Average Costs and Cheapest Homeowners Insurance Companies in Texas

Homeowners insurance in Texas for baseline dwelling coverage of $250,000 averages $3,390 per year. Universal North America, with an annual rate of around $2,108, is the cheapest company in Texas. These numbers represent a particular policy and home. MoneyGeek analyzed the cost of insurance for different types of homes and owner backgrounds in Texas.

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Last Updated: 6/26/2022
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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.

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The Cheapest Homeowners Insurance in Texas

The Cheapest Homeowners Insurance Quotes in Texas

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.

CHEAPEST HOMEOWNERS INSURANCE BY DWELLING COVERAGE

Dwelling Coverage:

$250,000

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How Much Homeowners Insurance Costs in Texas on Average

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.

AVERAGE COST OF HOMEOWNERS INSURANCE BY DWELLING COVERAGE

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  • Dwelling Coverage
    Average Annual Premium
  • $100,000
    $1,783
  • $250,000
    $3,390
  • $500,000
    $5,989
  • $750,000
    $8,349
  • $1,000,000
    $10,684
  • $2,000,000
    $20,311
  • $3,000,000
    $29,954

Find the Cheapest Homeowners Insurance in Texas With MoneyGeek’s Calculator

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.

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Home Insurance Calculator

State

Texas

Dwelling Coverage

$250,000

Deductible

$500

Liability

$300,000

Personal Property

$50,000

Credit Score

Excellent
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on average

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These are annual estimates. Get a personalized quote to determine your costs.

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The Cheapest Homeowners Insurance Companies for Expensive Homes

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.

CHEAPEST HOMEOWNERS INSURANCE COMPANIES FOR HIGH-VALUE HOMES

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The Cheapest Homeowners Insurance Companies for Newer Homes

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.

CHEAPEST HOMEOWNERS INSURANCE COMPANIES FOR OLDER HOMES

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The Average Cost of Homeowners Insurance in Texas for Newer Homes

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.

AVERAGE COST OF HOMEOWNERS INSURANCE BY HOME AGE

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  • Year of Construction
    Average Annual Premium
  • 2015
    $2,242
  • 2000
    $3,393

The Cheapest Homeowners Insurance Companies in Texas if You Have a Pool

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.

CHEAPEST HOMEOWNERS INSURANCE COMPANIES FOR HOMES WITH A POOL

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The Average Cost of Homeowners Insurance in Texas for Pool Owners

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.

AVERAGE COST OF HOMEOWNERS INSURANCE WITH AND WITHOUT POOL

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  • Have a Pool?
    Average Annual Premium
  • With Pool
    $3,393
  • No Pool
    $3,393

Cheapest Home Insurance in Texas if You Have Poor Credit

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.

CHEAPEST HOMEOWNERS INSURANCE COMPANIES FOR POOR CREDIT

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The Average Cost of Homeowners Insurance in Texas by Credit Score

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.

AVERAGE COST OF HOMEOWNERS INSURANCE BY CREDIT SCORE

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  • Credit Score
    Average Annual Premium
  • Poor
    $6,608
  • Below Fair
    $4,594
  • Fair
    $3,845
  • Good
    $3,282
  • Excellent
    $2,758

Cheap Homeowners Insurance Quotes in Your Texas City

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.

AVERAGE COST OF HOMEOWNERS INSURANCE BY CITY

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How to Get Cheap Homeowners Insurance Quotes in Texas

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.

FAQs About Home Insurance Costs in Texas

Your situation and chosen insurer determine the cost of homeowners insurance in Texas. To help you find the cheapest home insurance in Texas, MoneyGeek answered some frequently asked questions.

Methodology

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.

About the Author


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Mark Fitzpatrick is a senior content manager with MoneyGeek specializing in insurance. Mark has years of experience analyzing the insurance market and creating original research and content. He graduated from Boston College with a Bachelor of Arts and Johns Hopkins University with a Master of Arts.