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Checked against official sources · Last reviewed October 13, 2026

What homeowners insurance costs in Texas: average premium, 2023 $2,864 a year in Texas vs. $1,737 countrywide · 2nd highest of 51 · All states (HO-3 policies; NAIC)

The Texas home insurance market right now

TDI's homeowners market overview (checked Oct. 13, 2026) counts 8,233,096 active policies in 2025 and lists 157 companies (81 groups) selling homeowners insurance. It puts the average annual homeowners premium at $3,489. That is a preliminary 2025 figure for all homeowners policies, from the data insurers report to TDI (the Texas Statistical Plan for Residential Risks). On TDI's chart the average rose from $2,374 in 2022 to $2,795 in 2023 and $3,291 in 2024.

The NAIC average shown near the top of this page ($2,864) is a different measure: it covers 2023 and only the HO-3 policy form, from the National Association of Insurance Commissioners' national report (which got its Texas data from TDI). That is why the two numbers don't match. Neither is a quote for your home.

Rates are easing for many people. TDI said on Oct. 8, 2026, that most homeowners insurers that filed rate changes since July 1 proposed decreases, affecting about 700,000 Texas policyholders. Filed homeowners rate changes over the past 90 days averaged a 4.3% decrease.

The market is still hard for some homes. As of June 30, 2026, the Texas FAIR Plan insured 118,486 properties and TWIA insured 288,676 properties.

You can see sample rates from companies selling in your area on HelpInsure.com, a site from TDI and the Office of Public Insurance Counsel. You can also search home insurance rate filings on TDI's rate filing page. [1][4][9][10][11][12][13]

Last-resort options: the Texas FAIR Plan and TWIA

A FAIR plan (Fair Access to Insurance Requirements plan) is a state-created insurer of last resort for people who can't buy coverage from regular companies. Texas has two last-resort plans.

Texas FAIR Plan Association (TFPA). TDI says you can apply if you own a house, town house, condo, or manufactured home, and the FAIR Plan also sells renters insurance. You must have been turned down by two insurance companies. You won't qualify if a company has offered you a policy or a renewal. You apply through a licensed agent; TFPA doesn't sell directly. TDI's guide calls FAIR Plan coverage "basic home insurance." See our Texas FAIR Plan page.

Texas Windstorm Insurance Association (TWIA). TWIA sells wind and hail coverage for coastal residents who have been turned down by an insurance company. It covers 14 coastal counties: Aransas, Brazoria, Calhoun, Cameron, Chambers, Galveston, Jefferson, Kenedy, Kleberg, Matagorda, Nueces, Refugio, San Patricio and Willacy, plus parts of Harris County east of Highway 146 (La Porte, Morgan's Point, Pasadena, Seabrook and Shore Acres, inside city limits). You buy it through your insurance agent. See our TWIA page.

On the coast you may need both. The FAIR Plan may not sell wind and hail coverage for property TWIA can cover, so a coastal FAIR Plan policy carries a wind and hail exclusion and you would add a TWIA policy.

Both plans pause new coastal policies when a hurricane threatens. TDI warns that you can't get a TWIA policy if there's a hurricane in the Gulf of Mexico, so don't wait until the last minute. During a policy moratorium, TWIA stops issuing new policies and increasing coverage, and the FAIR Plan stops taking applications for new policies or increased coverage in the 14 coastal counties and Harris County. The most recent moratoriums, for Hurricane Isaias, were lifted on Oct. 8, 2026, and both plans resumed taking applications on Oct. 9. [1][2][3][14][15][16][17][18][19][20]

If your insurer cancels or won't renew your policy

Texas Insurance Code chapter 551 sets the rules for homeowners policies sold by licensed Texas insurers.

Nonrenewal. An insurer must renew your policy at your request unless it mailed you written notice of nonrenewal no later than the 60th day before the policy expires (Insurance Code 551.105). The 60-day rule (House Bill 1900, 2023) applies to policies issued or renewed on or after Jan. 1, 2024. TDI notes that policies bought or renewed in 2023 or earlier got 30 days' notice.

Cancellation (ending a policy before its end date). An insurer may cancel only if:

• you don't pay the premium when due;
• you submit a fraudulent claim;
• TDI determines that keeping the policy would break insurance law; or
• the hazard increases, within your control, in a way that would raise your premium.

A cancellation for those reasons doesn't take effect until the 10th day after the insurer mails notice. A new homeowners policy can also be canceled in its first 60 days if the insurer finds an undisclosed condition that increases risk (and wasn't part of a prior claim), or doesn't accept a required inspection report. A cancellation that breaks these rules "has no effect."

