In this explainer

Texas has no hurricane crisis like Florida and no wildfire crisis like California, yet the average homeowner still pays about $2,760/yr. The reason is hail and severe storms. Here is what is going on.

General information, not professional financial, tax, legal, or insurance advice. The Dreamy Leads Research Desk is an editorial and data team, not a licensed advisor.

Chapters

  1. 0:05 The headline number
  2. 0:20 The hail and wind driver
  3. 0:41 Not really a flood story
  4. 1:01 Who writes the policies

See your Texas numbers

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Full transcript

The headline number

Texas's average home-insurance premium runs about $2,760/yr, and auto runs about $2,280/yr. These are descriptive market averages, not quotes - every home is priced on its own risk. General information, not professional financial, tax, legal, or insurance advice.

The hail and wind driver

Here is what makes Texas different. The cost is not hurricanes or wildfire - it is hail and severe convective storms. Texas leads the country in hail and wind claims year after year, and those losses flow straight into home premiums, even hundreds of miles inland. This is general information, not advice.

Not really a flood story

To see the point, look at flood. Only about 9% of Texas homes sit in a mapped flood zone, yet premiums run high statewide - because the dominant peril, hail, is not a coastal or flood risk. It falls on inland metros like Dallas and Fort Worth as hard as anywhere.

Who writes the policies

The carriers writing the most Texas policies include State Farm, Allstate, Farmers. In a high-hail market, roof age and roof-coverage terms swing the premium hard between carriers, so comparing several - and reading the roof clause - is the most reliable way to control cost. General information, not professional financial, tax, legal, or insurance advice.

Frequently Asked Questions

Why is Texas home insurance so expensive if it is not on the coast?

Because the main driver is hail and severe convective storms, not flood or hurricane. Texas leads the nation in hail and wind claims, and those losses raise premiums statewide, including far inland. Roof age and roof-coverage terms are major rating factors. This is general information, not advice.

Do I need separate flood insurance in Texas?

Often, near rivers and the coast. Standard home insurance excludes flood, and homes in mapped flood zones typically need a separate flood policy, frequently required by lenders. Statewide only a modest share of homes fall in a flood zone, but the dominant Texas peril, hail, is covered under a normal policy subject to your roof terms.

Sources