If you recently moved to Houston or just bought a home in the Bayou City, you’ve made a great decision. When you consider the affordability of H-Town living, paired with the city’s cheap homes and ample employment opportunities, life in the city is as sweet as pecan pie. Plus, since the sun is out pretty much year-round, you can enjoy all of Houston’s great sports teams, outdoor parks, and some of the world’s best barbecue cooking anytime and anywhere in the city.

But life in “the city with no limits” does have its limitations from time to time. Houston is known for its extreme heat, tornadoes, and hurricanes. In 2019, Houston was rated the eighth riskiest city to live in because of these extreme natural disasters.

The best way to keep your home protected from all of Houston’s natural perils is with homeowners insurance. Searching for affordable home insurance in Houston can be stressful, but Insurify is here to help.

Use Insurify’s comparison tools to look at multiple insurance companies, coverage options, and home insurance quotes to find the best Texas home insurance policy for you in just minutes.

Overpaying for Hosuton home insurance?

Find Out


How to Find Cheap Home Insurance in Houston

Houston faces some serious natural disasters, but homeowners can take steps to minimize risk and protect their home and personal belongings. 

The first step to protecting your property is homeowners insurance. Though not required by law, home insurance provides financial liability protection for your property and belongings from natural disasters or theft. Different coverage levels are available for different property types and locations. 

Although houses and living expenses are pretty cheap in Houston, insuring your home can get pricey. This is mostly because of all the potential damages that your Texas homeowners insurance is intended to cover.

Houston isn’t the most walkable city, so you probably have a car and pay a pretty penny for car insurance. One of the easiest ways to lower your annual premiums is by bundling your insurance products, so ask your insurance agent how much you could save by bundling your home and auto insurance policies. 

Keep reading for a full guide on Houston home insurance. 

For general information on Texas home insurance, check out our guide to find the best homeowners insurance in Texas. For more city-specific information, here are our guides to Corpus Christi homeowners insurance, Austin homeowners insuranceEl Paso homeowners insurance, Fort Worth homeowners insurance, Arlington homeowners insurance, and Dallas homeowners insurance.


Cheapest Home Insurance in Houston by Company

Homeowners insurance rates aren’t always designed with savings in mind. That’s where Insurify comes in.

As of 2020, the average home insurance premium in Houston costs $3,645 annually, and the median home value is $196,902. 

The average cost of insuring your Houston home is nearly 50 percent more expensive than the average cost of homeowners insurance nationally. And the costs don’t stop there. You’ll also want to purchase additional coverages like flood insurance for your Houston home so you don’t have to cover the cost of repairing water damage after a tropical storm

With all of these expenses, you’ll want to know which home insurance companies in Houston offer the best home insurance coverage at affordable premiums. Insurance providers like Texas Farmers Insurance, Amica, and State Farm each offer different coverage amounts and deductibles, so it’s important to know what each company’s home insurance quotes include before committing to a policy. 

Here are some of the most affordable home insurance companies in Houston, TX. 

Average Home Cost in Houston Average Annual Insurance Premium in Houston
$196,902 $3,645

Cheapest ZIP Codes in Houston for Home Insurance

Most H-Town residents try to live in the Inner Loop, but that doesn’t mean that every Houston resident faces the same home insurance rates.

Like property costs, home insurance varies in price from city to city. Pricing is determined by ZIP code–specific variables, such as the volume of claims filed nearby, crime rates, and property costs, and risk variables, such as natural disaster frequency. Even your specific neighborhood may determine if you pay more or less on our annual premiums. 

Rates across Houston are still relatively high compared to the national average, but you could face cheaper home insurance premiums depending on the town you live in. Here are the most and least expensive ZIP codes in Houston for home insurance.

Most Expensive Real Estate in Houston Cheapest Real Estate in Houston
River Oaks $2,218,750 South Belt $189,243
Piney Point $2,150,000 Willowbrook $183,177
Hunters Creek $1,999,000 Greater Inwood $164,833

Home Insurance Coverage Types in Houston

There are several types of home insurance. Specific terms of insurance policies may vary by city, but in general, the standard policy types are as follows:



  • The simplest and least comprehensive type of homeowners insurance
  • Provides coverage for a handful of potential problems, including
    • Dwelling coverage for damages from some natural disasters (storms, fires, wind, lightning, volcanic eruption), 
    • explosions, 
    • theft, 
    • damage from vehicles, 
    • or civil commotion. 

Broad Form

  • Broad form homeowners insurance policies include all basic form coverage, plus protection from:
    • falling objects, 
    • damage from the weight of ice, snow, or sleet, 
    • freezing of household systems including HVAC and pipes, 
    • sudden and accidental damage to pipes and other household systems from artificially generated electrical current, 
    • accidental discharge or overflow of water or steam,
    • sudden and accidental damage. 
  • HO-2 policies typically cover both dwelling protection and personal property.
  • In some cases, broad form coverage may also include liability coverage. However, it still only covers the specific damages listed in the policy.

Special Form

  • The most common form of homeowners insurance is known as a “special form” policy.
  • While HO-1 and HO-2 policies are “named peril” policies (meaning they only cover dangers that are specifically listed in the policy), HO-3 policies are “open peril” policies meaning they’ll cover all dangers except those specifically excluded in the policy documents.