Claims and nonrenewal. An insurer may refuse to renew if you filed three or more claims in a three-year period. Claims from natural causes (weather), claims that weren't paid, and certain appliance-related claims don't count. To nonrenew you for claims, the insurer must first have warned you in writing after your second claim; if it didn't, it can't nonrenew you because of claims. It can't decline, cancel or nonrenew you just because you called with a question that didn't become a claim.

Written reasons. Under House Bill 2067 (2025), the company must give you a written statement saying why it declined your application or canceled or didn't renew your policy. This applies to applications made and policies issued or renewed on or after Jan. 1, 2026. The statement must name the precise incident, circumstance or risk factor and the source of the information. Companies also report their reasons to TDI, and TDI posts a summary by ZIP code and policy type (not by company) on its declined, canceled, not renewed page. That reporting started April 1, 2026.

Age of your home or roof. On Sept. 29, 2026, TDI said its rule makes clear that companies can't decline or nonrenew a home policy simply because the house or its roof, wiring, plumbing, heating, air conditioning or siding is older. They may still base decisions on the physical condition of those parts.

TDI's advice when you're dropped: start shopping and have a new policy in place before the old one expires. If you think the company acted unfairly, you can file a complaint with TDI. More on this in our nonrenewal guide. [2][4][5][21][22][23][24]

Discounts for protecting your home

Each Texas insurer decides which discounts it offers and how much. TDI lists discounts you may be able to get, including for an impact-resistant roof, a monitored alarm or sprinkler system, a newer home or one in good condition, and no claims for three years. HelpInsure.com shows what discounts companies offer.

On Sept. 16, 2026, TDI issued a bulletin (B-0008-26) pushing home insurers to give premium discounts to homeowners who make their homes more resistant to storms and wildfires, such as roofs built to the IBHS FORTIFIED Home standard. TDI also recommends changing state law to require insurers to consider wind, hail and wildfire protection when setting rates; the Legislature's next session begins in January. See our FORTIFIED roof guide. [2][25][26]

Wind and hail deductibles

Outside the coast, your homeowners policy probably includes wind and hail coverage, but TDI notes you may have a different deductible for windstorm damage. A deductible can be a dollar amount or a percentage of your coverage.

TDI's example for a home insured for $150,000: with a $500 deductible, a $6,500 hail repair pays $6,000. With a 5% deductible, the deductible is $7,500, so the same $6,500 repair pays nothing. The deductible applies to each claim. Try our hurricane deductible calculator to see what a percentage deductible means in dollars. [15][27]

Windstorm certificates on the coast (WPI-8)

To get TWIA coverage, a coastal home generally must have a certificate of compliance showing it was built or repaired to the windstorm building code. TDI issues these as the WPI-8 (new and ongoing work) and WPI-8-E (completed work); TWIA issued WPI-8-C certificates from 2017 to May 2020. Not every repair needs one; ask your local windstorm inspections office before you start work.

You can search for a WPI-8 or WPI-8-E online. TDI offers a free TDI inspector, or you can hire a Texas-licensed engineer or appointed qualified inspector. Questions go to TDI's Windstorm Inspection Program at (800) 248-6032 or tdi.texas.gov/wind. [7][28][29][30]

Surplus lines companies

If no Texas-licensed company will insure you, TDI says a surplus lines company may be an option. These are out-of-state companies that insure risks Texas-licensed companies won't. They don't have a Texas license but must meet state standards and be licensed in their home state or country. An agent must make a good effort to find coverage with a Texas-licensed company first. TDI notes that FAIR Plan and surplus lines coverage cost more than coverage from a standard company. See our surplus lines guide. [2]

Flood is separate

TDI says most home policies don't cover flood damage, and TWIA policies don't cover flood damage either. Flood coverage comes from a separate policy. TWIA can also require proof of flood insurance before it covers some coastal buildings: those built, altered, remodeled or enlarged on or after Sept. 1, 2009, partly or fully in a flood zone with storm-wave hazard (such as Zone V) in areas the commissioner designates, when federal flood insurance is available (Insurance Code 2210.203). Our sister site FloodHawk explains flood zones and flood insurance. [2][6][31]

Where to get help

- TDI Help Line: (800) 252-3439, 8 a.m. to 5 p.m. Central, Monday to Friday. - File a complaint: start at TDI's complaint page. TDI asks the company to respond, and companies have 15 days (plus a possible 10-day extension). TDI can't make a company pay unless not paying breaks the law or your policy. - TWIA claim problems: TDI's Coastal Outreach and Assistance Services Team (COAST) at (855) 352-6278. - Windstorm inspections: (800) 248-6032. - Shop and compare: HelpInsure.com. [2][7][8][13][32]

Questions people ask