We collected insurance quotes across 57 cities in the state of Texas in order to determine which areas have the highest and lowest annual home insurance costs. According to our research, Texas homeowners pay on average $2,355 per year for home insurance. Across the 57 cities, United Property had the best average annual homeowners insurance rates in Texas. Read more about our findings below, or use our quote tool above to start finding home insurance quotes in your area.
- Cheapest Home Insurance Companies
- Homeowners Insurance Rates in Texas' Largest Cities
- Top 5 Least Expensive Cities for Home Insurance in Texas
- Top 5 Most Expensive Cities for Home Insurance in Texas
- Best Homeowners Insurance Companies in Texas
Cheapest Home Insurance Companies in Texas
We gathered quotes with wind coverage for our sample home from AIG, State Farm, Travelers, and United Property. Quotes from each company were averaged to find which insurance companies had the cheapest home insurance rates in Texas. The graph below shows the average annual costs to insure our sample home by company and the state average:
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Homeowners Insurance Rates in Texas's Largest Cities
We collected homeowners insurance rates across the ten most populous cities in Texas. Our study utilized control variables to gather rates and compare each city's home insurance costs. The mean cost of home insurance in the ten largest cities was $2,081 per year, which is $274 less than the state average.
Houston is the most populous city in the state of Texas and has the fourth highest city population in the United States. The city is home to the Texas Medical Center, which has one of the largest concentrations of healthcare facilities, and NASA's Johnson Space Center. According to our study, the average annual homeowners insurance quote in Houston was $2,871 per year, which is $516 more than the state mean.
United Property and Travelers quoted home insurance rates of $2,085 and $2,120 for our sample home, respectively. State Farm's quote of $4,771 was more than twice the rates offered by United Property and Travelers. Houston ranked as the second most expensive city for homeowners insurance out of the ten most populous cities in Texas.
San Antonio, TX
San Antonio is the second largest city in the state and the seventh most populous city in the United States. The U.S. armed forces have multiple bases in and around the city including Fort Sam Houston, Lackland Air Force Base, and Randolph Air Force Base. On average, residents of San Antonio pay $1,456 for homeowners insurance each year. Home insurance rates in the city are 38% less expensive than the average in Texas.
The rates in San Antonio were much lower compared to the quotes from Houston. United Property quoted the cheapest home insurance rate in the area at $954. Travelers offered the second least expensive home insurance quote at $1,173. The most expensive quote was offered by AIG at $1,932. San Antonio ranked as the third best city for homeowners insurance in terms of cost out of the ten most populous cities in our study.
Dallas is the third most populous city in Texas and the ninth largest city in the United States. The city is located in four different counties but mostly lies in Dallas County. We found that the average homeowners insurance quote in the city of Dallas was $2,075, which is $280 less than the state mean.
The most affordable rate in the area is offered by United Property at $1,273. The second lowest rate quoted for our sample home was offered by AIG at $2,026. And the most expensive rate was quoted by State Farm at $2,835, which is $1,562 more than United Property's quote. According to our research, Dallas is the sixth cheapest city for homeowners insurance compared to the ten most populous cities in Texas.
Austin, the capital of Texas, is the fourth largest city in the state and the second most populous state capital in the United States. Texas Instruments is headquartered in Dallas and many Fortune 500 companies have regional offices in the city. Residents pay an average of $1,429 a year for homeowners insurance.
State Farm offered the most expensive home insurance quote for our sample home in Austin at $1,928. AIG offered the second highest rate of $1,744, which is $184 less than State Farm's quote. United Property offered the lowest rate in the city of $891 per year. Out of the 57 cities in our study, Austin ranked as the fourth cheapest city in Texas with some of the best home insurance rates in the state.
Fort Worth, TX
Fort Worth is the fifth most populous city in Texas. The largest employers in the city are American Airlines and Lockheed Martin, with approximately 25,000 employees and 13,000 employees, respectively. The average homeowners insurance rate in Fort Worth was $2,256. This rate is $100 lower than the state average, which represents a 4% discount.
United Property quoted our sample home an annual insurance cost of $1,405. State Farm offered the most expensive quote in the city of $3,106. Fort Worth ranks near the middle for affordable home insurance rates in Texas, landing at 30th most affordable city of the 57 cities in our study.
El Paso, TX
El Paso, located in the western part of Texas, is the sixth largest city within the state. The city has numerous military facilities including Fort Bliss, which is one of the largest United States Army military complexes. The average home insurance rate for our sample home in El Paso was $1,226, which is 48% more affordable than the state mean.
If you’re looking for affordable home insurance rates in El Paso, we suggest starting with United Property which quoted our sample home a premium of $442 annually. State Farm offered the highest rate at $2,115, which is $1,673 more per year than United Property's quote. El Paso ranked as the most affordable city out of the 57 cities used in our study.
Arlington is the seventh largest city in Texas. It is home to the Dallas Cowboys' AT&T Stadium, the Texas Rangers' Globe Life Park in Arlington, and the Dallas Wings' College Park Center. Our research found that the average home insurance cost in Arlington was $2,276, which is $79 less than the average in the state of Texas.
