Insurance companies calculate home insurance costs according to how valuable your property is and how likely it is that something bad will happen to it.
The higher the probability that a damaging event will affect your property, the more expensive your home insurance policy will be. These potential damaging events are called "risks” or “exposures.” Let’s take a look at how risky Texas is compared to the rest of the US.
The good news is that the overall burglary rate in Texas is a bit higher than the national average. This can have a negative influence on insurance rates if you live in a high-crime area of this state.
- Average number of burglaries per 1,000 homes in the US: 3.76
- Average number of burglaries per 1,000 homes in TX: 4.11
Of course, even with insurance backing you up, you will want to reduce your risk of being targeted for a burglary. Many insurance companies offer policy discounts if you have a burglar alarm, deadbolt locks, and other security features installed in your home.
Severe weather events, such as hurricanes and tropical storms, can wreak havoc on residential properties in this state. Be sure that your home insurance provides all the coverage you need before disaster strikes.
- Number of federally declared disasters since 1953: 254
- Most common causes of disasters in the state: Fires, floods, and hurricanes
- Average number of tornadoes per year in the state: 146.7
- Amount paid in home insurance claims in 2016: $7,247,618,000
The size of your home can affect your home insurance rates, since larger homes tend to have more personal property inside them. The estimated cost to rebuild your home will also play a large role in how much your home insurance costs.
In Texas, the average home value is lower than the national average. However, in many of this state’s larger cities and their suburbs, properties values are significantly higher.
- Average home value in the US: $188,900
- Average home value in TX: $172,200