	$6,720
Port Aransas	USAA	$6,401
Richardson	Progressive	$8,430
Round Rock	Nationwide	$5,363
San Antonio	Nationwide	$4,540
San Benito	Nationwide	$2,650
Spring	Nationwide	$5,375
Sugar Land	USAA	$7,417
Tomball	Nationwide	$4,988
Tyler	Progressive	$5,560
Waco	Progressive	$5,099

Compare the best home insurance companies across Texas based on affordability, coverage options and customer service.

Find the Best & Cheapest Home Insurance in Texas Cities

MoneyGeek analyzed the best and most affordable home insurance in major Texas cities, from Austin to Mckinney.

Best Cheap Homeowners Insurance in Amarillo, TX

Best Cheap Homeowners Insurance in Austin, TX

Best Cheap Homeowners Insurance in Brownsville, TX

Best Cheap Homeowners Insurance in Dallas, TX

Best Cheap Homeowners Insurance in Houston, TX

Best Cheap Homeowners Insurance in McKinney, TX

Best Cheap Homeowners Insurance in Plano, TX

Best Cheap Homeowners Insurance in Waco, TX

How Much Is Home Insurance in Texas?

Texas home insurance averages $6,854 a year, which is 93% above the nationwide average of $3,548. Hurricanes, hailstorms and severe weather frequency push claims volume and rebuilding costs above most other states.

Your actual premium depends on home value, age, location, credit score and claims history. Homes built in 2020 average $4,195 a year. Homes from 1980 average $6,757. Coverage limit is a major cost variable: $100,000 in dwelling coverage averages $3,622 a year, while $500,000 averages $11,358.


Overall Average	$6,854	$571
Lower Dwelling Coverage Limit ($100K)	$3,622	$302
Higher Dwelling Coverage Limit ($500K)	$11,358	$946
Older Homes (1980)	$6,757	$563
Newer Homes (2020)	$4,195	$350
Young Homeowners (ages 20-40)	$6,863	$572
Seniors (ages 61+)	$6,871	$573
Homeowners with a Recent Claim	$8,137	$678
Homeowners with Excellent Credit	$5,056	$421
Homeowners with Poor Credit	$11,527	$961

How to Find the Best Texas Home Insurance

Texas homeowners need coverage that protects against hurricanes, hail and severe weather. These steps help you find affordable protection and maximize your discounts.

1
Determine Your Coverage Needs
Base dwelling coverage on your home's rebuilding cost, not its market value. Texas construction costs range from $150 to $200 per square foot, which puts a 2,000-square-foot home at $300,000 to $400,000 in dwelling coverage. Set personal property at 50% to 70% of that and carry at least $300,000 in liability.
2
Research Costs and Discounts
Texas averages $6,854 a year, but rates vary by location, home age and personal factors. Get quotes from at least three carriers using identical coverage limits, deductibles and endorsements before comparing prices.
3
Find the Best Providers for Your Needs
State Farm is the strongest overall at $4,457 a year. Mercury is the cheapest at $3,025. USAA at $4,243 is the best fit for military families and veterans.
4
Consider Bundling Your Policies
Bundling home and auto insurance saves up to 25% on your home premium in Texas and can cut your auto rate too.
5
Use State Programs If Necessary
The Texas Fair Plan Association covers homeowners denied by standard carriers. TFPA includes basic dwelling and personal property coverage. Limits are lower than standard policies and premiums are higher, but it keeps coverage in place when other options are unavailable.

Home Insurance Coverage for Texas Weather Risks

Texas homeowners have weather risks needing specific coverage:

Wind and Hail Coverage

Standard homeowners policies cover wind and hail damage from severe thunderstorms and hurricanes. Texas leads the nation in hail claims, with storms causing roof damage, broken windows and dented siding. Your policy covers repairs minus your deductible. Coastal homeowners often face separate wind and hail deductibles of 1% to 5% of their dwelling coverage amount rather than flat dollar amounts.

Flood Insurance

Standard Texas home insurance policies exclude flood damage. You'll need a separate policy through your insurer or the National Flood Insurance Program to protect against heavy rainfall and tropical storms.