Tenant’s Form

  • HO-4 policies, also known as renters insurance, are for people who lease rather than own their homes. 
  • Tenant’s form policies typically cover all the same dangers as HO-2 policies. 
  • These policies include personal property coverage and liability coverage but don’t cover the physical structure of the house. 
  • Some HO-4 policies may also include loss of use coverage for the tenants.


  • Comprehensive form policies are usually the broadest and provide the highest level of coverage; not surprisingly, they also tend to be the most expensive type of homeowners insurance policies.
  • The biggest difference between HO-3 and HO-5 policies is that most HO-3 policies are “actual cash value” policies, whereas typically HO-5 policies are “replacement cost value” policies.
  • An actual cash value policy will only reimburse you for the actual value of a damaged or destroyed item, while a replacement cost value policy will reimburse you for however much it would cost to completely replace or repair the damaged or destroyed item (up to the coverage limits on the policy). 
  • HO-5 policies also provide personal property coverage against a wider range of dangers than the typical HO-3 policy. Many HO-5 policies also have extra coverage for high-value personal property, such as jewelry and artwork.

Condo Form

  • Not surprisingly, condo form insurance is for condominium owners. HO-6 policies generally protect against the same types of dangers as HO-3 policies. 
  • They provide dwelling protection coverage with a twist: HO-6 policies cover the walls, floors, and ceiling of the condo unit but not the rest of the building. 
  • These policies also include personal property and liability coverage and may include loss of use coverage.

Mobile Home Form

  • If you own a mobile home or manufactured home, you likely have an HO-7 policy. 
  • Mobile home form policies are typically identical to HO-3 policies, except they’re designed specifically for mobile and manufactured homes.
  • Like HO-3 policies, they provide dwelling protection coverage, other structures coverage, personal property coverage, liability coverage, and possibly loss of use coverage as well. 
  • HO-7 policies generally only protect the home when it’s stationary; if you plan to move your mobile or manufactured home, you’ll need to get a special policy to cover it while it’s in transit.

Older Home

  • Older homes have generally been built to less stringent code standards than recently built homes, and so insurers have designed a specialized type of homeowners insurance policy for them. 
  • HO-8 policies often only cover the basic perils listed in HO-1 policies and generally apply to homes that are registered landmarks or otherwise deemed historic homes. 
  • Owners of registered landmarks are typically forbidden from making the updates to HVAC, electrical, and other parts of the home that would enable them to qualify for a standard HO-3 policy, so an HO-8 policy is often the only option for them.

Flood Insurance Policies in Houston

Even though Houston last experienced a hurricane in 2017, the city is no stranger to the dangers of windstorms and floods. Flooding is one of the most common natural disasters that Houston faces every year. 

The problem for Houstonians is that a home insurance policy alone won’t protect your home after a storm or flood. To be covered from water damage of any kind, insurance carriers will require homeowners to purchase a separate flood insurance policy.

The good news is Houston residents are eligible to purchase flood insurance through the National Flood Insurance Program (NFIP). You can purchase an NFIP policy through your insurance carrier so you don’t have to worry about paying for damages out of pocket after a storm.

Protecting Your Houston Home from Property Crime 

Houston has one of the highest crime rates in America, and roughly one out of every 24 people in Houston becomes a victim of property crimes.

Your home insurance policy is meant to help replace or repair your items after vandalism or theft, but you’ll want to make sure you have enough coverage for all of your belongings. The best way to determine your personal property’s value is to take an inventory of your most expensive and important possessions. This way, you can compare the value of your belongings to your home insurance policy and know whether you have the right amount of coverage.

If you find that the value of your belongings exceeds your insurance coverage, you’ll want to look into increasing your coverage amount. Purchasing a comprehensive policy may also be beneficial since it will offer complete replacement costs for stolen or damaged items.

Buying a home is stressful enough—don’t let insuring it get in the way of enjoying your new property.

Houston Homeowners Insurance FAQs

Does my home insurance in Houston, TX, cover hail damage? 

Yes, basic home insurance policies will cover any damage to your roof that hail causes. But if hail causes a leak in your home that leads to water damage, you may need a flood insurance policy to cover any water damage.

Why is my home insurance in Houston, TX so expensive?

Since Houston is prone to natural disasters like hurricanes, insuring Houston homes is more expensive. The cost of your home insurance policy also depends on factors like your neighborhood and credit score, which can leave some homeowners paying costly annual premiums.

I don’t live in one of Houston’s flood zones. Do I still need flood insurance?

Even if your home isn’t prone to flooding, flood insurance policies cover more than just flood repairs. If you experience any type of water damage, a flood insurance policy will be worth it. 

Conclusion: How to Find the Cheapest Home Insurance in Houston

Houston is on the rise, and it’s clear to see why. But even though the city’s affordability doesn’t extend to its insurance premiums, you don’t have to pay an arm and a leg for coverage. With a little bit of research and help from Insurify’s tools, you can compare the best homeowners insurance and secure affordable home insurance in no time.

Compare Home Insurance Quotes in Houston, Texas in Two Minutes

See Quotes


Browse, compare, and secure home insurance with Insurify today! 

Yep, it’s that easy. 

Updated December 1, 2020

Jacklyn Walters is a freelance writer for Insurify. Jacklyn has a background in journalism and is passionate about informing and serving others through writing. In her spare time, Jacklyn enjoys running, practicing yoga, and writing music.