United Property offered the lowest quote in the city at a cost of $1,405 per year. The second most affordable homeowners insurance quote gathered was offered by Travelers at a cost of $2,288. State Farm, the most expensive insurer in the state, offered the highest quote at $3,106 per year, which is $818 more than Travelers' quote.
Corpus Christi, TX
Corpus Christi is the eighth largest city in Texas. The city is located on the coast of South Texas and its nickname is 'Sparkling City by the Sea.' Based on our research, the average cost of home insurance in Corpus Christi was $3,631 per year, which is 54% more expensive than the state mean.
Travelers, the second most affordable insurer in the state, quoted the most expensive rate for our sample home at an annual cost of $4,771. The lowest rate was quoted from United Property at $1,898 per year. Corpus Christi ranks as the fifth most expensive city for home insurance in Texas out of the 57 cities included in our study.
Plano is the ninth largest city in the state of Texas. Numerous corporate headquarters are located in the city, including those for Dr Pepper Snapple Group, Frito-Lay, Pizza Hut, and JCPenney. We found the mean annual home insurance cost in Plano to be $1,914, which is $441 less than the state average.
United Property quoted the lowest rate for our sample home in Plano at $1,397 annually, which is $1,573 less than the rate of $2,970 provided by State Farm. According to our study, homeowners in the city of Plano pay 19% less for their home insurance compared to the state average. Out of the ten most populous cities in Texas, Plano ranks fifth for the lowest home insurance rate.
Laredo, bordered by the Rio Grande, is the tenth most populous city in the state of Texas. Due to its proximity to the border, it is a hub for trade between the United States and Mexico. Our research found that the average home insurance rate in Laredo was $1,681 per year, which is 29% less than the state mean.
State Farm offered a quote of $2,740 in Laredo, which is more than four times United Property's quote of $575. Travelers quoted the second most affordable rate of $1,467 for our sample home, which is $474 cheaper than AIG's rate of $1,941. Laredo had the eleventh cheapest average rate for homeowners insurance out of the 57 cities in our study.
Least Expensive Homeowners Insurance in Texas: by City
The graph below shows the five cheapest cities in Texas of all 57 cities from our study. The cities are listed in order of mean price, starting with the lowest average home insurance rate and ascending. The figures listed in the graph show the average home insurance rate in each city. El Paso, the sixth largest city in Texas, is the most affordable city in the state for homeowners insurance. On average, residents pay $1,226 each year, which is $1,130 lower than the state average.
El Paso, TX
As we mentioned previously, El Paso is the most affordable city in the state of Texas for homeowners insurance. Residents pay $1,226 on average, which is $135 less than the second cheapest city, Georgetown. United Property offered the lowest quote at $442.
Georgetown offers the second cheapest premiums for home insurance of the 57 cities in our study. The average home insurance quote in the city was $1,361, which is 42% cheaper than the state mean. The most affordable quote in Georgetown was offered by United Property at $777 per year.
Cedar Park, TX
Cedar Park ranks as the third best city in Texas for home insurance. The average homeowners insurance rate collected for the city of Cedar Park was $1,361 which is the same rate as Georgetown. The average quote is $994 less than the state mean. The lowest offer was quoted by United Property at $777.
Austin had the fourth most affordable home insurance rates in the state. Residents pay on average $1,429 per year, which is $926 less than the state average and represents a 39% discount.
San Antonio, TX
San Antonio is ranked as the fifth least expensive city in Texas for home insurance. On average, residents pay $1,456 for home insurance, which represents a 38% lower rate when compared to the state mean. On an annual basis, residents save $900 on homeowners insurance.
Most Expensive Homeowners Insurance in Texas: by City
The graph below shows the five most expensive places of all 57 cities from our study. The cities are listed in order of price starting with the highest average rate and descending. The figures listed show the mean home insurance rate in each city. The most expensive city for homeowners insurance was Galveston where our research found an annual average premium of $4,601, which is almost double the state mean.
Best Homeowners Insurance Companies in Texas
When you're looking for the best home insurance company in Texas, you should incorporate a variety of factors into your decision, including coverage features, price, stability and customer service. Here, we've focused on service quality via customer complaints. By that standard, the top-rated homeowners insurance companies in Texas are Chubb, Homeowners of America, Amica, State Farm and USAA. Rating among the worst insurance companies in Texas are MetLife, AAA, Progressive, Nationwide and Travelers. However, policyholders in Texas generally seem satisfied with their insurers: 12 of the 14 largest home insurance companies in the state ranked above average for customer complaints.
We measured customer satisfaction by a complaint ratio collected from the National Association of Insurance Commissioners. Customer complaints are weighted by market share, so the number of complaints is adjusted relative to the size of a company, with a median score of 1.0. A lower complaint index indicates that customers are less likely to be unhappy with their service.
|Rank||Company||Market Share||Complaint Index|
|5||Liberty Mutual (Safeco)||8.2%||0.24|
|8||Texas Farm Bureau||2.9%||0.24|
|9||Progressive (ASI Lloyds)||2.2%||0.8|
|14||Homeowners of America||1.2%||0.18|
Texas Homeowners Insurance Companies Reviews
We've reviewed the top five largest homeowners insurance companies in Texas, based on market share: State Farm, Allstate, Farmers, USAA and Liberty Mutual. In reviewing the insurers, we focused on policy coverage and features, customer experience, cost and financial stability.
