Best Homeowners Insurance Agencies in Houston

Frequently Asked Questions

• Introduction

  Homeowners' insurance is a type of property insurance used by private property owners to protect their home and property from a range of risks and liabilities. It is also called home insurance.
  

  
  

  All homeowners' insurance policies cover the primary home on a property, meaning that most damage from weather, accidents, vandalism, and other events will be at least partially paid for by the insurance company. Many policies also include coverage for other structures, personal property, and some premises liability.

  
  

  It is not required by law that a homeowner purchases insurance for their property. However, if you have a mortgage, the lender will usually make purchasing a homeowners' policy a mandatory part of the loan process. Since the mortgage lender is essentially selling you the home, they require you to protect the investment.
  

• Will a standard home insurance policy in Houston cover repair costs for water-related damage?

  It depends on the cause of water damage. Homeowners’ insurance in Houston usually includes water damage protection due to things like bathtub overflows and burst pipes. However, a standard policy often does not cover flood damage unless purchased by the homeowner as an add-on. This also applies to earthquakes, which can only be covered additionally or through a different policy.

• Should you still purchase a flood insurance add-on if you live outside designated flood zones in Houston?

  Yes, because living outside floodplains does not mean your house is immune to flood damage. In fact, over half of Southeast Texas homes affected by Hurricane Harvey in 2017 stood outside flood zones that were previously predicted to have a 1% chance of flooding in any given year. If your provider in Houston does not offer flood insurance, you may visit the FloodSmart website to check whether you qualify for coverage through the National Flood Insurance Program (NFIP).

• How much will it cost to insure a house in Houston with a $500,000 limit in dwelling coverage?

  The average yearly premium for a home insurance policy with a $500,000 dwelling coverage limit is $4,973. In comparison, the average annual premium paid by Houston homeowners is $2,936. Home insurance in the city costs about 1% more than the statewide average. It is also 67% more than what an American will usually pay.

• If someone gets injured at your home in Houston and a lawsuit ensues, will your insurance policy cover legal fees?

  Yes, your homeowners’ insurance in Houston will pay for legal expenses, such as court and attorney fees, in the event of an injury lawsuit. Policies usually include personal liability coverage, which protects you from the financial repercussions of accident-related injuries that may happen on your property. Medical expenses associated with the injury will also be covered by your insurer.

• Is the replacement value of your home in Houston the same as its market value?

  No, replacement value and market value are two different estimates and depend on different factors. The replacement value of your Houston home will be affected by labor and construction costs and your house’s floor area, age, architectural style, and interior features. The number of rooms and stories, as well as renovations and additions you have made, will impact the rebuilding cost.

• What determines the price of homeowners insurance premium?

  The premium, or monthly cost, of your homeowners' insurance policy depends on several factors, including the value of your home and amount of coverage you choose. Your credit history and whether the property is in a higher risk area also play a role.