Best Homeowners Insurance Companies in Texas for 2023

Nationwide has earned an A+ (Superior) rating from AM Best for financial strength but scores low in customer satisfaction based on numerous negative online reviews left by policyholders. The company has a strong agent presence in Texas with many neighborhood offices.

With Nationwide’s standard homeowners insurance policy, you can enjoy coverage not offered by many other carriers. This includes reimbursement for credit card fraud and ordinance or law coverage if you need to rebuild and comply with more stringent codes.

You can also customize your policy with some unique options, like Better Roof Replacement, which will pay for upgraded roofing materials if they must be replaced following a qualified event. In addition, if you own a home and a car, you can bundle up home and auto insurance to save money. Unfortunately, if you’re after flood insurance, you will need to contact the National Flood Insurance Program (NFIP) and get a quote directly from them.

Another option, Brand New Belongings, provides replacement cost coverage for your personal belongings. You’ll be reimbursed for their depreciated value if your items are damaged or destroyed. You can then purchase replacements, send the receipts to Nationwide, and be reimbursed for the cost difference.

Not only does Farmers rank highest for the perks it offers, but it also has a high score for “online experience” because of how well it explains these perks and its discounts to current and prospective insureds. Some of these home insurance perks include:

• Guaranteed replacement cost: Farmers pays the full cost to rebuild your home, no matter how much it costs.
• Claim Forgiveness: your premiums won’t be raised because of a claim once you’ve gone claim-free with Farmers for five years.
• Declining deductible: earn $50 toward your home insurance deductible each year your home policy remains in force.
• Claim-free discount: receive a discount on your home insurance if you’ve been claim-free for three years.
• Multi-policy savings: save up to 34% on Farmers home insurance when you purchase multiple policies with Farmers

Farmers’ overall score of 9.3/10 reflects its low J.D. Power customer satisfaction ratings for policyholder service.

State Farm was our best overall option based on its solid agent presence in Texas, high customer satisfaction ratings, and affordable premiums. Its high J.D. Power policyholder service ratings are critical because of not only the agent presence in the aftermath of a tornado or other severe storm but also because of the many claims adjusters and claims offices State Farm has in Texas.

At State Farm, you can choose a standard homeowners insurance policy and add extra coverage options to fit your needs. These can include protection for meeting standards imposed by new ordinances and laws when re-building, identity theft, and valuable items like jewelry or collectibles. In addition, if you own a home and a car, you can bundle up home and auto insurance to save money. It’s worth noting that State Farm has the best possible financial strength rating from AM Best, with an A++.

To start the process of getting a quote from State Farm, you can begin online. However, to purchase a policy, you’ll need to work with a local agent. State Farm policyholders can easily access their accounts using the website or app. You can also use these tools to file claims and enroll in paperless billing. Additionally, the website offers a helpful resource library to learn more about insurance.

Chubb offers the cheapest home insurance in Texas. Its average policy cost is $1,362 per year, which is $1,170 less expensive than the statewide average.

Chubb offers the most affordable home insurance rates in Texas without compromising on coverage. Their policies are tailor-made for high-value homes, and they’re known for their strong financial stability and exceptional customer service. Unfortunately, if you’re after flood insurance, you will need to contact the National Flood Insurance Program (NFIP) and get a quote directly from them.

With Chubb, you’re not just getting low premiums but also extended replacement cost coverage that will repair or replace your items even if they’re worth less than their original purchase price.

Available only to Texas residents, Texas Farm Bureau provides basic home insurance coverage at competitive rates. The company has a strong customer service reputation in The Lone Star State and offers a healthy number of discounts if you qualify, which makes its rates even more affordable. In addition, if you own a home and a car, you can bundle up home and auto insurance to get a better deal.

One downside to Texas Farm Bureau is that you can’t get insurance quotes online for either their home or auto insurance. This can make it harder for you to get a quick price and compare it to quotes from other insurers. In addition, if you’re after flood insurance, you will need to contact the National Flood Insurance Program (NFIP) and get a quote directly from them.

Also, be aware that with Texas Farm Bureau home insurance, its “named-peril” policies only provide coverage if the damage to your home is caused by a peril specifically named in the policy.

Allstate has a total of 11 home insurance discounts, which is significantly higher than the home insurance industry average of seven discounts. Home insurance analysts, including me, consider some of Allstate’s discounts to be unique offerings. 

Allstate’s discounts include:

• Claims forgiveness: additional coverage which keeps your rate from increasing after you file a claim
• Claims-free: customers can get 5% back on renewal as long as they remain claims-free every year
• Deductible reward: $100 off deductible upon signing up
• Bundle: up to 25% savings for bundling home and car insurance
• Automatic payment: saves up to 5%
• Loyalty: up to 10% for renewing with Allstate
• Home buyer: discount for recent homebuyers
• New home: discount for insuring a newly constructed home
• Responsible payment: additional discount for having a good payment history
• Early payment: up to 10% for buying a new policy at least seven days before your old policy expires
• Protective device: discount for installing theft and fire protection

Almost double the industry average of five, Allstate also offers nine optional coverage types for homeowners insurance. Aside from the commonly offered ones like ID theft and scheduled personal property, Allstate offers unique coverage for homeowners with a yard and garden insurance option, which increases the coverage limits for replacing landscaping and riding lawnmowers.