State Farm is the country's biggest home insurer by market share, and it's the biggest provider in Texas too. One of State Farm's biggest competitive advantages is its large network of dedicated agents—over 18,000—so if you're looking for a personal customer service experience, you can find that with the nation's leading home insurer.
Unfortunately, State Farm has some of Texas' highest rates. As you can see from our data above, State Farm quoted policies that are easily the most expensive in the state. State Farm may have scale and a strong agent network, but you'll be paying a premium for the experience.
Backing up its reputation for strong customer service, State Farm had the fourth lowest customer complaint ratio of the 14 top insurers in Texas and the lowest among the five largest home insurers in Texas. You'll have little to worry about from a financial stability perspective, either: State Farm received A.M. Best's highest possible rating of "A++" for its financial condition and operational performance.
Allstate is the second biggest home insurer in Texas by market share and represents another established option in the market for Texans looking for a big name. Allstate's main competitive advantage is the number of optional coverage options you can add to your policy. Allstate provides many standard add-ons like identity theft and water backup coverage for an additional fee. However, the insurer also offers rarer add-on features such as Claim RateGuard, which prevents your premium from going up just because you filed a single claim.
These add-on features increase your premium, but the increase will come from a relatively low base: Allstate had some of the cheaper home insurance rates in Texas among our sample.
Compared to other top insurers in the state, Allstate ranks middle of the pack for customer complaints. However, this reflects the stellar customer service of other Texas insurers rather than poor service by Allstate, as its complaint ratio of 0.38 puts its customer complaint levels well below the national median of 1.0. Allstate is also financially strong, receiving a rating of "A+" from A.M. Best, meaning its financial strength is superior.
Farmers, the third largest insurer in Texas, is your insurer of choice if you're looking for the cheapest rates. Quoting policies in Texas, Farmers consistently rated as one of the most affordable major homeowners insurance companies.
Outside of its affordability, Farmers homeowners insurance policies represent a fairly standard package of homeowners insurance features, and its add-on features, such as Identity Shield, an identity theft coverage feature, are run of the mill. The insurer does tend to reward loyal and low-risk customers, as it offers declining deductibles for every year your policy remains in force, discounts for being claim-free for three or more years and claim forgiveness if you've been claim-free with Farmers for five years in a row.
From a customer satisfaction perspective, Farmers ranks similarly to Allstate: Its consumer complaint ratio is middle of the pack compared to other major insurers in Texas but strong when compared to the national median. The company received a financial strength rating of "A-" from A.M. Best, which, while not as strong as State Farm or Allstate, still rates the insurer as being in excellent condition to meet its insurance obligations.
The United Services Automobile Association (USAA) is an insurer with a strong reputation serving customers with military service and their families. Texas has the second largest veteran population in the country, and USAA could be a great home insurance option for current or former service members looking for a policy catered to their needs.
USAA offers both low rates and solid standard coverage. Its prices in Texas were generally average or cheaper than average, and its standard coverage package includes replacement cost coverage for your home and personal belongings and identity theft coverage, features that usually cost extra with other insurers.
With a consumer complaint ratio ranking fifth of the 14 largest insurers in Texas, it appears that USAA customers are generally happy with the insurer's service. USAA is also financially strong, with A.M. Best's highest possible rating of "A++" given its balance sheet strength and favorable business profile, putting the company on par with State Farm in that respect.
The fifth largest insurer in Texas, Liberty Mutual unfortunately stands out for its expensive rates, as it consistently ranked as one of the pricier insurers in the state, comparable to State Farm. If you get a Liberty policy in Texas, you may also be served by Safeco, a Liberty Mutual subsidiary.
Liberty Mutual home insurance policies offer the standard coverage features you'd expect from a major insurer. Its add-on features are limited compared to other major home insurance companies, but it does have a unique inflation protection endorsement, which automatically adjusts your coverage limits to keep pace with inflation.
Liberty Mutual has a decent customer service reputation—on par with State Farm and USAA, as measured by the consumer complaint ratio. And though it has high rates, there are a variety of ways you can save on its policies, especially if you're a new homeowner: Liberty offers several discounts on newly purchased or built homes. Like the other insurers in this list, Liberty Mutual rates as financially strong, receiving a rating of "A" from A.M. Best, indicating an excellent ability to meet its insurance obligations.
We evaluated 57 cities, spread throughout the state of Texas. The sample home we used was built in the year 2008 and made of brick veneer. Quotes were collected from the Texas Department of Insurance, applying a $200,000 coverage level and an average credit rating. The costs were then averaged to arrive at a mean value for each city. Below is an alphabetical list of all the cities included in the comparison analysis. We've displayed all cities from Abilene to Wylie with the mean annual cost of insurance as the benchmark property and the insurance costs for each city relative to the statewide mean.
|Rank||County||Average Insurance Rate||Cost Compared to Average|