Extended Replacement Cost

This coverage handles building cost increases after major storms, protecting you when reconstruction costs surge during high-demand periods.

Water Backup Coverage

This coverage protects against sewer backups during heavy rain events common in Texas.

Personal Property Replacement Cost

This coverage replaces damaged personal property at current prices rather than depreciated value. Without replacement cost coverage, you'll receive only what your belongings were worth at the time of loss, which may not cover the full cost of replacing them after weather damage.

Top-Rated Texas Home Insurance Companies: Bottom Line

State Farm is the strongest overall at $4,457 a year. USAA at $4,243 is the top choice for military families and veterans. Mercury at $3,025 is the cheapest.

Texas home insurance is higher than the national average because of severe weather and frequent claims. You can save by bundling policies, maintaining good credit, staying claims-free and comparing quotes from multiple insurers.

Best Home Insurance Providers in Texas: FAQ

We answer common questions about picking a homeowners insurance provider in Texas.

Why is Texas home insurance so expensive?

Texas gets affected by hailstorms, tornadoes and hurricanes. Claims cost more.

Do I need flood insurance in Texas?

Standard homeowners policies exclude flood damage. Even outside high-risk areas, Texas's heavy rainfall and flash flooding make flood coverage a good idea. You can get this through the National Flood Insurance Program.

Does Texas require homeowners insurance?

Texas law says you don't have to have homeowners insurance if you own your home outright.

Does homeowners insurance cover hurricane damage in Texas?

Wind damage from hurricanes is covered, but most coastal policies include a separate windstorm deductible of 1% to 5% of your dwelling coverage. If a hurricane causes $300,000 in damage and you have a 2% windstorm deductible on a $400,000 policy, you'll pay $8,000 out of pocket.

How We Found the Top 5 Homeowners Insurance Companies in Texas

MoneyGeek scored Texas homeowners insurers on three equally weighted factors:

Affordability

We gathered premium quotes across homeowner profiles (different home values, ages and locations) at minimum and enhanced coverage levels. Average annual premiums were compared against the Texas state average of $6,854. Lower relative costs score higher.

Customer Experience

J.D. Power's 2025 U.S. Home Insurance Study scores assess satisfaction across claims handling, policy offerings and customer service. Carriers above the industry average score higher. AM Best financial strength ratings confirm claims-paying capacity

Coverage Options

We looked at each insurer's standard policy features and available endorsements, with a focus on Texas-specific needs like water backup coverage, windstorm protection and service line coverage. Companies that offer flexible customization, separate flood and earthquake policies and features like technology protection or home systems coverage scored higher. We gave more weight to insurers that let you tailor coverage to your home's location and risk profile.

Standard Profile Details

Our baseline quotes represent a typical Texas homeowner to make cost comparisons applicable across insurers. We used homeowners ages 41 to 60 with $250,000 in dwelling coverage, homes built in 2000, good credit scores and no previous claims. This profile reflects middle-income Texas homeowners with established homes and solid insurance histories, letting you gauge whether your situation will cost more or less than our quoted averages.

Why This Matters for Texas Homeowners

Our balanced approach helps you find insurers that won't leave you scrambling during claims or force you to overpay for basic coverage. The best home insurance company for your neighbor might not work for you. Your home's age, location near the coast or in tornado alley, and personal priorities like local agent access versus digital tools all influence which insurer fits best.

About Mark Fitzpatrick

Mark Fitzpatrick, a Licensed Property and Casualty (P&C) Insurance Producer in Connecticut, is MoneyGeek's resident insurance expert. He has spent nearly a decade analyzing the market, first at LendingTree and now at MoneyGeek, where he has produced original research on hundreds of carriers and millions of rates across auto, home, renters, health and life insurance.

He covers economics and insurance at MoneyGeek, and his work has been featured in The Washington Post, The New York Times and NPR, among other outlets.

Like all MoneyGeek analysts, he draws on independent cost and consumer experience data. No insurance company partnership influences his recommendations.

Fitzpatrick earned his degrees from Johns Hopkins University (M.A. Economics and International Relations) and Boston College (B.A.). He began his career in financial risk management at State Street. He's also a five-time “Jeopardy!” champion.

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