Average Costs and Cheapest Homeowners Insurance Companies in Texas

Homeowners insurance costs change with specific needs and factors. For example, Chubb is the most affordable company in Texas for expensive homes or with a pool. Nationwide is the cheapest option for newer homes, while Universal North America is the best for homeowners with poor credit. To find the cheapest homeowners insurance company for you, MoneyGeek analyzed thousands of quotes in Texas to calculate average rates from different providers.

MoneyGeek used costs and service measures to break down the best homeowners insurance providers in Texas if you want to balance cost and quality.

MoneyGeek analyzed thousands of quotes from various providers to find the cheapest homeowners insurance in Texas. For a policy with baseline dwelling coverage of $250,000, the cheapest company in Texas is Universal North America, with an average annual rate of $2,108.

The most affordable home insurance companies for different dwelling coverage amounts in Texas are:

• Cheapest for $100,000: Chubb
• Cheapest for $250,000: Universal North America
• Cheapest for $500,000: Chubb

How much dwelling coverage you need depends on the replacement cost of your home. Use the table below to see the varying costs for different dwelling coverage levels.

The dwelling coverage you purchase has the greatest impact on the cost of homeowners insurance. In Texas, the average cost of a policy for baseline dwelling coverage of $250,000 is $3,390.

However, your premium can increase if you choose a higher coverage level. That is because an insurer is protecting you against more damage. For example, homeowners insurance for a baseline dwelling coverage of $100,000 in Texas costs roughly $1,783 per year, while a policy for $3,000,000 dwelling coverage costs around $29,954 per year. The difference is $28,171.

Individual circumstances and area-related factors can have an impact on the cost of homeowners insurance. Companies estimate homeowners insurance costs in Texas based on a variety of factors, such as the home’s value, age and roof quality, credit score, frequency of claims, deductible and personal property.

You can adjust dwelling coverage limits, deductible and other limits to see how the average cost of homeowners insurance in Texas changes depending on your needs.

MoneyGeek analyzed thousands of quotes from various insurance providers to determine the cheapest companies in Texas for different dwelling coverages. On average, the companies offering the most affordable homeowners insurance in Texas for an expensive home with dwelling coverage of $2,000,000 are:

• Chubb: $6,664 per year
• Farmers: $8,681 per year

If you’re a homeowner with an expensive home, it’s important to remember that rates can vary depending on your elected dwelling coverage and insurer. You should compare quotes from different providers to find the cheapest policy that suits your needs.

Using a sample home built in 2015, MoneyGeek gathered thousands of quotes to find the cheapest provider in Texas for newer homes with 250,000 dwelling coverage. Our research discovered, on average, the most affordable insurance in Texas for a newer home is from:

• Nationwide: $1,073 per year
• Farmers: $1,576 per year

The age of your home can affect the cost of your home insurance premium. In Texas, newer homes are around $1,150 cheaper to insure than those built in 2000.

However, the numbers for homes built in 2000 differ from the first section due to a different ZIP code collection process.

The cost of homeowners insurance in Texas for newer homes averages $2,242 per year; meanwhile, the average annual rate for a home built in 2000 is $3,393, around $1,150 more.

Older homes typically cost more to insure since they may have materials that are less resistant to, for example, weather events or years of wear and tear on plumbing could cause an accident, like a burst pipe. The added risks can make your insurance provider charge you a higher rate.

MoneyGeek averaged thousands of quotes from different insurance providers to determine the cheapest home insurance in Texas for pool owners.

The most affordable homeowners insurance in Texas with a pool and baseline dwelling coverage of $250,000 is from, on average:

• Chubb: $2,302 per year
• Farmers: $2,316 per year

A pool can increase homeowners insurance costs in Texas. Because insurers tend to see them as a liability hazard, they tend to charge a higher premium to protect you against pool-related accidents and injuries.

Your insurance premium can change a lot depending on whether or not you have a pool on your Texas property. But, MoneyGeek found the average cost of homeowners insurance in Texas for a home with a pool and baseline dwelling coverage of $250,000 is $3,393 per year, only three dollars more than without a pool, roughly $3,390 annually.

If you’re a homeowner with a poor credit score, MoneyGeek averaged thousands of quotes to help you find the cheapest home insurance policy in Texas.

On average, the most affordable homeowners insurance companies in Texas for people with a poor credit score and baseline dwelling coverage of $250,000 are:

• Universal North America: $3,352 per year
• Chubb: $3,781 per year

Credit history is a factor insurers use in most states to determine the cost of home insurance. Those with poor credit tend to pay a higher rate than those with good or excellent credit scores because a poor score may represent how well you pay your bills or if you’re more likely to file a claim.

Your home insurance premium can change based on your credit background. In Texas, the difference between homeowners with good credit and those with poor credit is around $3,327. Homeowners with a good credit score pay roughly $3,282 per year, while those with poor credit pay around $6,608 per year.

Aside from your dwelling coverage limit, where you live in Texas affects the cost of homeowners insurance. Of the 13 cities MoneyGeek analyzed in Texas, we found Corpus Christi is the most expensive, costing around $5,411 per year for homeowners insurance. On the other hand, El Paso is the most affordable, with an average rate of $1,910 per year.

Across Texas, Chubb, Nationwide and Universal North America are the cheapest home insurance companies, depending on the city. You can click your city to learn more about home insurance costs and rates.

When looking for home insurance in Texas, you need to provide certain information to get a binding homeowners insurance quote estimate from an insurance company, such as your address, the age of your home, what it is made of, the type (single-story, two-story, etc.), its condition, estimated cost to rebuild it, its current market value, if you have a home loan, if you have a security system in place, recreational items, location and your distance to a fire department.

You may also need to discuss the insurance coverage you want. That includes the amount of coverage, whether you have valuable items that need separate coverage and the total value of all other possessions. The best way to find the most accurate policy is to compare personalized quotes from multiple providers.

For an anonymous homeowners insurance estimate, use MoneyGeek’s Texas home insurance calculator, which provides estimated costs based on thousands of collected quotes from different providers.

MoneyGeek analyzed homeowners insurance premiums from 10 of the top insurance companies in Texas that were provided in partnership with Quadrant. Our analysis includes quotes from ZIP codes across Texas. Quotes were gathered with an average home profile of 2,500 square feet, built in 2000, with an average dwelling coverage value of $250,000, liability coverage of $100,000 and personal property coverage of $100,000.