Home Insurance Requirements of a Texas Homeowner

Because every state is different, you will want to consider each specific requirement in your state before purchasing insurance. A Texas homeowner is expected to choose from the two types of policies available in the state, which include all-risk policies (comprehensive coverage) and named perils policies (specified perils coverage). All-risk policies offer a broad amount of protection that covers all different types of loss, except causes that are specifically excluded from the plan. Named peril policies offer much less protection in comparison and only cover losses specifically mentioned in the policy. Named peril policies cover every minimum requirement for a Texas homeowner.

Most Texas homeowners insurance policies require coverage for the following five categories:

  • Dwelling- This type of coverage will account for costs due to damaged or destroyed property on your home or surrounding structures, including fences, storage sheds, detached garages and so forth.
  • Personal Property- Coverage will account for the cost of stolen, damaged or destroyed property within your home. Types of property would include furniture, clothing, appliances, etc.
  • Liability- A minimum of $25,000 worth of coverage is required for lawsuits, resulting in your responsibility to compensate for property damages or injuries to another person.
  • Medical Payments- To cover the medical bills of someone who was injured on your property or possibly something that happened away from your property, such as your dog biting someone else while on a walk, the minimum requirement is approximately $500 for various medical expenses though up to $5,000 is available.
  • Loss of Use- This category covers you living expenses (housing, food, etc.) if you are forced to move due to the damage to your home. Insurance policies usually cover either a percentage or a time period of expenses.

If you are a Texas homeowner who is looking to purchase home insurance for the first time, be sure to discuss each state requirement with your insurance agent as well as your unique needs and preferences to find a plan that fits all of your needs.

The Consequences of Not Having Texas Car Insurance

Texas Car Insurance for RescueAll states have their own set of car insurance rules. In Texas, all car owners must meet minimum liability requirements on any vehicle they drive. The minimum requirements are $30,000/$60,000/$25,000. If you do not have proof of insurance, or do not carry insurance on your vehicle, you will face tough consequences if you are stopped by a police officer.

  • The first offense for being caught without car insurance will result in a fine of at least $175 and as much as $350, in addition to any court fees.
  • Subsequent offenses will result in fines of as little as $350 and as much as $1,000, in addition to court fees, impoundment of the vehicle at your own expense, and the suspension of your driver’s license for as long as two years.
  • Once convicted, you will face a yearly surcharge of $250 for three years to maintain your Texas driver’s license.
  • Last but not least, when you finally do purchase Texas auto insurance, it is safe to assume that your car insurance premiums will be much higher than they would have been had you simply purchased insurance in the first place.

Don’t drive on the road without Texas auto insurance. Keep in mind, the state of Texas has an insurance verification system called TexasSure, so a police officer can easily know if you have insurance.