By getting homeowners insurance in Texas, you’ll have a policy that will pay to fix or replace your home and personal property in the event that it becomes damaged or destroyed due to an incident that your policy covers. Such incidents are referred to as “covered losses.”
A policy is a contact that you and your insurance company enter. Be sure to read it completely to ensure you’re aware of what it covers and how much it is willing to cover. It is also important to know your rights; when you get a new policy or renew it, your company needs to give you the Consumer Bill of Rights by Texas for insurance.
Different Types of Texas Homeowner Coverage
Most Texas policies have the following types of coverage:
Dwelling will pay for your home if it is damaged or destroyed
Personal property will pay for damaged, stolen or destroyed items in the home
Other structures will pay for repairing or replacing detached structures, like garages and fences
Loss of use will pay for living expenses like food and housing if you must temporarily relocate due to house damage. The policy will either pay a percentage (up to 20 percent) or for a set period of time (24 months).
Personal liability will help pay for your court defense if you are responsible for someone else’s property damage or injuries.
Medical payments are for the bills of those who have been hurt on your property. It may also pay for injuries away from home, such as if your dog were to bite someone while at the park. The basic policy pays $500 in bills, but you can get up to $5,000 covered.
In Texas, an insurance company can sell various kinds of policies. If the company offers you a policy that doesn’t offer sufficient coverage, ask if there are other kinds of policies available. Texas policies can be categorized as either:
All-risk policy: This is a policy that provides the broadest protection and covers essentially any type of loss, unless the policy has specifically excluded a named item.
Named perils policy: Unlike the all-inclusive type, this type of policy is a bit narrower by naming specific types of damage it covers; if it isn’t listed, it isn’t covered.
Cheapest Texas Homeowners Insurance
Cities that offer the cheapest home insurance in the state of Texas are scattered all around the land, but most are far from the Gulf of Mexico, which is prone to tropical storms and hurricanes. The northern area of the state has tornadoes as well, so the cheapest policies are in centrally located cities.
El Paso: Recently cited as the safest big city for new families, El Paso is right on the border to Mexico, just opposite of Juarez and mere minutes from New Mexico. Not only is El Paso the safest, but it has some of the cheapest rates for home insurance throughout the state. Most residents pay about half of what the rest of the state does on average.
San Marcos: The fastest growing city of 2013 and 2014, San Marcos is 30 miles south of Austin and about as far from San Antonio. With several outdoor activities and a rich culture, there’s no shortage of what to do when visiting the city. It also comes with rather low homeowner insurance rates, saving about 41 percent compared to the average town in Texas.