How to Keep Your Texas Homeowners Insurance Affordable

According to the National Association of Insurance Commissioners and , Texas has the third highest average premiums in the country. Two other coastal states ranked ahead of Texas, and these are Florida and Louisiana. The average Texas homeowner paid an insurance premium of more than $1,660 last year. Some cite the fact that Texas has damaging hailstorms and is also impacted by flooding, tornadoes and wind storms, tropical storms and other similar events as reasons for the higher rates. While local homeowners may be well aware of the perils their home may be impacted by, they also may be looking for ways to keep their insurance premium affordable. Here are a few ideas to consider. The first is visiting

Ensure Your Coverage Is Adequate
It is wise for all homeowners to get into the habit of reviewing their coverage every year. Coverage needs can change, and you should not rely on the insurance company to make these changes for you. Many insurance companies will automatically increase coverage based on rising property values in an area, but this may not be sufficient for your needs. In addition, you may be able to lower liability coverage, personal property coverage or other types of coverage that you have in place based on a variety of circumstances. You can review your policy with your agent soon, and by discussing each of the coverages in detail, you may learn about some changes that could lower your premium.

Review Optional Coverages
Many policies have optional coverages linked to them. For example, a few years ago when many homeowners were very concerned about black mold, some insurance companies added an optional black mold coverage upon request. Some homeowners may want to keep this in place, but others may think that they purchased the coverage in haste because of the hype surrounding black mold. With home mold testing kits, you may be able to learn if you have black mold in your home currently, and you may decide that the coverage can be removed. Likewise, if you have a great medical plan in place personal injury coverage may be redundant.

Adjust Your Deductible
Another way to make your insurance more affordable is to adjust your deductible. Your deductible is the cost you will be responsible for when you file a claim, and two factors should be considered before you increase it. First, you should consider if you are able to pay the deductible quickly if you need to file a claim. One way to ensure that you can is to keep an amount of money that is at least equivalent to your deductible in your savings account. Most people who increase their deductible will choose to raise it from a one percent to a two percent deductible, and this can equate to a deductible that is several thousand dollars higher for most people. The second factor to consider before you adjust your deductible is if you are willing and able to pay for potentially more repairs to your home out-of-pocket. Consider if you increase your deductible from $2,000 to $4,000. It is not financially beneficial to file a claim for damage less than $4,000, and some homeowners may not want to contend with the potential of their rates to rise for a claim that is even slightly higher than $4,000 as well. While adjusting your deductible can save you money on your premium, it is important that your coverage is affordable for you to use as well.

While Texas does have high homeowners insurance rates, there are ways to keep this expense lower. You can also consider shopping around to find a better rate through other insurance providers. These tips can help you to save money on your coverage.